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  • Blockchain Analytics: Powering The New Data Economy

    Blockchain Analytics: Powering The New Data Economy

    The vast amount of innovations and creativity happening within the crypto space is overwhelming.  Countless projects, protocols, apps, tokens, and communities are launching, layering, merging, forking and growing every day.  It can be a lot to keep up with.

    Fortunately, blockchains are public data sources, and the historical ledger of addresses and transactions is a treasure trove of data, just waiting to be unpacked and explored. Anyone can view the transactions that are occurring in real time and interpret what is happening on the blockchain. However, in its raw form, blockchain data is kind of like binary code: great for machines but tough for humans. What is needed is not only a data platform that can convert it to a more useful form, but also a community of analysts that can give it meaning.

    Enter blockchain analytics. Blockchain analytics is the act of inspecting, identifying, understanding, and visualizing data on a blockchain. Doing so allows users to gain valuable insights that would otherwise be hidden in traditional systems. Just as Google organized the internet of information for consumers and commerce by indexing the World Wide Web, making it accessible without requiring any knowledge about the underlying TCP/IP protocol, blockchain analytics technology is building the pathway for an easy-to-navigate internet of value as well as the emerging data economy.

    What Is Blockchain Analytics?

    Blockchain analytics is the process of analyzing, identifying and clustering data on the blockchain. Blockchain analytics also models and visually represents data in order to identify key information about users and transactions.

    More and more companies operating with cryptocurrencies are using blockchain analytics tools to analyze transactions and assess the level of risks to meet regulatory requirements worldwide. This is done to help stop illicit transactions such as money laundering and fraud from being carried out. 

    Crypto asset transactions carried out are inherently anonymous so blockchain analytics providers help to provide the data needed to match a transaction with a person or company. This helps to keep cryptocurrency markets and transactions safer for everyone. Blockchain analytics can achieve this by scraping blockchain data, which is all public.

    How Does It Work?

    Blockchain analytics providers scrape publicly-available transactional data to tie crypto wallets back to illicit or criminal behavior. Data scraping is the act of collecting and structurally storing and updating data in real-time. This data includes information on which cryptocurrency wallets the cryptocurrency were sent to and from, the type of cryptocurrency, the amount, and the time of the transaction. As for cryptocurrency wallets, they are digital wallets that can send and receive payments. And specifically for those wallets maintained by cryptocurrency exchanges, users must first go through a Know Your Customer (KYC) onboarding processes whereby the personal details of the crypto wallet’s owner are recorded and stored. 

    When a crypto wallet transaction is made, that data is forever on the blockchain. It cannot be altered or erased. Through the scraping of these blockchains, blockchain analytics ties crypto transactions to illicit activity through certain signifiers such as a crypto wallet previously linked to illicit transactions like drug smuggling or terrorist financing. Through that, a wallet or transaction is flagged and given a risk score. When a crypto business or a financial institution works with a blockchain analytics provider, any transaction they undertake can be screened to provide a risk score for the crypto wallet in question.

    If further investigation is needed, a blockchain analytics provider can forward this type of information and analysis to the relevant law enforcement authorities, who can match an identity with an anonymous wallet, via a Suspicious Activity Report (SAR). Because the transactional data in the wallet represents all transactions that the specific cryptocurrency has been used in, an end-to-end trail is thus created.

    The wallet is tagged with a typology by the analytics provider, which ties it to a certain illicit activity that will be flagged in future transactions. The provider will also create a heuristic which clusters transactional wallet data with similar typologies. (Ultram) When multiple wallets are owned by the same person, blockchain analytics can help to determine if transactions carried out by different wallets are actually coming from the same place. 

    Collecting data on the identifiers of illicit transactions is a continuous process. Blockchain analytics is a key line of defense for creating fair and legal crypto environments, helping to discover the source and destination of illicit funds.

    Why Is Blockchain Analytics Important?

    Often hackers and web criminals use cryptocurrency due to its pseudonymous nature. Thanks to blockchain analytics, we now have access to specialized analytics tools that can scan otherwise hard to track the trail of transactional data on public blockchains. Blockchain analytics makes it possible to follow who is buying what and paying for which product and services utilizing cryptocurrency.

    Many blockchain analytics providers help to create these insights by turning blockchain raw data into searchable and executable data that individuals and businesses can easily search and build services on top of. This has tremendous value to regulators, law enforcement, companies and users within the crypto space. 

    Regulators and law enforcement can have full visibility on illicit transactions and track the movement, allowing them to uncover the identities of the criminals over time. Companies are able to have full visibility over transactions made by vendors or third parties and ensure legitimacy of those claims. Users such as traders are able to have visibility on what smart money is doing and make better informed decisions, leveling the playing field. Smart money in crypto represents a new type of economy where knowledge is open and powerful actors’ behavior is revealed.

    All organizations who work within the crypto asset market, whether it be crypto businesses or financial institutions, also need to remain compliant. Blockchain analytics providers can help these financial institutions pursue their compliance efforts. Through blockchain analytics, compliance departments can identify fraudulent or illicit activity, protect themselves from risk and work to create increased trust and transparency within the system and thus maximizing opportunities for growth and profitability. 

    Blockchain Analytics Providers

    Let us take a look at some of the most popular blockchain analytics providers that are developing new insights from raw blockchain data to make it accessible to users of all levels.

    1- Dune

    Dune, formerly known as Dune Analytics, is a powerful tool for blockchain research. It can be used to query, extract, and visualize vast amounts of data on the Ethereum blockchain. Users can simply query the database to extract almost any information that resides on the blockchain. Dune released its free version in 2019. Since that release, Dune has grown exponentially with users from all around the world joining in to leverage the on-chain analytics it provides. 

    Example of a graph visualization from a popular query dashboard
    Example of a graph visualization from a popular query dashboard

    Dune’s strengths are in its open data source. Analysts, traders, and number crunching data enthusiasts make up the community. They create and openly share their queries which can then be forked and remixed in a multitude of ways by others. That is why Dune has been described as the “Github for on-chain analysis.” The secret sauce is the collaborative effort that is built-in to the Dune platform. So instead of dealing with the status quo, siloed sets of dashboards, the queries on Dune Analytics are open source, creating a revolutionary way for their community to harvest and remix blockchain data.

    Dashboard page on Dune Analytics
    Dashboard page on Dune Analytics

    The community version of Dune allows users to conduct any kind of on-chain analysis. Dune converts the raw blockchain data into a readable format, and queries can be completed with SQL. Dune gives its users access to datasets and they can create their charts and dashboards. Users can then share what they are working on. And working with Dune provides one with good education and powerful insights into how on-chain analytics systems work in general.  

    With Dune, users can explore the dashboards and queries of others in the community. It is similar to sharing dashboards on Google Analytics. And by researching the work of others, users can find inspiration to come up with even more queries to find deeper insights.

    It is not much of a stretch to say that Dune is fast becoming the default platform for Ethereum data seekers.

    Use Case: Dune has more than 22,000 different dashboards, a method of discovery. Given that the queries within the dashboards are user-generated, the quality varies. Some may be professional-grade and easy to scan, while others result from a SQL student’s early lessons. These are searchable by name or tags.

    Looking for OpenSea’s monthly volume? There is a dashboard for that. 

    Want to compare it to LooksRare? No problem.

    Intrigued by STEPN’s recent rise? Dune has the info.. 

    2- PARSIQ

    PARSIQ is the next-generation monitoring and intelligence platform for various blockchains, successfully connecting legal systems and off-chain applications to precious blockchain-based data. PARSIQ’s platform provides a suite of products that handle everything from database querying to instant notifications. The use case of PARSIQ extends not only to the on-chain blockchain but also to the off-chain universe. 

    Transaction tracking for compliance purposes, financial accounting, or building insights on the different properties of competing blockchains are some of the jobs that PARSIQ’s applications perform as off-chain jobs. PARSIQ also provides a tool that monitors and processes blockchain data. Every single blockchain activity that occurs on the platform results in a massive amount of information. All of this circulates through the PARSIQ platform and activates various parts of it. Every product that belongs to the ecosystem has a particular processing subsystem of the platform standing behind it.

    Smart Triggers on PARSIQ
    Smart Triggers on PARSIQ

    With Smart Triggers, users can create “if-this-then-that” workflows, allowing users to watch for a specific on-chain event and initiate downstream actions when they occur. PARSIQ’s Trigger Wizard is a no-code editor that allows users to create Smart Triggers for the most common use cases in just minutes. Smart Triggers can be used for a variety of use cases:

    • Build user notifications — PARSIQ delivers real-time alerts to users when relevant activities occur
    • Expand product functionality — users are able to build capabilities on top of blockchain data without writing custom code
    • Manage risk — PARSIQ instantly detects risky transactions and blacklisted accounts

    In order to solve actual problems and meet the demands of business use cases, PARSIQ introduces the possibility of using various on-demand services and data delivered by third party providers integrated to the PARSIQ platform. Smart Triggers are deployed to the PARSIQ system and continue to circulate the on-chain data. External Data Providers (EDP) are the source of external off-chain or even on-chain data that can be plugged in and additionally combined with Smart Trigger data. With this feature, it is possible to combine the on-chain data with off-chain data, such as market data, risk scoring, forensics information, and more

    Use Case: PARSIQ’s wallet surveillance tools notify wallet holders on every inflow and outflow of funds. Any alert sent by PARSIQ’s transports informs users who are at risk with a potentially exploited wallet in their possession.

    Whitelisting is another useful tool to preserve users’ trigger count. It gives the user control of what they deem trigger worthy transactions. Making frequent transactions & interactions with certain addresses or addresses they are familiar with would be acceptable without triggers, but addresses not whitelisted will trigger alerts. 

    To set up wallet surveillance with PARSIQ, you can refer to this tutorial video.

    3- Elementus

    Elementus is the first universal blockchain search engine and institutional-grade crypto forensic solution. They are building the next generation “Who’s Who” of crypto entities on the blockchain with the best-in-class search and analytics capabilities. Their compliance solution and data analytics platform are being used by key U.S. governmental agencies to solve some of the most high-profile cyber investigations and by financial institutions to build the future of finance and commerce on the bedrock of blockchain and digital currencies.

    Elementus applies data science to restructure underlying blockchain data into a schema optimized around the relationships between blockchain activity, providing valuable context far beyond manual investigations on individual transaction level. The Elementus view provides a powerful clustering and confident entity attribution based on insights that exist tens or even thousands of transactions away. 

    A visualization of token sales created using Elementus
    A visualization of token sales created using Elementus

    As the use of cryptocurrency increases, so does the complexity of investigations. Elementus’s Intelligent Network Expansion technology allows users to generate a network in seconds based on custom parameters relevant to their investigation. 

    Elementus is an agile team of data and computer scientists, analysts, and developers representing alumni of Palantir, Facebook, LinkedIn, Slack, Bloomberg, Credit Suisse, Deutsche Bank, and the United States Intelligence Community (IC).

    Elementus offers several products dedicated to different solutions within its ecosystem:

    • Radar — for compliance solutions. Users are able to extract risk scores for any public blockchain address, consumable via API, real-time alert, or via the Radar user interface.
    • Echo — for custom analytics. Users are able to harness the power of Elementus Analytics paired with the versatility of Palantir Foundry, accessing custom data analysis applications for any use case.
    • Pulse — for investigations. Pulse provides almost instantaneous tracing of funds from source to destination with multi-level entity attribution, powered by proprietary RapidTraceℱ and EntityIndexℱ technology

    Use Case: Elementus was used to track down billions of stolen bitcoin in a fraud investigation of a YouTube rapper named Razzlekhan and her husband Ilya Lichtenstein. The couple was arrested on federal charges of conspiring to launder a multibillion-dollar trove of bitcoins stolen from cryptocurrency exchange Bitfinex in 2016. The couple was not accused of the theft itself. 

    Analysis provided by Elementus has found that the pair were able to shield the unseized money through a complex series of crypto transfers. Max Galka, the CEO of Elementus, said the bitcoins were moved across more than 20,000 transactions, indicating that some form of automation software was used. 

    According to Galka, some of the unseized bitcoins were transferred through the Russia-based darknet market Hydra. “It’s the largest darknet market in existence,” Galka says. “It is highly unlikely law enforcement has the ability to trace these funds further.” According to Elementus, the last known movement of the unseized cache occurred on January 25th 2022, shortly before the couple’s arrests at their Wall Street apartment.

    4- AllianceBlock

    AllianceBlock is building a globally compliant decentralized capital market by providing a bridge between traditional finance (TradFi) and decentralized finance (DeFi), unlocking trillions of dollars in capital.  The AllianceBlock Protocol is a decentralized, blockchain-agnostic layer 2 that automates the process of converting any digital or crypto asset into a bankable product, simplifying the capital transfer process between regulated and opaque markets.

    The protocol has three main pillars, focusing on compliance and regulation, data, and DeFi technology. The AllianceBlock Data Tunnel is a key component of the data element, and it leverages their partner Ocean Protocol’s technology, as well as partnerships with Parsiq, API3, Covalent, DIA and Chainlink. The Data Tunnel is a data marketplace that makes data accessible to all through a monetized marketplace, while ensuring traceability, transparency, and trust. Data providers and consumers will benefit from increased access to one another, driven through a secure and easy-to-use solution.

    The Data Tunnel dashboard
    The Data Tunnel dashboard

    The AllianceBlock Data Tunnel makes it possible to publish data in a decentralized and simplified manner, without needing to be proficient in DeFi, MetaMask, or private keys. This is crucial to attracting a wider, more mainstream audience. In line with this, the Data Tunnel also simplifies usability for data consumers and developers through a standardized output format. This is in contrast to current offerings, with datasets found in a wide range of formats, making it more difficult for consumers.

    Ultimately, the Data Tunnel aims to become the oracle of oracles, being able to take data from oracles to the Data Tunnel, enhancing this data, and then feeding it back to the oracle providers. The Data Tunnel is chain-agnostic, in line with AllianceBlock’s wider vision, to allow for the greatest access and breadth to both datasets and consumers and to ensure as wide adoption as possible. The AllianceBlock Data Tunnel aims to incentivize data providers to share more data, acting as the conduit through which both DeFi and TradFi users can access and take advantage of increased data opportunities.

    Use Case: Financial institutions are largely excluded from offering investors access to DeFi. Fund distribution is one of the issues. AllianceBlock provides a solution to these issues by offering access to Open Finance that allows all market entities to participate. It is an end-to-end regulatory compliance framework that serves as a bridge between stakeholders and all actors within the capital markets chain. 

    In a traditional fund distribution model, all intermediaries between the investor and fund manager can operate independently. Many may only communicate with the next chain in the link. When they do communicate, it is likely through email correspondence, or, for certain operations, even fax or post. This creates inefficiencies.

    Traditional fund distribution model
    Traditional fund distribution model

    AllianceBlock seeks to create a fund protocol which hosts all of the required activities on one platform. This allows for greater operational transparency and efficiency. 

    The AllianceBlock fund distribution model
    The AllianceBlock fund distribution model

    Learn more here about AllianceBlock’s solution to fund distribution, and to explore more use cases for the platform.

    5- HUBX

    HUBX elevates private placement and loan syndication deal distribution for banks, exchanges, and brokerage firms by connecting into core systems to deliver dynamic data insights and a richer customer experience. In the world of syndicated lending, accessing accurate and timely data is critical for origination and distribution teams to make meaningful and effective decisions. The way data is captured and interpreted constitutes the single most important success criteria to protect and scale capital raising operations. HUBX brings together all relevant data from across an organization to deliver a single source of truth for all participants. 

    Founded in 2015, HUBX platforms facilitate collaboration between banks and their institutional clients, connect syndicate desks with the rest of the organization, and simplify execution. Each network hub is private, ensuring that the clients’ data is always protected. HUBX strives to help banks adapt quickly and seamlessly to the rapid digital transformation that is driving private capital markets today.

    By connecting all participants on their own terms, HUBX will help accelerate deal execution, reduce costs, and introduce standardization and automation into the market. By offering unrivaled customer experience and dynamic insights and tools to their clients, banks are able to harness the true potential of their data and the network effect.

    Use Case: HUBX has partnered with financial software solution developer Finastra to help corporate lenders during the loan syndication process by reducing manual workloads. As a first step, this deal sees HUBX Arranger integrated with Finastra’s back-office loan software Fusion Loan IQ, which is used by 90% of the world’s top 100 banks to process over 70% of global syndicated loans. While the market is worth around $4.5trn annually, much like in private equity, the majority of work is manual and disconnected.

    According to Axel Coustere, HUBX co-founder, “HUBX Arranger provides a key missing link for Finastra’s clients. The ability to digitally scale the arduous syndication process by tackling the lack of end-to-end execution. There are many manual, time consuming steps and a lack of real -time visibility currently associated with this piece of a bank’s business. Not doing this well limits the banks’ ability to manage and improve risk and ultimately reputation.”

    Conclusion: The Rise of Data Analytics

    Modern businesses have been benefiting from data analytics for several years now. According to Forbes, data analytics adoption in enterprises increased from 17% in 2015 to 59% in 2018. Now, only 10% of businesses have refused to utilize big data. One category of data analytics that is poised to change and transform the industry is predictive analytics. It is focused on making predictions about future outcomes based on a massive amount of historical data as well as techniques like machine learning. With this type of technology, enterprises will be able to forecast trends and behaviors.

    The current state of predictive analytics is hardly perfect. A huge obstacle to overcome is getting quality data from different sources and correlating them. Digital agencies and IT firms have their own silos of data and use different tools in obtaining them. There is also the issue of whether there is enough of the right data. When there is not enough for the system to make conclusions from, the results of predictions may be biased and untrustworthy. Blockchain technology might be able to fill the gap in this space. 

    Blockchain’s computational power is gained from multiple connected computers, hence it is powerful enough to properly define the model to be analyzed based on a vast number of data sets. It would use its power to analyze the different stored datasets across computers and pull up the ones that can provide the answer. Furthermore, blockchain may be the cloud equivalent to one physical supercomputer, which makes it accessible to small businesses. Currently, companies that want to utilize predictive analytics have to rely on expensive super machines. With blockchain implemented, the costs to obtain such analytics tools will be greatly reduced.

    As for potential applications, blockchain analytics could be used in marketing strategies. Marketers could be able to prepare for future marketing campaigns with the help of data gained from market realities. The system might be able to forecast price movements for financial markets, including cryptocurrencies.

    The fusion of data and blockchain technology is poised to grow even more in the next couple of years. This could provide an opportunity for blockchain to display its potential as developers continue to experiment.

  • Generative NFTs: When Human Creativity Meets Artificial Intelligence

    Generative NFTs: When Human Creativity Meets Artificial Intelligence

    Non-fungible tokens (NFTs) made a huge splash in 2021, with sales of NFTs reaching $25 billion in the same year. NFTs are records on a blockchain that cannot be replaced with something else and retain its value. In that sense, they are different from fungible tokens like bitcoin, which can be traded for another bitcoin and retain the same value. NFTs are most popularly used to sell digital art, by uniquely associating digital assets such as images, videos, music or text to a blockchain record. It is with this association that NFTs promise art collectors to have something that cannot be copied or modified: ownership of the work.

    Generative NFTs is a new art genre with a rapidly growing ecosystem within the crypto world that is poised to challenge the traditional art world. Generative art is developed through creative coding and this exciting medium is becoming increasingly popular within the art community, along with those interested in emerging technologies such as artificial intelligence (AI), blockchain and the metaverse. Using a digitally native medium, generative NFTs fundamentally challenge conceptions of what gives art its value and how society expresses its communal values through art. 

    What are Generative Art NFTs?

    Generative art is an expression currently used a lot in the context of NFTs- as a means of ownership, and even a means to create pieces of generative art via smart contracts. The term generative art describes pieces of art that have gone through a generation process by a system that is set into motion with some degree of autonomy contributing to or resulting in a completed work of art. Thereby, generative art can be seen as a collaboration between an artist and an autonomous system. Under this definition, NFTs are not the origin of generative art. 

    The Origins of Generative Art

    Instead, an early example of generative art, more specifically of generative music, is Mozart’s Musikalisches WĂŒrfelspiel published in the late eighteenth century. Musikalisches WĂŒrfelspiel (German for “musical dice game”) was a system for using dice to randomly generate music from precomposed options. While this is an example of an early piece of generative art, created in traditional manners, blockchain technology enables new opportunities for creation. Generative art can now be created by running a smart contract. A smart contract is code stored on a blockchain under a certain address. By sending crypto to this address, the smart contract is triggered, and the code stored under the address is executed automatically. A piece of generative art will then be created by the smart contract and stored on-chain in the form of an NFT directly owned by the wallet address that sends the crypto to run the smart contract.

    Generative Art as NFTs

    Today, the common process of creating generative art is by running a machine algorithm, no matter if it is created as an NFT or not. Minting a generative art NFT adds a level of uniqueness that could not have been reached before. This is achieved by including inputs to the piece of art such as wallet address, transaction ID or gas price. These parameters are then used to mint the NFT.

    The resulting NFT piece of generative art differs from those art pieces created traditionally. There will always exist only one NFT with these exact parameters. Even if another art piece would be created that looks very similar, the parameters included in the NFT piece of generative art would always be different, and so each piece is truly unique. That said, it is valid to question how the created NFT can be something “special” if the same algorithm could be run millions of times and create NFTs that eventually all look similar, even if they are not identical. But this is an advantage of NFT generative art: a supply cap can be implemented right from the beginning.

    Traditionally, the art market has evolved to be exclusive with high entry barriers due to the necessary knowledge and investment size required. The trend towards generative NFT art opens the art market and enables inclusion for people outside of the art scene and with lower investment budgets. This has also been recognized by big players of the art world and thus, auction houses like Sotheby’s and Christie’s put NFTs on their agenda and started curated NFT auctions. 

    The value of generative art is based on an interplay between embedded attributes with varying degrees of programmatic rarity and how those elements come together in a way that is visually aesthetic and pleasing to the collector. Although the programmatic characteristics add quantifiable metrics that can be used to assist in the valuation of the NFT, generative art pieces still have an element of subjectivity driving demand.

    AI-Generated NFTs

    Art made entirely by artificial intelligence has been branded as the next big thing and is slowly grabbing the attention of art enthusiasts and NFT collectors all around the world. A collection of NFTs created by a robot artist named Botto sold for over $1.1 million in 2021 and projects like the AI Art House feature generative art NFTs that so closely resembles the likes of Monet, Mondrian and van Gogh that you would be forgiven to mistake them for long lost art pieces by past masters.

    AI-generated art is able to produce one of a kind pieces that push the limits of exploration and creativity beyond human touch. Artificial intelligence is commonly understood to be the ability by a non-human model or machine to solve sophisticated tasks and perform human-like cognitive functions such as learning, problem solving, reasoning, and perceiving. When it comes to art, the concept is based on the idea that machine learning algorithms are capable of producing original images when adequately trained using a vast amount of image data using a technology called General Adversarial Networks (GANs). Similar to a painter who has taken years to perfect their craft, AI is also able to learn from endless hours of training and become able to generate images that have never been drawn before.

    How this actually works in real life is simple: in order to create a new piece of art, a human artist can simply enter keywords or sentences into an artificially intelligent model that will then use algorithms to analyze millions of works of art and produce its own images as a visual interpretation or representation of the original text. That is the framework behind a tool called Eponym, developed by art platform Art AI, which leverages text-to-art in order to develop AI-generated NFTs. The developer has explained that its algorithms are inspired by “a vast collection of art from throughout history” and that the AI draws inspiration from being exposed to different art genres, periods, subjects and styles to create NFTs from scratch, each with their own distinct style. The result is, according to the developer, otherworldly images of novel styles and contents.

    This way, users can easily create a new abstract art piece based on the text they choose and mint it directly to OpenSea. Moreover, single words can only be used once, meaning there will never be two NFTs based on the same text. Eponym allows human touch to be combined with AI algorithms, which has led to some mind-blowing art. And taking it even a step further, a Gen 2 collection of NFTs now allows minters to give sets of instructions to the AI system, including emotions, color schemes, visual styles, and more.

    The adoption of AI generative features by artists has been hailed as a new era in art, where the combination of human imagination and AI art based on input text has extended the possibilities of art itself to unknown and yet exciting depths.

    Top Generative Art NFT Projects

    Developments in the medium and technology have allowed pieces to become more visually complex and appealing, while bringing to life new art genres that human artists have yet to imagine. As the saying goes, art is in the eye of the beholder, and everyone will have their own interpretation, but here are some generative art NFT projects that may catch your eye:

    1- Art Blocks

    One of the most successful NFT projects on the Ethereum blockchain, Art Blocks is in a class of its own when it comes to active generative art projects. Founded by Snowfro, the platform is built around its Art Node smart contract that allows collectors to mint tokens containing a unique hash string. The thrill of the unknown is part of its appeal as collectors don’t know exactly what their piece will look like until after it has been minted. Art Blocks is the digital platform that produces, sells and stores on-demand generative art, though some people will refer to the art itself as Art Blocks. 

    Art Blocks by Snowfro
    Art Blocks incorporate an element of surprise where the end user never knows how their piece will turn out

    You can browse the website exactly as though you were online shopping for a piece of art for your living room. If you find something you like, you can buy it, but instead of being sent a replica of what you chose, an algorithm goes to work making tweaks to the formula, and produces a one-of-a-kind piece in that style just for you. The result is a digital piece of art, which can be anything from an experience, 3-D rendering or cartoon, that can never be copied.

    There are three categories of art on the Art Blocks platform: Curated, Playground, and Factory. The Curated section are works chosen by the Art Blocks team as an exemplification of the high level of creativity and execution possible in crypto art. Playground is a space for experimentation and for curated artists to explore what is next for their projects. Individual projects are not vetted by Art Blocks but the artists have been vetted to ensure high quality. The Factory is a sort of anything-goes space. Any artist can submit their pieces to be a part of the Factory and Art Blocks will check to make sure it is functional and not a copy before the piece is published.

    Some notable Art Block projects and artists include:

    Chromie Squiggles  —  by Snowfro

    Chromie Squiggle #13
    Chromie Squiggle #13

    Chromie Squiggles was the first-ever collection to be published and minted on Art Blocks. The project is designed by platform founder Snowfro himself. He considers them to “embody the soul of the Art Blocks platform,” and claims they are each his “personal signature as an artist, developer, and tinkerer.” In 2021, a pair of pieces from this collection resold for $4 million.

    Fidenza  —  by Tyler Hobbs

    Fidenza #313

    Tyler Hobbs’ colorful project Fidenza is impressive for its ability to generate individual pieces that look incredibly different from one another in color, texture, shape and more. In Hobbs’ own words: “Fidenza is by far my most versatile algorithm to date.” Work from this project has sold for more than $3 million. 

    Ringers  —  by Dmitri Cherniak

    Ringers #109
    Ringers #109

    Ringers features art based on the concept of wrapping a string around a set of pegs. The project uses few colors: black, white and yellow primarily. Cherniak describes the inspiration for his work as “an almost infinite number of ways to wrap a string around a set of pegs. On the surface it may seem like a simple concept but prepare to be surprised and delighted at the variety of combinations the algorithm can produce.” Ringer #109 sold for an astounding $7 million in 2021.

    2 – Autoglyphs

    Autoglyphs are created using generative algorithms and each artwork is wrapped as an NFT token that contains the original data of the work. The art is inside the smart contract and stored permanently on the Ethereum blockchain. This completely self-contained mechanism for the creation and ownership of artwork earned Autoglyphs recognition as the first “on-chain” generative art project.

    Autoglyphs
    Autoglyphs

    Founded in 2019 by the same Larva Labs technologists behind CryptoPunks, the glyphs were originally minted by anyone who was willing to donate the creation fee of 0.2ETH (around $35 at the time) to 350.org, a charity that combats climate change and promotes clean and renewable energies. The creator of each glyph became the first owner of that glyph. After 512 glyphs were created, the generator shut itself off forever and the glyphs are now only available on the secondary market.

    Autoglyphs had no human interference in the generation of the artwork. Created entirely by the algorithm to produce ASCII artwork, the project supercharged the NFT industry by becoming the first-ever generative art project on the blockchain and paving the way for the generative art boom today.

    3 – Eponym

    Eponym is the world’s first and largest collectively created NFT art collection. Developed by Art AI which is the world’s largest gallery of AI generated art, this text-to-art generation relies on algorithms that personalize generative art and that assists users in creating NFTs based on phrases or words of their choice.

    Eponym developed by Art AI
    Generate personalized art based own your choice of phrases and words

    Each submission to the minting site takes about a minute to load, but once the AI had completed, you are greeted by a new and unique work of art. Results range from highly abstract, to landscapes and portraits, all depending on the text prompts. Phrases of action creates chaotic representations, locations often produces landscapes with scenery similar to that of its real world appearance, and portraits are mainly born from names of people.

    These machine-made artworks represented the project title well, as an eponym is a person for which something is named. In essence, what the team had created was a system where the collector provides the words, or eponym, and is returned a computer generated artistic interpretation bred directly from the AI’s general understanding of the phrase. 

    The most notable part of the project is that you are able to refresh the algorithm and ask for a new representation of the word or phrase that the creation was born from! This expands the possibilities from one single depiction of a prompt to an endless number, as you could keep rolling until you find the Eponym you want to mint. Once art is rerolled, it would never exist again. The simple permission to allow for a redo opened the door for the collector to have an equal role in the creation alongside the artificial intelligence.

    Conclusion: Generating A New Era of Art Appreciation

    The generative art NFT movement is leading to greater appreciation of art and inclusion on a global scale. The traditional art world has notoriously become an exclusive club and investment class for the ultra-wealthy to speculate on and flip for profit, or perhaps more nefariously, to launder money or engage in tax evasion.

    Although the generative art NFT market may be flooded with euphoric sentiment, early adopters of the movement believe it is ushering in a new digital Renaissance that will enable artists and computer scientists to reach a global audience and experiment with a new medium that is engaging collectors on a deeply emotional level.

    Ultimately, the forms and types of art that are produced and highly coveted signals the fundamental values of a society. This is apparent in the values of community-building, inclusion, and mimetic culture. Generative art NFTs have surpassed the traditional art market in its ability to draw attention and capture the imagination of a global audience. (vallartainfo.com) The NFT art community has accomplished this by building an internet-native global community of avid fans, creators, and collectors that do not take themselves too seriously and prioritize fun and connection over physical material possessions.

  • Axie Infinity: A Lesson for the Future Of Play-To-Earn

    Axie Infinity: A Lesson for the Future Of Play-To-Earn

    Axie Infinity ($AXS) is probably the first game everyone thinks of when talking about crypto gaming or GameFi. This is for a good reason too, it is hugely popular with millions of players worldwide and is well known for helping many earn a living (whilst playing the game) during the Covid-19 lockdowns. Recently, however, the game has been plagued by problems such as a multi-million dollar hack, and reports about shady practices by some Axie players. In this article, we look at the rise and fall(?) of Axie Infinity and how it can be a valuable case study for the future of other play to earn crypto games.

    What is Axie Infinity ($AXS)?

    Axie Infinity ($AXS) is a popular play-to-earn NFT blockchain-based game where players can earn by leveraging gameplay skills and contributing to the ecosystem. Partially inspired by the popular Pokémon video game series, Axie Infinity allows players to pit monsters called Axies against each other in battles. Gamers can also collect and raise their monster pets, and build land-based kingdoms for the pets as they progress through the game.

    Axie Infinity is easily one of the most popular games in the cryptocurrency and blockchain sector. Launched by Vietnamese game-maker Sky Mavis, Axie Infinity concluded a $7.5 million funding round in May 2021, with Reddit co-founder Alexis Ohanian and billionaire Mark Cuban as investors. According to Bloomberg, the number of daily active users on Axie Infinity jumped from 30,000 to 1 million between April and August last year. Furthermore, from April 2018 to July 1st, 2021, Sky Mavis generated $21 million from Axie Infinity; by the end of August in the same year, that number jumped more than 2,200% to $485 million.

    Yet despite its meteoric rise, Axie Infinity has seen a dramatic decline in daily revenue and general interest since its November 2021 peak, when its revenues reached an all-time high of $165 USD. To better understand the unraveling of one of the most popular blockchain games, let’s take a look at the recent issues and challenges Axie has faced in the past months.

    Check out our video where we analyse the crypto gaming trend and where we think it’s headed.

    My honest take on crypto gaming

    Some Major Problems and Criticisms of Axie Infinity 

    The Axie Infinity universe has had its fair share of criticism. One of the most significant issues is the problematically high barrier of entry. Although Axie Infinity is free to download, players need at least three Axies to begin with, each costing a minimum of $29. This can be a costly initial investment for some and would deter them from even starting the game in the first place. 

    The expensive initial cost has created active Discord and Telegram groups where prospective players are consistently on the hunt for sponsors to help get their feet in the door. Unfortunately, sponsors sometimes make inappropriate requests before assisting players. Last year, Axie Infinity reacted to reports of sponsors requesting nude photos from players. 

    Other controversial practices, such as the “Scholarship” practice emerged whereby gamers lacking the initial capital (known as “Scholars”) would borrow Axies from “Managers” in return for a significant amount of in-game earnings. In some cases the split was as high as 50:50 between the Scholar and the Manager. In the Philippines, where it was well-known that locals quit their jobs in favour of playing Axie professionally due to its high returns, the practice was very widespread. During Axie’s heyday in 2021, many scholarship “guilds” were formed, some of which had over 3,000 players playing multiple games for their Managers. These Managers have even gone so far as to say that they may remove peoples’ scholarships if the scholars did not play to their satisfaction. Considering the average wage of a Filipino employee was only US$3,218, critics have accused Axie Infinity’s business model to “digital serfdom”– modern exploitation in the digital space. 

    In response to accusations of controversial practices by some Axie Infinity players, Sky Mavis Co-founder and Chief Operating Officer Aleksander Leonard Larsen likened Axie Infinity to a digital nation, suggesting that there are criminals in any society. The COO admitted that the issue is an internal concern for the Company and that the platform has banned “several thousand” accounts so far.

    Revenue Plunge

    Image

    Axie Infinity’s revenue was already dropping since its peak in November 2021. According to an image from Token Terminal, Axie Infinity began October with $6 million in daily revenue. Between October 4th and early December, revenue spiked up to $10 million but also plunged to nearly $2 million. However, since December 12th, there has been a steady decline. In fact, Axie has not crossed $2 million since mid-December, even recording less than $21,000 as recently as March 30th. According to a recent report, Axie plunged 40% in September alone.

    Axie Infinity’s Ronin Network Hack

    By far, the biggest issue Axie has faced in its 4-year history is a US$625 million hack that took place on 23 March 2022. According to an official Substack post, hackers compromised Sky Mavis’ Ronin Network validator nodes and Axie DAO validators, which are used to power the game. As a result the hackers successfully made away with 25.5 million USDC and 173,600 Ether (ETH). The unknown hackers depleted funds from the Ronin bridge in two transactions.

    Ronin explained that the chain currently has nine validator nodes to prevent illicit transactions, and requires five validatory signatures to recognize all withdrawals or deposits. In November, Ronin let Sky Mavis sign transactions to help with high demand from new Axie players. Although this only lasted till December, the allowlist access remained active, and the attacker was able to access Sky Mavis systems to get a signature from the Axie DAO validator through Ronin’s gas-free RPC node. By doing so, the hacker was able to gain validation access over this highly centralized network, controlling the majority of nodes, and thus, the decision-making power.

    Analytics firm Chainalysis is currently helping Sky Mavis to track the stolen funds and has said the funds are still in the hacker’s wallet. Ronin has also said all stakeholders are now trying to ensure that users don’t lose any funds. 

    The Substack post also specifies several actions taken to curb further loss. For instance, withdrawal or deposit recognition now requires eight signatures instead of five. There is also a temporary pause on the Ronin Bridge in addition to Binance disabling their bridge to and from Ronin. The Katana DEX was also immediately suspended. Unfortunately, none of that has stopped prices of their AXS token from falling 25% since the hack occured.

    Axie Infinity’s Future: is this the end?

    Even with these evident drawbacks, several members of the gaming community believe that Axie Infinity has a bright future ahead of it. Some analysts think that the platform’s extensive and ever-increasing community can only spell long-term progress. Axie Infinity has enjoyed large-scale popularity and increased AXS token prices such that many believe that there is no worthy competitor. However, the recent hack might sway public opinions very fast.

    Although Axie’s revenue has consistently dropped since late last year, The plunge has been even steeper in the last few days. Token Terminal data shows that Axie pulled in just $184,500 on March 1st, from $2.1 million on January 19th. Revenue on March 25th was less than $9,000.

    Prices of the project’s native $AXS token have also taken a tumble, with prices reaching an all time high of $164.90 on 6th November 2021, and now down to around $38 in late April 2022. Check here for the latest prices for $AXS and data provided by CoinGecko.

    Several competitors, such as Crypto Kitties, Decentraland and MetaGods, have been trying to give Axie Infinity a good run for its money. Now is finally the right time for these alternative play-to-earn ecosystems to steal Axie’s disgruntled customers. Popular options can leverage Axie Infinity’s current downtime to revamp their existing offerings or introduce new ones, making the features attractive enough for Axie players to cross over. In what may end up as the likely outcome, players may also be satisfied enough to consider keeping and using accounts across most of these popular play-to-earn games.

    With all the fuss and mistrust currently circulating within the gamefi space, it might also be a good time for new games to launch, or at least begin to whet gamers’ appetites. Possible strategies could include specific advertisements targeted at security, more gaming options, more accessible play-to-earn services, and immersive gameplay that can rival Axie Infinity. If competitors offer little to no financial entry barriers, Axie Infinity could have a very challenging time getting back on its feet after it eventually opens the Ronin bridge.

    Conclusion

    Currently, the Ronin bridge remains closed, with all deposits and withdrawals halted pending a full investigation into the hack. It is expected that it may be another few weeks before the Ronin bridge is operational again. Most importantly, the team behind Axie Infinity has promised affected users that they will recover and reimburse the stolen funds. Despite this setback, Axie Infinity still has over 600,000 active daily users, demonstrating its popularity, and the game itself is not going away anytime soon.

  • ArcadeLand – The Ultimate Gaming Metaverse

    ArcadeLand – The Ultimate Gaming Metaverse

    ArcadeLand is placing back control in the users’ hands – the gamers, the builders, the visionaries – with the Ultimate Gaming Metaverse. Hundreds of top-quality games, advanced cross-platform avatars with NFT wearables, and a blockchain-optional UI to make ArcadeLand’s platform easy to use. Welcome to the Ultimate Gaming Metaverse!

    ArcadeLand is Coming, Why Do You Need It?

    ArcadeLand sees the Metaverse as the natural evolution of the web experience in terms of socializing, gaming, exploring, and learning. While it took nearly a decade to catch on, the world-wide-web quickly gained significant market share while antiquated competitors in the areas of postal, television, newspapers, education, entertainment, and gaming either adapted or were left behind by the new companies that embraced this technology. 

    For example, what happened to Blockbuster when Netflix came along, and this trend is expected to repeat as the newest generation of Web 3.0 technologies emerge. While P2E games and Metaverse platforms are relatively new to the market, there are still significant barriers to overcome before mainstream audiences can fully embrace them. 

    Blockchain remains a double-edged sword, in the sense that, although it grants the benefits of ownership, security, and the ability to earn great rewards from playing games; it also represents a significant learning curve. This comes with a number of dangers for new users, and it’s largely seen in a detrimental way due to the many negative media headlines of bad actors within the industry. 

    Many P2E games in development, and currently on the market, require players to be knowledgeable about blockchain technology. This limits their total addressable from the billions worldwide, down to around roughly 400,000 to 500,000 players, the “niche within a niche” of savvy crypto users who still find time to play such games. User acquisition becomes a battle for these games, as they struggle to compete for adequate DAU numbers within a narrow audience.

    While the definition of the Metaverse, according to Wikipedia, is: “a network of 3D virtual worlds focused on social connection” the current offerings fall short of this important network aspect. Leading Metaverse platforms suffer from a lack of compatibility and interconnectivity, which are hallmarks of a “true Metaverse”. They create a restrictive environment where games of high quality cannot exist, as developers are forced to build within them using only the tools provided by the platform. Avatars and their accessories are only compatible with their own platform, and users cannot show off their costumes or treasured digital wearables elsewhere. By all measures of what a fun, interconnected Metaverse should be, they simply come up short.

    ArcadeLand is creating a platform that will serve game developers, gamers, and the entire community that supports the future of P2E gaming. Arcadeland is connecting games, guilds, studios, and publishers with players from within and beyond the crypto community accelerating this future and removing the obstacles to mass adoption. Increasing the reach of this rapidly growing industry.

    ArcadeLand Will Push the Boundaries of Gaming

    A Metaverse must be complete in its offering and for its intended purpose, as it is by nature a platform to host many applications. A true Metaverse is an environment for exploration, socialization, and play. Compatibility and interoperability with a total array of ecosystem products and services are paramount, as the sandbox-style of exclusivity limits the variety, replayability, and quality of the games within. ArcadeLand understands this and has shaped the platform accordingly.

    ArcadeLand will:

    • Feature hundreds of top-quality games
    • Integrate both mainstream and crypto games via SDK
    • Provide virtual land and a No-Code Builder with UNLIMITED potential
    • Offer avatars with NFT accessories compatible with thousands of other games
    • Deliver a holistic and complete gaming ecosystem for users of all types


    To address the issue of game quality, ArcadeLand is onboarding top-quality game partners with successful titles from both the mainstream space as well as crypto. The objective is to make the developer’s jobs as easy as possible by providing a comprehensive suite of tools to allow for rapid integration with little labor required. 

    ArcadeLand can apply its dual-tokenomics model to mainstream games with dynamic rewards and tournament payouts. This allows game owners and users to benefit from an easy to deploy and use P2E model that can be adopted by any type of game.

    On the crypto gaming side, ArcadeLand can support the seamless integration of games along with the important token features to allow players to take full advantage of the games and their earning potential. 

    ArcadeLand provides a safe environment and tools for newcomers with no crypto knowledge to acquire, manage, and sell their NFTs with their built-in wallet and native marketplace. ArcadeLand provides native and easy-to-use interfaces to share updates on social media channels.

    Land within ArcadeLand can be developed in over a dozen ways. Builders can create their own shops, entertainment venues, or virtual headquarters for almost any type of business or service. Assets generated via ArcadeLand’s No-Code Builder tools can even be listed and sold on the platform’s marketplace to allow players to monetize their designs and speed up the building process. Games can import all popular file formats of their 3D objects without the need to recreate their designs to use them in their virtual spaces. This expands compatibility and creativity in those who wish to thrive with their plots in the Metaverse.

    People love to display their achievements, express their individuality and creative style in real life and virtually. So, what good is clothing you can only wear to one place? ArcadeLand has taken a unique approach by comparison to other existing Metaverses and chose to incorporate one of the most advanced avatar systems on the market. 

    The tokenized avatar accessories issued are already compatible with 1,750+ other games and that number is increasing weekly. Any costume or wearable created, earned, or purchased in ArcadeLand’s Metaverse will be the players’ to show off in hundreds or thousands of other games on all platforms including AR/VR. 

    ArcadeLand is taking an inclusive and cooperative approach to bringing in all the best games, partners, and ecosystem-related services needed to create the Ultimate Gaming Metaverse. Whether you’re a gamer, creator, developer, business owner, social butterfly, eSport champion, or some combination of these, you’ll find everything you’re looking for in ArcadeLand.

    Start Getting Pump!

    To sum up, ArcadeLand is addressing three of the most critical issues halting the widespread adoption of play-to-earn gaming:

    1. High-Quality Games – They have nearly 200 games available and are actively onboarding more weekly
    2. Ease of Use – Their platform is designed for gamers of all walks of life, not just the crypto-savvy.
    3. Broad Compatibility – Arcadeland prioritizes compatibility, from their avatar system to their various ecosystem partners.

    Join ArcadeLand’s social media channels below to stay abreast of developments. There’s much more to reveal about how it all works.

    About ArcadeLand

    ArcadeLand is building the ultimate gaming Metaverse. Its mission is to deliver the most rewarding experiences with the best selection of high-quality games and an ecosystem designed to serve gamers, developers, and the community, to propel the future of gaming.

    Website | Twitter | Discord | Telegram | Reddit

  • Ledger Nano S Review (2023): Do I need to upgrade?

    Ledger Nano S Review (2023): Do I need to upgrade?

    Ledger Nano S was first released in 2016 with more than 3 million units sold around the world. Ledger announced that they will retire the Nano S in June 2022. This is to let its new and improved version, the Nano S Plus, take its place going forward. Even though Nano S will stop production, firmware upgrades for it will keep rolling out in the future.

    The final (and special) edition was called Ledger Nano S Final Edition. It came with a POAP card that allows you to claim an exclusive NFT created by the artist “what is real?”. However, it is sold out.

    We recommend you get the upgraded Ledger Nano S Plus as it has added DeFi and NFT friendly features. Check out our review of the Nano S Plus here.

    The Ledger Nano S Plus retails for USD$79.

    CLICK BELOW TO BUY!

    buy now

    Key features of the Ledger Nano S

    • Top of the line security to keep your cryptocurrencies safe and secure from hackers.
    • Affordable price- suitable for beginners who want a cheap and reliable hardware wallet.
    • Unique staking features so you can EARN cryptocurrency whilst keeping them secure. Learn more about staking here.
    Ledger Nano S
    Ledger Nano S

    Staking and Earning

    Ledger Live allows for staking a growing number of coins, including ETH (Ethereum), SOL (Solana), ATOM (Cosmos) and DOT (Polkadot). Users can lock up their cryptocurrencies and in return they get interest. This feature expands Ledger into more than just a secure place to store your cryptocurrency. It can even help you grow your digital assets.

    Depending on the coin, staking can be done natively on Ledger Live, or through a dedicated wallet. For example Yoroi Lite for ADA (Cardano). Staking is done in 3 simple steps for coins that can be staked on Ledger Live.

    First, freeze your assets by logging onto Ledger Live. Choose the relevant account for the asset you wish to stake and click “earn rewards”. A popup window will appear. There you will be allowed to select the amount in your wallet you wish to freeze. Secondly, vote for your validator(s) who will be making the blocks on your network. The cryptocurrency earned by making these blocks will be redistributed to voters. Lastly, claim your rewards by clicking “Claim” in your relevant account. Rewards are claimable every 24 hours.

    Swapping

    Ledger has released a Ledger Swap feature which allows users to exchange their cryptocurrencies through Challengly, Wyre, Paraswap and 1inch. You send your cryptocurrency from your device to the exchange, which will then send you back the swapped cryptocurrencies.

    To swap you will need: Ledger device, Ledger Live, the app for the crypto you want to swap and receive, and the exchange app.

    Lending

    Ledger is working with Compound (COMP), Aave (AAVE) to allow users to lend DAI, USDT and USDC through their decentralised finance (DeFi) protocols. The purpose of doing this is that the lender could earn an interest on their loan. Ledger Live has also integrated with Alkemi Earn. This is a lending-borrowing protocol that utilizes a permissioned liquidity pool of digital assets comprising ETH, wBTC and stablecoins. The purpose of which is to generate yield for liquidity providers.

    There are numerous benefits when using Ledger to lend:

    Control: You have control and proof that the crypto you lend and generated interest belong to you. When you lend on Compound, you receive cTokens as proof of ownership of lent cryptocurrencies and generated interest. You can redeem your assets and interest by sending cTokens back to the smart contract.

    Security: cTokens are stored on your ledger hardware wallets.

    Convenience: Compound’s lending features are available directly through Ledger Live.

    You can lend crypto using Compound or Aave and Ledger Live in 3 simple steps. Firstly, on Ledger Live’s Manager, install the application for the cryptocurrency you want to lend and create an account. Secondly, enable your account to authorise Compound/Aave’s smart contract to interact with your account. Finally, select the amount of cryptocurrencies you want to lend and issue a transaction to Compound/Aave. Verify and approve the transaction on your device.

    Security Features

    Ledger Nano S Security Features
    Ledger Nano S features 2 hardware chips: ST31H320 & STM32F042

    One of the key reasons to buy Ledger hardware wallets is the firms reputation for security. Cryptocurrencies hardware wallets are like bank accounts – they contain full access to funds and need banking grade security. Ledger Nano S contains two hardware chips:

    • Secure Element:  ST31H320 (secure) is independently certified CC EAL5+ and stores the private key and signs transactions
    • Operating system:  STM32F042 chip is responsible for Ledger’s BOLOS proprietary Operating System.

    Secure elements are separate pieces of hardware (second layer of security). Secure elements have their own storage and limited functionality that hackers cannot breach.

    Even if hackers or malware compromise your computer, the Ledger will still keep your cryptocurrencies secure. Devices like the Trezor One and Trezor Model T have chosen not have secure elements. And so only have a single layer of security.

    The Nano X, Nano S Plus and Nano S are the only cryptocurrency hardware wallets to receive CSPN (First Level Security Certificate) certification. This is issued by the ANSSI (National Agency for Information Systems Security). The certification scheme evaluates multiple aspects of a device’s security. For example firewall, identification, authentication and embedded software by putting it through multiple attack scenarios.

    Similar to the Nano X, users can also protect their funds using a PIN code and passphrase. The PIN code is to generally unlock your device to use it. Whilst you can also set up wallets protected by a passphrase in addition to your primary PIN code.

    If someone threatens you to unlock your device, you can give them the PIN code to access wallets with fewer funds. Meanwhile, passphrase protected wallets contain the bulk of your crypto assets.

    Ledger firmware version 1.6: security enhancements

    With firmware version 1.6., the security of the Nano S has been further enhanced.

    • 24 words recovery phrase confirmation has been simplified and shortened. Now for each of the 24 words of the recovery phrase, users will only choose among 4 words. Therefore making it much easier to get through the process;
    • The Nano S now has the Control Center feature that was originally on the Nano X. Allowing for functions such as accessing settings, locking device or deleting applications possible directly on the device;
    • Added support for Bitcoin Taproot upgrade;
    • Added support for the seed derivation algorithm EIP-2333. Thus allowing you to securely sign a deposit contract transaction for Ethereum 2.0 on your device;
    Before the firmware update
    Before the firmware update. The power consumption is in a predictable pattern.
    Ledger firmware update result
    After the firmware update. The device consumes power in an unpredictable pattern and inverts the PIN code display.

    After the update, we find that being unable to enter PIN code digits in order anymore may be slightly inconvenient. However with cryptocurrencies, security always comes up top over convenience. And with the added partial screen inversion, we see that Ledger’s bounty program is not just a PR stunt. Ledger actually looked into submissions and made the security improvements even when the suggested hack was only hypothetical.

    Ledger Hack?

    In July 2020, Ledger confirmed they suffered a data breach. An unauthorised third party had accessed Ledger’s e-commerce and marketing database. (www.gamepur.com) Ledger collaborated with forensic firm Orange Cyberdefense and determined that the data breach affected around 292,000 customers and exposed approximately 20,000 customer personal records.

    Ledger had reported the matter to authorities and are working with Orange Cyberdefense to investigate.

    Subsequent the breach, users have reported receiving phishing emails and texts. These emails and texts ask users to download a new version of the Ledger software. Clicking the email link redirects users to a fake Ledger site. If users download the “update”, it asks for their Ledger’s recovery phrase but is actually malware. The attacker uses the entered recovery phrase to recover the user’s wallet and sends the user’s cryptocurrencies to the attacker’s wallet. For a full explainer on how the phishing attack works see the report from Kraken.

    phishing-email
    Phishing email sent from info@ledgersupport.io address (Image credit: Kraken)

    Therefore this incident was a “data breach” rather than a “hack”. More importantly, this breach had no link or impact on the Ledger hardware wallets or the Ledger Live app. Cryptocurrencies stored on the Ledger devices have never been at risk.

    Even before the firmware update, the Nano S scored full marks on security. We also note that the hack does not affect the Ledger device itself, so our scores remain unchanged.

    Security: 5/5

    Multi-Currency Support

    Supported Coins on Ledger Nano S
    Supported Coins on the Ledger Nano S

    Ledger has one of the most diverse support for different cryptocurrencies such as Algorand (ALGO), Solana (SOL) and Chainlink (LINK). With their open policy to development from project teams, the Ledger Nano S supports 1800+ different assets. Many of these assets like Vechain or NEO are not found on competitors like the Trezor Model T or KeepKey. Thus making Ledger the only hardware wallet available for many coins.

    One of the initial weaknesses of the Nano S was that it only fit 2-3 apps on the device. However Firmware Version 1.6 allowed users to install 5-11 apps (depending on the type of app installed). This will certainly answer the prayers of a lot of average cryptocurrency holders who generally hold around 5-10 different coins.

    If you need more apps, you can uninstall the ones you’re not using and reinstall them later. Uninstalling apps won’t delete coins and all account information will remain. The newly released Ledger Nano X fixes this problem by increasing the internal memory to 2 MB.

    Ledger’s firmware update directly addressed a significant weakness in the Nano S. Whilst it still can’t beat the Nano X in terms of multi-currency support, it is good enough for most traders. For this reason, we give our thumbs up and bumped the score up from 4/5 to 4.5/5 for multi-currency support.

    Multi-Currency Support: 4.5/5

    Hardware Design

    Ledger Nano S Screen
    Ledger Nano S compared with Nano X

    Ledger Nano S has two hardware buttons – located on the top of the device. These two buttons allows us to access menus (hold both buttons), make selections (press both buttons). And even input recovery phrases (use buttons to scroll). We found that entering PINs and recovery phrases to be tedious with only 2 buttons. Perhaps a touchscreen or additional buttons could have helped?

    With the update 1.6, the Ledger Nano S has an improved display UI. So, the device displays the full cryptocurrency address without the need to scroll. This allows for easier verification of the target destination. The Nano S uses a USB micro-B interface for charging and connecting to the PC.

    With its plans to continue its firmware upgrades in the future, clearly the Ledger will never fully abandon the Nano S.

    Hardware Design: 3.5/5
    Ease of Use: 4/5

    Why Use a Hardware Wallet

    With traditional currencies, you, the user, are the most important person. If you have ever lost your bank card, you can always go to the bank with some sort of identification and request for access back to your account.

    Cryptocurrencies, however, don’t care about the physical person but rather the private key associated with the wallet. You use the private key to verify the account and transactions. Anyone with access to the key can send funds, so you must keep it safe. Additionally, you cannot reverse cryptocurrency transactions.

    Hardware wallets can protect you against these things. They add an extra layer of security by storing the private key on the device itself. The only way to hack it would be to have physical access to the hardware wallet or the backup phrase.

    Ledger Nano S Worth it in 2023?

    In short, the answer is: not really. Ledger has retired the Nano S and even the Ledger S Final Edition. Both are no longer available for sale on the official site. This means that the only places where you’ll be able to buy them are 3rd party sellers or second hand. We highly advise against both options because someone might have tampered with the device.

    Mind you, Ledger will continue to support the Nano S’s firmware so it stays up-to-date. If you were lucky enough to buy the Nano S while it was still available, it is still worth using. Unless, you want the upgraded DeFi and NFT features. If not, your only choice is to get a Nano S Plus. Although this costs an extra 20USD, they did add upgrades to make it worth your while.

    The Ledger Nano S Plus retails for USD$79.

    CLICK HERE TO BUY!

    Learn how to properly setup your Ledger Nano S with our guide.

    Product Specifications (Technical Specifications)

    Ledger Nano S Product Specifications:

    Processors ST31H320 (secure) + STM32F042.
    Compatibility 64-bits desktop computer (Windows 8+, macOS 10.8+, Linux) excluding ARM Processors. Also compatible with smartphones (iOS 9+ or Android 7+) via OTG cable.
    Connector USB micro-B
    Security Certification CC EAL5+
    Size Size: 56.95mm x 17.4mm x 9.1mm
    Weight: 16.2g
    Supported Assets 1100+ Supported assets
  • Bybit Funding Rates and Fees: Everything You Need to Know

    Bybit Funding Rates and Fees: Everything You Need to Know

    Bybit is a cryptocurrency exchange offering trading perpetual contracts in the cryptocurrency market. However, it’s essential to understand the rates and fees that come with using the platform. In this article, we’ll explain Bybit’s funding rates and fees and give you some tips on how to manage them.

    Use our PROMO CODE below to get a sign-up bonus of up to $30,000!

    Bybit sign up referral promo code

    Check out our Bybit guide and review here.

    What is Bybit?

    Bybit is a cryptocurrency exchange founded by Ben Zhou and launched in 2018. The exchange currently has over 10 million users worldwide and supports over 100 cryptocurrencies. Bybit offers the following products: spot trading, derivatives trading (including USDT/USDC perpetual contracts, USDC options, leveraged trading, inverse perps and futures), an NFT marketplace, and Bybit earn.

    Bybit Funding Rate Explained

    Bybit’s funding rate can be challenging to understand for new traders. However, it’s essential to know how it works to manage your trading costs effectively. In simple terms, it is a fee that traders pay or receive when holding a position overnight. If you’re holding a long position, you’ll pay a funding fee if the funding rate is positive. If you’re holding a short position, you’ll pay a funding fee if the funding rate is negative.

    Learn more: Crypto funding rates: How it works and how to earn passive income

    Funding Rate Calculation

    Bybit funding rates on perpetual contracts
    Bybit funding rates on perpetual contracts (Source: Bybit)

    Funding Fees on Perpetual Contracts

    Bybit charges a funding fee for holding positions overnight, and the fee is calculated based on the funding rate. This is calculated using the following formula:

    Funding Fee = Position Value * Funding Rate

    In this formula, “Position Value” is the total value of the trader’s position, and “Funding Rate” is the current funding rate. The fee is charged every eight hours, and it’s debited or credited to the trader’s account.

    The Funding Rate is already stated on the screenshot, i.e. 0.0001%. The Position Value is calculated using the following formula:

    Position Value=Quantity of Contract x Mark Price

    For example:

    Trader Bob holds a long position of 10 BTC contracts and the Mark Price is 16,000 USDT at the end of the funding interval with a Funding Rate of 0.0001%.

    To calculate the Position Value:

    Position Value= 10 x 16,000 = 160,000 USDT

    Now we can calculate the Funding Fee:

    Funding Fee= 160,000 x 0.0001% = 0.16 USDT

    Since the Funding Rate is positive (i.e. 0.0001%), long position holders have to pay short position holders. So, Trader Bob must pay 0.16 USDT to a short position trader. Meanwhile, a short position holder with the same quantity of contracts (i.e. 10 BTC) will receive 0.16 USDT.

    Funding Fees on Inverse Contracts

    Here’s how to calculate the funding fees on Bybit inverse contracts using the below screenshot as an example. Since the funding rate is positive, long position holders need to pay a 0.01% funding rate to short position holders.

    Bybit funding fees on inverse contracts
    Bybit funding fees on inverse contracts (Source: Bybit)

    The funding fee is calculated using the following formulas:

    Funding Fee= Position Value x Funding Rate

    The Funding Rate is already stated on the screenshot, i.e. 0.01%. The Position Value is calculated using the following formula:

    Position Value=Quantity of Contract / Mark Price

    For example:

    Trader Tom holds a long position of 10,000 BTCUSD contracts and the Mark Price is 16,000 USD at the end of the funding interval with a Funding Rate of 0.01%.

    To calculate the Position Value:

    Position Value= 10,000 / 16,000 = 0.625 BTC

    Now we can move on to calculate the Funding Fee:

    Funding Fee= 0.625 x 0.01% = 0.0000625 BTC

    Since the Funding Rate is positive (i.e. 0.01%), long position holders have to pay short position holders. So, Trader Tom must pay 0.0000625 BTC to a short position trader. Meanwhile, a short trader holding the same quantity of contracts (i.e. 10,000 BTCUSD contracts) will receive 0.0000625 BTC.

    When does Bybit calculate its Funding Rates?

    Bybit generally calculates its funding rates every 8 hours i.e. at 00:00 UTC, 08:00 UTC and 16:00 UTC. These are known as “funding intervals”. However, Bybit may adjust the interval depending on the live market situation. Particularly if there is a significant gap between the Last Traded Price and the Mark Price.

    What are the Last Traded Price and the Mark Price on Bybit?

    Bybit uses two prices to protect traders from market manipulation, also known as a Dual-price Mechanism. These are the Last Traded Price and the Mark Price. The Mark Price is used to decide when to liquidate a trader’s position and to measure their profits and losses. It is based on a global Spot price index plus a decaying funding basis rate. A trader’s position will only be liquidated if the Mark Price reaches their liquidation price. The Mark Price can be found at the bottom right-hand corner of the page.

    The Mark Price can be found at the bottom right-hand corner of the page.

    Bybit Mark Price
    Bybit Mark Price as shown in yellow (Source: Bybit)

    On the other hand, the Last Traded Price reflects Bybit’s current price and is always anchored to the spot price.

    When do Bybit traders pay/receive the funding fee?

    Traders will only pay or receive funding fees if they hold an open position at the end of every funding interval. As mentioned, this is generally at 00:00 UTC, 08:00 UTC and 16:00 UTC. However, Bybit warns users that opening/closing a position within 5 seconds before/after the funding interval does not guarantee they would be included or excluded from receiving or having to pay.

    Bybit funding rate and countdown
    Bybit funding rate and countdown (Source: Bybit)

    Users can see the current funding rate and when the next funding interval ends on Bybit. In the example above, the funding rate is negative. This means that short position holders will pay fees to long position holders at the end of the countdown.

    The funding rate mechanism happens between traders, so Bybit doesn’t take any fees. If a user has to pay a funding fee, it is taken from their available balance. If they don’t have enough money in their balance, the fee is taken from their position margin. This can make the liquidation price of their position more likely to reach the mark price. This increases the risk of liquidation.

    Bybit Funding Rate History

    Bybit’s funding rate history is available here on the platform’s website. The history is crucial for traders who want to understand how the rates have changed over time and make informed trading decisions.

    Mobile App

    Bybit has a mobile app that you can download from Google Play or the Apple App Store. The app helps traders keep track of the latest rates and fees. It has a chart that shows the current funding rate for each contract on the platform.

    Managing Bybit Funding Rates and Fees

    Bybit funding rates and fees can affect how much money a trader makes. Traders need to manage these costs to make the most profit. Here are some tips on how to do that:

    1. Watch the funding rates for the cryptocurrencies you trade. Look at the chart and past data to find patterns and make better decisions.
    2. Be careful with your positions to lower your funding fees. Close positions before the funding interval if the rate is high or if you’re not sure about the position.
    3. Bybit lets you trade with up to 100x leverage. This can make your profits or losses bigger. Use leverage carefully and don’t take on too much risk.
    4. Make sure you have enough money in your account to pay the funding fees. Bybit will close your positions if you don’t have enough money to pay the fees.

    How to profit with Bybit Funding Rates and Fees

    Crypto funding rates are linked to the price trend of the asset. The spot market sets the rate. When the price of the cryptocurrency is going up, the rates will be higher. When crypto prices are rising, there are usually higher trading price premiums and rates. In these situations, traders who hold short positions on perpetual contracts and go long on the spot market can earn funding fees.

    When crypto prices are falling, the trading price of perpetual contracts will be lower than the spot price. This will make funding rates go down. Traders who go long in the perpetual contracts market and hold short positions in the spot market during this time can receive funding fees.

    On Bybit, you can check the historical and predicted rates here.

    Bybit historical funding rates
    Bybit historical funding rates (Source: Bybit)

    Conclusion

    Bybit is a popular cryptocurrency trading platform that offers perpetual contracts on several cryptocurrencies. Traders need to understand the funding rates and fees associated with the platform to manage their costs effectively. By monitoring the rates, managing their positions, using leverage wisely, and keeping a sufficient balance, traders can maximize their profits on Bybit.

    Sign up and get started today!

    Frequently Asked Questions (FAQs)

    What is Bybit funding rate?

    Bybit funding rate is the interest rate that traders pay or receive for holding positions overnight. It is calculated based on the difference between the funding rate index and the last traded price of the contract. Bybit charges a funding fee every eight hours for holding positions overnight.

    What are Bybit funding fees?

    Bybit funding fees are the fees charged for holding positions overnight. The funding fees are calculated based on the position value and the funding rate. The funding fee is debited or credited to the trader’s account based on the position they hold.

    How are Bybit funding rates and fees calculated?

    Bybit funding rates and fees are calculated based on the position value and the funding rate. The funding rate is determined by the difference between the funding rate index and the last traded price of the contract. The funding fee is calculated using the following formula: Funding Fee = Position Value * Funding Rate.

    What is Bybit funding rate chart?

    It is a chart that shows the historical funding rates for each cryptocurrency offered on the platform. Traders can use the chart to analyze the funding rates and make better-informed trading decisions.

    What are some tips for managing Bybit funding rates and fees?

    Traders can manage Bybit funding rates and fees by monitoring the rates, managing their positions carefully, avoiding overexposure to the market, using leverage wisely, and ensuring that they have a sufficient balance in their account to cover the funding fees.

    What is the funding fee Binance?

    Binance also charges a funding fee for holding positions overnight. The funding fee on Binance is calculated using the same formula as Bybit. However, the rates and fees on Binance may differ from those on Bybit.

  • Saito ($SAITO): Providing Scalability and Decentralization Towards Web3 Development

    Saito ($SAITO): Providing Scalability and Decentralization Towards Web3 Development

    Blockchain technology is often considered the best solution to problems caused by centralization. Through blockchain, people get to exercise authority over their personal affairs and enjoy more security and sovereignty, especially with financial transactions. Yet despite all the advantages of blockchain adoption, the technology also has a few current drawbacks.

    Many people complain about unstable and sometimes relatively high transaction fees. For some people, the main problem with blockchain is a lack of interoperability between several different systems while others worry about response time or latency. However, a bigger issue lurks around the corner – scalability.

    Compared to traditional systems, blockchain technology might be a long way from tackling the scalability problem. Saito Network helps to solve these issues by providing unique solutions for the general growth of the sector.

    What is Saito ($SAITO)?

    Saito ($SAITO) is a layer-1 blockchain that provides a permissionless and scalable network for decentralized applications. The open network also supports in-browser crypto applications without private APIs or plugins. 

    Saito aims to tackle problems caused by centralization, as well as scalability issues that are commonplace with both Proof-of-Work (PoW) and Proof-of-Stake (PoW) blockchains. Instead of paying stakers and miners for block production, the network directly pays internet service providers, allowing easy use of regular browsers for decentralized projects. This method helps new and existing Web3 projects run cost-effective operations instead of paying node operators like Infura.

    Learn more about Proof of Stake (PoS) vs Proof of Work (PoW) with our article: Proof of Stake Explained

    Saito’s open infrastructure provides better security for projects looking to host on a blockchain without intermediaries. A problem with employing the services of a middleman is the apparent centralization of a supposedly decentralized product. Another issue is that projects connected to the blockchain through node operators are open to several risks if the operator becomes compromised or otherwise unavailable. For example, in 2020, Infura suffered an outage that caused Binance and other exchanges to disable ERC-20 transactions. By connecting projects directly to the blockchain through the browser, Saito Network allows decentralized apps or other infrastructure to host their own nodes without an intermediary.

    Features of Saito

    Saito’s decentralized framework is essential to the ongoing shift to Web3. Since a major tenet of Web3 is decentralization, the platform’s basic structure is the critical tool developers and various projects need to compete in the new iteration of the internet. The following Saito features place the network at the forefront of Web3 development:

    • Truly Peer-To-Peer: Saito ensures that projects and all their transactions are truly peer-to-peer. No go-between is required.
    • Scalable Onchain Data: Saito solves scalability problems by providing easy dApp support through browsers instead of relying on a node operator.
    • Browser Applications: All projects will quickly onboard and operate decentralized applications directly through a browser, without the need for a plugin like MetaMask.

    What makes Saito special?

    In addition to the advantages Web3 projects enjoy through Saito, the platform also offers the following:

    • Dynamic App Support: Saito’s network provides a valuable framework for several applications regardless of data or bandwidth requirements. Developers can build anything from games to social media apps and communication tools.
    • Open Infrastructure: Other networks can take advantage of Saito’s infrastructure to tackle interoperability problems. 
    • Web3 Blockchains: All applications built on Saito support Polkadot and many other major Web3 blockchains, with many more coming down the line.
    • Enterprise PKI Support: Saito’s scalable PKI network layer tackles network security head-on. The layer’s basic design satisfies enterprise-level and encryption requirements.
    • App Deployment: Developers can easily create and publish apps on Saito’s platform. App creators can do everything from start to finish without any third-party infrastructure.
    • Vibrant Community: Joining the Saito community exposes projects and developers to an active and growing community of like-minded people excited about Web3 development.

    Saito has already processed more than 10 million transactions and averages over 30,000 transactions per day. With more than 30 popular applications and modules already in the works, Saito has positioned itself as the best chance for the ongoing evolution of Web3.

    SAITO Token: What is it?

    SAITO token is the network’s native asset, a utility token that powers activities on the platform. The platform offers two types of SAITO on different networks, an ERC-20 variation and the Layer One SAITO. The ERC-20 tokens are wrapped tokens in ERC-20 form and are available to public sale participants over vesting periods. Wrapped SAITO asupports purchases and permissionless integration in off-chain applications. Users who hold ERC-20 SAITO also enjoy token withdrawals to any public Saito fork.

    Layer-One SAITO tokens have on-chain utility and represent 75% of all tokens minted. As the network expands, on-chain SAITO holders will enjoy increased liquidity and convertibility. However, holders cannot directly convert Layer-One SAITO to ERC-20 SAITO. Of the allocated 75%, the Saito Foundation retains 20%, while strategic partners share a 10% pool. Rewards, contributors/developers, and the Saito core team all receive 15% each of the SAITO token supply.

    Visit Saito’s latest developments here:

    Website | Twitter | Telegram | Discord

  • IX Swap: The Uniswap For Security Tokens & Fractionalized NFTs

    IX Swap: The Uniswap For Security Tokens & Fractionalized NFTs

    Despite the tremendous growth of the decentralized finance (DeFi) industry, it still faces a key problem – the liquidity of operations due to the lack of licensing and market makers in the industry. IX Swap ($IXS) provides a solution through regulatory compliant liquidity pools, automated market making functions for security tokens (STO), tokenized stocks (TSO), and fractionalized NFTs (fNFTs).

    By using blockchain technology to build liquidity and infrastructure solutions for their security token ecosystem, IX Swap is able to provide global trading and access to this untapped asset class. The platform will be the first bridge between decentralized finance (DeFi) and centralized finance (CeFi) to facilitate trading of security tokens through licensed custodians and security brokers which will provide actual ownership and claim over these real world assets.

    The Security Token: A DeFi Solution For Crowdfunding

    Capital raising has evolved rapidly over the years, originating from traditional stock markets in Wall Street. It then moved onto less conventional methods, such as crowdfunding platforms like Kickstarter, which is a different evolution of the same concept.

    One of the newer and more creative innovations in the ever-evolving landscape of capital markets and crowdfunding was derived from the birth of Bitcoin and Ethereum. These innovations allowed blockchain enabled technology platforms to develop ecosystems where tokens were minted – to provide some sort of utility, or just a pure token for their native platform. Such initial coin offerings (ICOs) enabled entrepreneurs to raise money globally from potential users of their products while simultaneously achieving market fit.

    This phenomenon created a new wave of funding into the markets as companies were able to raise millions overnight with a theoretical “whitepaper” with little to no development done on the project. In this overnight, unregulated industry, funding became cheaper and easier compared to raising money through the traditional debt/equity markets. 

    It also attracted sharks that sensed an opportunity to abuse the easy money and lack of regulations. By the end of 2017, the number of ICO scams had increased exponentially, with 80% of ICOs being scams. This led to the U.S. Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) to step in and take a more active stance towards the industry, targeting companies that the SEC deemed as securities rather than utility tokens.

    As regulatory scrutiny began to rise, security token offerings (STO) became the natural evolution of ICOs. Security tokens provide access to digital asset markets while still adhering to regulatory standards, making it the perfect fit for the digitization and tokenization of certain assets that may be deemed securities.

    What is IX Swap?

    By trading securities, you are trading a right of ownership or claim to an asset in the real world. Therefore, it is no surprise that security tokens and tokenized stocks are regulated assets. To deal with securities, a market maker requires licensing, strict regulation, and the right infrastructure to accommodate trading and the custody of these securities. 

    IX Swap meets all of these requirements, effectively solving the key liquidity problem. IX Swap achieves this by building a blockchain system with infrastructure designed for the STO and TSO (Tokenized Security Offering) ecosystems. The platform could be considered as the “Uniswap” that provides liquidity pools and automated market-making functions for securities.

    Investors of securities will be able to contribute to the ecosystem and issuers of securities will be able to create their own liquidity pools. 

    IX Swap Features

    Some of IX Swap’s main advantages and solutions include:

    • Security — By leveraging blockchain technology, IX Swap is able to provide security and transparency
    • Liquidity pools for tokens/TSO — Holders of STO/TSO tokens will be able to extract liquidity legally for the first time
    • Unique platform — IX Swap is DeFi’s first market-making solution built specifically for STO and tokenized stocks
    • Lending — Users will be able to lend their idle assets to earn passive income
    • Licensed partners — IX Swap has partnered with licensed intermediaries to address the nuances of the securities
    • Reduced fees — Reduced fees compared to 1–2% charged by banks for private asset investments
    • Mining and staking — Holders have the option to earn and grow the value of their assets through liquidity mining and staking
    • IL Insurance — IX Swap has been structured to include an impermanent loss (IL) insurance mechanism to reduce the effect of IL on liquidity providers

    Fractionalized NFTs on IX Swap

    A non-fungible token (NFT) is a unit of data stored on the blockchain that certifies a digital asset to be unique and therefore not interchangeable. NFTs can be used to represent items such as photos, videos, audio, and other types of digital files. The substantial rise in value of many NFTs have given way to the concept of fractionalization. Fractionalized NFTs (fNFT) allow smaller investors to pool resources to purchase fractional interests of an NFT.

    IX Swap will soon allow users to bid and purchase fractionalized NFTs on its platform. According to their roadmap, they plan to roll out this feature in Q2 of 2022.

    Fractionalization provides many advantages for owners, including:

    • Retained ownership while freeing up liquidity
    • Curated fees from fractionalization
    • Access to a larger audience as more investors would have access to a singular NFT
    • Increased utility for NFT through DeFi applications
    • Positive price correlation through fractionalization
    • Lower floor prices for new NFT investors

    Fractionalization also brings benefits for investors, such as:

    • The ability to purchase a fraction of an NFT that would otherwise be too costly for 100% ownership
    • DeFi applications to generate additional yield from holding NFTs
    • Greater liquidity and trading platforms to realize gains from the fractionalized NFTs
    • Portfolio diversification through multiple fractional investments

    There has been significant debate in recent times surrounding the classification of NFTs and if they are securities. OpenSea, one of the worlds largest NFT marketplaces, put a freeze on trading for a project called DAO Turtles given the uncertainty whether these assets were securities.

    According to Chris Donovan, the Head of Legal at UK VC Outlier Ventures,  NFTs can be considered securities under certain circumstances — with one of those circumstances being fractionalized NFTs “embodying rights to royalties,” or sold with the promise of future liquidity and continued services from the issuer.

    By purchasing fractionalized NFTs through IX Swap, owners and investors can rest easy in the event that these assets are deemed securities thanks to the regulations within the platform.

    STO vs NFT: What are the differences?

    Due to the similarities in their characteristics, STOs are constantly being compared to NFTs, and the comparison is justified. STOs and NFTs are both vehicles that provide proof of ownership of an asset, only presented in different ways. 

    The concept behind STOs is relatively simple. Unlike ICOs, where the token is considered a currency or a means of utility, STOs are securities and are regulated assets by government authorities. Herein also lies the key difference between STOs and NFTs: STOs are regulated assets, whereas, for NFTs, they are still unregulated despite having similar ownership rights over an asset.

    The determination of whether an NFT is a security is generally based on the characteristics of the NFT and may differ. For example, you might have a piece of art that you have collected to appreciate the artwork; this NFT would not be classified as a security. However, an NFT that provides ownership over a financial asset or even a house — would definitely classify as a security and would technically be classified as a security token.

    There is no right and wrong to which structure is better, as both STO and NFT structures are excellent in their own rights and are highly innovative solutions to represent ownership over an asset.

    $IXS Token

    The IX Swap ($IXS) token is the native cryptocurrency and utility token for the IX Swap platform and will be freely traded on cryptocurrency platforms. Utilities for the token include:

    • Staking $IXS tokens for a fixed income percentage on the IX Swap platform;
    • Staking $IXS in liquidity pools to receive a portion of the pool profits;
    • Staking $IXS on the platform will provide voting and governance functionalities for the IX Swap platform;
    • $IXS is the native payment token on IX Swap’s first broker/dealer partner platform, InvestaX; and
    • $IXS token holders get priority access to new primary STO listings.

    IXS will be distributed as incentive rewards to ecosystem contributors. IXS paired pools will have boosted returns over non-IXS paired pools. The IXS tokens also have a distinct deflationary economics function to ensure value is created for token holders the more the platform is used.

    IXS token’s deflationary tokenomics:

    • 5% of fees will be sent to a permanently locked vault reducing the overall token supply
    • 5% of fees will also be sent to a vault to purchase IXS tokens; and
    • Rewards earned on the platform will be distributed over time to ensure token inflation is reduced.

    Conclusion

    STOs are bridging the gap between traditional money markets and the new era of digital currencies by tokenizing traditional investment types, such as stocks, bonds and commodities. Tokenization of an asset is among one of the most powerful ways to express and manage an asset, where it is represented directly on the blockchain in the form of a token.

    IX Swap solves the liquidity problem for secondary trading of STOs that is both algorithmic driven and allows for anyone to participate in the allocation of market making capital, and therefore benefit from the subsequent fees of being a liquidity provider. This DeFi solution will bring in a new wave of liquidity to STO trading and solve a key industry problem. (Zolpidem)

    FAQs

    What is IX Swap?

    IX Swap is the world’s first liquidity pool and automated market maker (AMM) provider for security tokens, tokenized stocks, and fractionalized non-fungible tokens.

    What is a liquidity pool?

    A liquidity pool in cryptocurrency markets is a smart contract where tokens are locked for the purpose of providing liquidity for trades.

    What is an automated market maker (AMM)?

    An AMM is a type of decentralized exchange (DEX) protocol that relies on a mathematical formula to price assets using blockchains and smart contracts. Instead of using an order book like a traditional exchange, assets are priced according to a pricing algorithm. Any investor can participate in the DeFi liquidity pools and earn fees as a benefit.

    What is a security token?

    Security tokens are tokenized securities. They are digital forms of traditional securities that live on a blockchain. These tokens could represent ownership of a fraction of any valuable asset, like a car, real estate, or corporate stock.

    What are tokenized stocks?

    Tokenized stocks are tokenized derivatives that represent traditional securities, particularly shares in publicly traded firms on regulated exchanges.

    What are fractionalized NFTs?

    Fractionalized NFTs are NFTs split into smaller pieces by their original owner. Fractionalized NFTs enable investors to own part of an NFT that would otherwise be unaffordable. It also enables the owner to release some of the value in their NFT without selling it fully.

    Official Channels

    Website — https://ixswap.io/

    Twitter — https://twitter.com/IxSwap

    Telegram — https://t.me/ixswapofficial

    Medium — https://ixswap.medium.com/

    LinkedIn — https://www.linkedin.com/company/ixswap

  • 7 Best Crypto Password Managers

    7 Best Crypto Password Managers

    Intro

    Generally speaking, creating strong passwords and protecting those passwords from being found out is a user’s key tenant in their own protection online when using certain services. But creating complex enough passwords that are difficult to guess or hack with a dictionary attack often leaves a bunch of passwords for each service that’s difficult to even remember. 

    You could write it down, but that could be found out. And while browsers like Google Chrome do come with their own password managers, that does leave all your passwords behind one single password that is probably just as vulnerable as any others.  

    Password security is particularly important for crypto enthusiasts and traders, who deal with hackers and infiltrations on a far more regular basis than regular internet users, because there’s literally money to be gained by these bad forces and stolen funds are extremely difficult to recover. There are a lot more hackers out there, and a lot of times where cryptocurrency and other digital assets get stolen.

    So with that in mind, a slew of password managing services have become available in the market over the years to aid users with this specific security issue. Let us look at some of the most popular ones in the market right now. (https://duckysonline.com/)

    1- Yubikey

    Yubikey

    Check out our video: YubiKey Review and Guide for a full look at how to use the YubiKey and all its features. You can also check out our article Yubico’s YubiKey: Review and Guide for a step by step written guide on how to use it. Also, check out our YubiKey Review and Guide for a full look at how to use the YubiKey and all its features:

    YubiKey Review and Guide

    Pros:

    Fundamentally, the YubiKey has the same advantages of having a literal physical key for a physical vault. It’s a physical object, so in order to login and configure the account of an online service, the actual YubiKey must be used to deliver the necessary passwords it provides.

    This already makes the usage of hardware authenticators like YubiKey very hard to hack, which is why Google and Facebook use them to secure employee and user accounts.

    Yubikey, like all hardware authenticators, essentially allow two factor authentication (2FA) to be used safer and more conveniently, because it can produce one time passwords (OTP) you don’t have to create yourself or remember and enter them for you. So not only is it safer, but it’s also very convenient – two advantages that don’t usually coincide. 

    Physical hardware authentication devices are particularly good at avoiding the kind of hacks seen in Coinbase and USD1mil crypto heist last year, where SMS-based 2FA codes were hacked using SIM swapping. 

    It’s easy to set up as well as use and provides a strong layer of security for the services it protects. Just plug it in, follow the prompts on the service that you’re using (assuming it is supported), press the key and it’s set. 

    For crypto exchanges such as Binance, password keys like the YubiKey can be set to lock withdrawals, logins and password resets individually. What this means is that even if someone were to hack into the account, the individual actions a hacker could do inside is also locked away and needs the YubiKey to access them.

    Cons:

    Its greatest strength is also perhaps its biggest weakness. Physical objects used for security can still be damaged, left behind in a rush by accident or even lost. And losing a YubiKey can involve some incredibly tedious solutions, so be forewarned. On top of that, some might find the need to carry one around a minor inconvenience, particularly if they do exchanges in different locations. 

    Another issue that needs to be addressed is that some crypto exchanges might not support YubiKey, particularly for mobile users. So it’s important to check for support before purchasing one. For mobile power users, this makes the YubiKey models with USB-C and Lightning connectors somewhat useless, even if USB-C models are still useful on certain laptops like MacBooks. 

    One minor issue was discovered by the people at Zapier who kept triggering their YubiKey’s when accidentally touching them, resulting in a secured code being entered into whatever textbox you have open at the time. It’s happened so often on Slack, that Zapier has decided to run with the joke and made a custom Slack emoji. Most hackers won’t know what to do with this sudden burst of password code getting posted on a chat, but it’s not a habit many would encourage, and they do provide a means to make the press less sensitive.

    And like many password managing solutions, this won’t stop hackers from getting into your account if the exchange itself is not secure. 

    2- Trezor Password Manager

    Trezor

    Check out our video: Trezor Model T Guide and Review and our article which answers the all important question- Trezor Model T Review: Is it Worth Buying?

    Trezor Model T Guide and Review

    Pros:

    Using the Trezor physical wallet as a password manager is somewhat similar to using the YubiKey, but takes the process of securing passwords one level higher. Physical wallets like Trezor and Ledger are cold wallets because they confirm transactions within themselves before they are made, and while you compromise convenience and speed using them, they are by their very nature far more secure. 

    And by virtue of how it works, Trezor can essentially save an unlimited amount of passwords too. 

    One noted advantage The Trezor might have over the YubiKey is that so long as you know your seed key, losing a Trezor and getting a replacement is far more straightforward. It is a series of words between 12 and 24 words long using the BIP39 format, and using it in one physical wallet that supports it basically replicates that wallet in another device, restoring your passwords and addresses.

    Cons:

    It’s important to note that while using a Trezor as a password manager, it’s main focus is as a physical wallet. Getting one as just a password manager is a bit overkill considering the prices they go for. It must also be pointed out that this is still a physical device that can be lost or damaged, and replacing one is still kind of pricey as well. 

    On top of that, the seed key is fundamentally the wallet’s identity and is often targeted by hackers. The same convenience that allows a Trezor to be replaced with a seed key, also means anybody else that has it can replicate yours too and steal your assets, if you’re not careful.  

    It is therefore incredibly risky to keep online, so it must also be written down or inscribed on a physical medium of some kind. Paper is typically not encouraged, but there are metal alternatives that are far more durable and secure. Again, these can be damaged, lost or stolen if you’re not careful too. 

    If you have multiple physical wallets (and some traders do, for diversification and security purposes), you can use a single physical wallet to store the multiple subordinate sed keys, but this can also lead to a recursive rabbit hole of problems, where compromising of the “prime” key jeopardises the other “subordinate” keys, even if the later is now incredibly secure.

    But to be fair, if you do trade large amounts of capital and you are concerned about hackers, then maybe getting a physical wallet like the Trezor is not a bad investment, and if they are valuable, most people know to treat them as such and secure them well. Plus you get to reap the perk of having a physical authentication device that supports far more kinds of cryptocurrency than the YubiKey. 

    3- LastPass

    lastpass

    Pros:

    Lauched in 2008, LastPass is well-known among cyber-experts and is among the most feature-rich password protectors available. It has multi factor authentication as well as  browsers and is easy to use. The free version is also pretty decent but has its own limitations as we’ll get to below. 

    LastPass also uses 256-bit AES encryption to scramble your passwords, allowing a zero-knowledge policy within the company. It also allows users to use it in an offline mode, which is a rare trait in online password managers. 

    The product is also very highly rated across the board for its incredibly feature rich paid-version and is generally considered affordable for what it can do, with Forbes, CNET and many other tech sites. 

    Cons:

    There have been potential security risk discoveries in 2021, 2019, 2018, 2017 (and again in the same year), 2016, 2015 and 2011 where vulnerabilities were discovered and then patched, but the password vaults themselves were secure. Lack of open source code aside, they have also never been vetted by a third-party auditor to test their product.

    One the one hand, this could be a little worrying. Even if no passwords seemed to be compromised, the idea that they could have been is a little nerve-racking. But on the other hand, LastPass seems to be on the ball with regards to making sure users are well-informed and that their product is constantly patched and reinforced. 

    LastPass will also lock you into the country that you’re in, but you can add more countries into your permissions as needed. Or you could get around that issue and use a VPN. 

    LastPass’ free version has seen what might be seen as a huge downgrade as of last year after it was limited to only one device per user. People already on LastPass’ free version before found this change worth swapping to another manager altogether. For newer users looking to just secure one device, this isn’t really an issue but most password manager users would rather their manager work across several platforms.   

    4- KeePass

    keepass

    Pros:

    At first glance, this doesn’t look like a very impressive password manager. The installation is a bit confusing and the application itself isn’t very stylish or intuitive.

    It is however open-source and free (barring the modest demand for donations), and while the former seems frivolous to the end user and the later not all that important to crypto-enthusiasts who are looking to protect fairly large amounts of capital from hackers, they matter for two crucial reasons

    Firstly, its open-source nature allows anyone to create a startling myriad of plug-ins and customisations. This almost DIY nature of KeePass allows a savvy-enough user to modify KeePass in almost whatever way they want. On top of that, it could be argued that open-source software allows more experts to scrutinise it and its flaws (assuming a sizable-enough enthusiast community, which KeePass has). 

    Secondly, that it is free makes it an incredible password management solution for tech-savvy individuals, tech businesses or organisations that are cash-strapped but have the skills to utilise KeePass to its fullest potential. Staying free factor turned out to be quite an important factor, as LastPass’ changing its terms on its free users showed. 

    On top of that, various versions of KeePass (that was originally meant to run on desktops and laptops) have come about to provide for platforms it wasn’t originally designed for, such as for iPhone and Android.     

    Cons:

    KeyPass’ incredibly customisable, almost DIY nature also reflects the fact that on its own, it is a very bare password manager and probably alienating to a user who isn’t particularly tech-savvy or wants to do the extensive customization to provide features its other rivals have out of the box. 

    The necessity for its over 100 plugins to provide the convenience most other solutions have right out the box is going to turn off people who want to simply get the solutions over and done with. Its interface is not intuitive and there is no official tech-support. 

    On top of that, you must choose which database to store your encrypted passwords, because it does not have cloud-based storage for them built in. It is possible to have KeePass store it on detachable storage, such as a thumbdrive, but again, that must be opted. This does make it more secure, but if the storage device is stolen, you lose access to all your devices. 

    5- BitWarden

    bitwarden

    Pros:

    In many reviews either about, including or just mentioning Bitwarden, the positives of its free version are often contrasted to LastPass’ own ever since the later changed its free version’s service terms to only sync between either personal computers or mobile devices, almost to suggest that Bitwarden has dethroned LastPass among free app users. 

    And it’s hard to deny that it has earned its reputation as one of the best open-source free password managers out there.

    Bitwarden provides multi-factor authentication via authenticator apps, and is secured with AES-256 encryption, which is then hashed with SHA-256. You can even host all your passwords on your own server for added security. Bitwarden also allows you to create and share passwords and audit password usage. It also auto-fills passwords and their credentials in one go, though this can malfunction on certain sites. And all synch via an unlimited amount of devices. 

    That’s not to say that it’s affordable paid version doesn’t get much better, with support added for YubiKey, U2F, and Duo, 1GB encrypted data vault storage, vault health reports, a time-based OTP authenticator and generator and even priority customer support.

    Its creators too have had a sterling reputation for transparency, having gone through a third-party audit by Insight Risk Consulting as well as German cybersecurity team Cure53, while its source code is available for anyone on Github to examine. It has even a bug-bounty on vulnerability coordination platform Hackerone. 

    Cons:

    Like its open-source counterpart KeePass to an extent, Bitwarden does suffer from a lack of an intuitive interface and its true capability requires some expertise to extract via plugins. But generally speaking, it’s an incredibly difficult password manager to fault for most reasonably experienced users. 

    6- Keeper

    keeper

    Pros:

    Its introduction is fairly intuitive and quite helpful, walking you through the setup process step-by-step from a warning about browser-based password managers to password imports, and then an installation of web plugins, a tour of its features and the introduction of multi-factor authentication. 

    Keeper can be used via a web-app, but the actual desktop app allows for biometric logins and an offline mode. Keeper also has a series of other add-on features that you can pay for (or opt out from), such as encrypted file storage, secure messaging and dark web monitoring. Overall, it’s a well-priced, intuitive and easy to use password manager with rather good support for businesses. 

    In terms of security, Keeper is quite strong, having third party audits, compliance with ISO 27001 information security management system standards, the US Department of Commerce and the European Commission’s Privacy Shield framework and even has an internal bug-bounty programme.

    Keeper is priced somewhat similar to LastPass for its first package tier, but offers a wide variety of packages to suit various sorts of needs for families, business and whole enterprises, and offers a 50 percent discount if you are a student. 

    Cons:

    The most glaring drawback to Keeper is that its free version, while reasonably capable, can only do those things on one mobile device. There won’t be any auto-fill for passwords. Also, Keeper’s free version may be terminated within 12 months of inactivity and take your passwords and files with it. Finally, Keeper’s support is also not as good with personal users.

    One possible vulnerability is that Keeper doesn’t fully automate password updates. When it detects a password-change page, it offers to update and save a stronger password. Your passwords exist for a certain time on Keeper’s company servers – unconducive to the zero-knowledge test.

    7- 1Password

    1password

    Pros:

    It’s one of the best password managers available on the market right now, priced similarly to LastPass for its standard version, which allows unlimited passwords across unlimited devices, and is offered in a variety of packages suited for their intended demographics too. This allows 

    It has the sort of features you expect from a good password manager of this range, such as 256-AES encryption, a zero-knowledge policy, two factor authentication, password strengthening and good browser extensions.On top of that, it has straight-forward security recommendations and an easy to use interface.

    However, it stands out with some interesting features that make it particularly useful. 

    One is being able to make multiple password vaults that you can organise for different purposes. On family and business plans, you can set up sharing settings with other users that are unique to each vault. On business plans specifically, administrators can remotely configure these settings for team members.

    When in travel mode, it hides all password vaults and only shows the ones deemed safe for travel, and gives no indication that the mode is on, which is good if someone wants to keep sensitive information secret, particularly if a device is stolen. Such vault information might include form fills, passwords, secure documents and credit card information.

    It will also tell you if your passwords are weak, or if you’ve been reusing them for different services, and has a simple-to-use feature that wipes clipboards to remove sensitive data after a timer is set. 

    1Passworld can also create an Emergency Kit – a PDF with your account email, Secret Key, and a place for you to write down your master password. It offers peace of mind in case you lose some valuable bit of data and can’t gain access to your passwords.

    Cons:

    There are some minor concerns, though. 1Password’s browser extensions can’t be used to add passwords or edit them, and while it will tell you if your passwords are weak, it won’t insist they get stronger with special characters, which is odd.

    Also, if you’re moving from a different password manager, you must export your passwords via a CSV file, which seems less secure. 

    It also has no free version. 

  • Starly.io ($STARLY) global listing and staking program

    Starly.io ($STARLY) global listing and staking program

    STARLY listing on KuCoin

    Starly ($STARLY) will be launching on KuCoin with STARLY/USDT trading pair. Details are as follows:

    • Deposits open from 16 February 2022 (Supported Network: BEP20)
    • Trading: 10:00 on 17 February 2022 (UTC)
    • Withdrawals: 10:00 on 20 February 2022 (UTC)

    The total supply of STARLY will be 100,000,000 with a market cap of US$4,756,784.

    The circulating supply will be 5,945,980 STARLY at US$0.8.

    Starly token staking: How to guide

    Staking your STARLY tokens helps support the development of Starly, in return, token stakers can receive rewards. Staking Starly requires 2 simple steps:

    1. Add STARLY tokens to your wallet; and
    2. Stake STARLY

    How to add STARLY tokens to your wallet

    To add STARLY onto your wallet, you must be on the Flow blockchain. For those who participated in Starly’s Blocto IDO, your tokens are already on Flow.

    On the other hand, if your STARLY is on Binance Smart Chain (BSC), you will need to use the Blocto teleport to bridge your STARLY from BSC to Flow by connecting your wallets. On the Blocto teleport:

    1. Select the STARLY token;
    2. select BSC blockchain in the “from” field;
    3. select Flow blockchain in the “to” field; and
    4. select “connect BSC”.

    How to stake STARLY tokens

    On the Starly website, go to the “Staking” tab and enter the amount of STARLY you would like to stake (Tip: you can stake your STARLY in several batches so that you can unstake them separately later on).

    After you have staked your tokens you would be able to see the amount staked, unlock date, and annual interest. Staked tokens are locked for 30 days- afterward you can claim your tokens and STARLY rewards at any time. Of course, the longer you stake your STARLY tokens, the more additional tokens you can earn. To unstake your Starly, simply click “unstake”. (https://www.disabilityhelpcenter.org/)

    Staking STARLY will yield a guaranteed 15% annual percentage rate. However, for a limited time only, Starly is offering a special 20% APY on all tokens staked before 15 March 2022.

    Learn more about staking STARLY here.

    About Starly

    Starly ($STARLY) is a launchpad and marketplace for creators and collectors to expand their economies around gamified NFT collections. Collecting NFTs on Starly will be an immersive experience with different NFT rarity classes, distribution of NFTs in sealed packs along with features such as limited editions, rewards, collector scores, and game-like mechanisms.

    NFT collectors on Starly can experience the excitement of pack opening, marketplace trading, all whilst being rewarded for achieving key milestones. Starly aims to transform NFTs into a social experience and create a one-of-a-kind relationship between the creators and their community.

    Find out more

    Website: https://starly.io

    Twitter: https://twitter.com/StarlyNFT

    Discord: https://discord.com/invite/starly

    Telegram: https://t.me/starly_chat

  • Only1 ($LIKE): Solana’s NFT-Powered Social Platform

    Only1 ($LIKE): Solana’s NFT-Powered Social Platform

    Only1 ($LIKE) is the first NFT-powered social platform built on the Solana blockchain. Mixing social media, a non-fungible token (NFT) marketplace, a scalable blockchain, and the native token — $LIKE, Only1 offers fans a unique way of connecting with the creators they love. By using the Only1 platform, fans will have the ability to invest, access, and earn from the limited edition contents created by the world’s largest influencers/celebrities, all powered by NFTs.

    The ultimate goal of Only1 of revamping and innovating social media could have far reaching effects. At a time when major platforms like Facebook have rebranded with an aim at crypto, the power of content creators and users is ever more apparent. Where creators choose to upload content and where users flock to consume plays a major role.

    Issues with Traditional Social Media

    • Unfair Creator Economy

    On centralized social platforms, advertisers pay the platform for user’s attention. On decentralized social platforms, platforms pay users for their attention. Creator economy is the incentivisation structure for user-generated content. Content creators on Youtube are under constant pressure of censorship and demonetisation, while creators on platforms like Instagram and TikTok often have to rely on third parties (affiliate links, merchandise sale, paid shoutouts etc) to generate income. For a lot of the creators, social media is their full time job and their reward should be determined by their content and engagement with their fans.

    • Data Exploitation

    Traditional social media platforms provide end users with free services in exchange for their personal data. As the saying goes, “If you are not paying for the product, you are the product”. According to Clario, major social media apps collect up to 79.5% of personal data from users, including but not limited to name, addresses down to hobbies and interests. Let’s take the example of Facebook (recently renamed as Meta). Facebook with over 2.89 billion monthly active users is the most popular social media worldwide. With an audience base this big, there is no surprise that 98% of Facebook’s revenue is generated through advertising. Since these platforms own and store data in one single place, they can effectively manage and monetize through selling user data to third parties for marketing purposes. End users have no control over who Facebook sells their data to and how these purchasers use their data.

    • Algorithms & Authoritarian Control

    Discovery algorithms are built with parameters to prioritize commercialisation of the corporation and sometimes to serve some political agendas. For example, certain cartoons are banned in some countries for political reasons. China because they resemble a political figure. Also why show you a picture of your friend’s new Samoyed if they can show you a picture of an attractive person that will eventually convert you to buy the advertised into that fitness program advertisement? It is difficult to balance freedom of expression and safety of the community, it is for sure too big a power and responsibility for one corporation. The future of social platforms are looking at becoming decentralized and is community-governed.

    Key Components of a Decentralized Social Platform

    • Fair Creator Economy

    A decentralized finance (DeFi) or SocialFi structure that pays content creators for being active on social media and providing value to the audience, instead of ad companies that pay the platform.

    • Social DAO Governance

    A decentralized autonomous organization (DAO) that regulates community guidelines and platform development balancing safety of the community on the platform, and freedom of expression. Users curate and execute community guidelines and development. Not one single entity can deem specific content inappropriate, and actions are carried out if consensus is reached between the network.

    • Ads & Discovery

    Optimized for users instead of platform, without leaking user data to third parties.

    What is an NFT-Powered Social Platform?

    Instead of solely focusing on NFTs, social NFT platforms allow influencers to create content, share it with their audience, and get rewarded based on engagement. Users can create NFTs and allow their fans to engage, access, and earn through collecting these NFTs. Only1 provides a decentralized NFT-powered social platform for creators and fans to interact.

    What is NFT staking?

    Blockchains depend heavily on their global network of transaction validators who authenticate transactions before the data gets added to a block on a blockchain. These validators (or miners) are decided based on the amount of cryptocurrency they pledge towards the operation of the blockchain network. In return, miners earn rewards in the form of the native cryptocurrency for devoting resources. This model of pledging crypto assets is called the ‘Proof-of-Stake’ model, and the process is called ‘staking’.

    Similarly, you can pledge NFTs to support a project while you earn passive income in terms of rewards or fees for dedicating the asset to a blockchain. Currently, most of the NFT staking opportunities are in play-to-earn (P2E) gaming platforms such as Decentraland, Sandbox, Axie Infinity, among others. All you need to stake is a cryptocurrency wallet with NFTs.

    Over 50 percent of the NFT market is attributable to in-game NFTs, which players can buy using cryptocurrencies. Axie Infinity, for example, has garnered a sales volume of over $2 billion since its launch in 2018.

    However, it is important to note that all NFTs cannot be staked. So you need to check the details before buying the NFT.

    Features: What Makes Only1 Special?

    The Only1 marketplace will consist of several different features that sets it apart from other NFT marketplaces. Some of these features include:

    Creator Genesis NFT

    Genesis NFT Minting

    • A genesis NFT is minted once a creator passes KYC
    • Creators will then be able to mint their own Content NFTs for their fans and receive $LIKE, or native token, as a reward for engagement

    Fans Bid with $LIKE

    • Fans can utilize $LIKE, or native platform token, to bid for a Star NFTs on the Only1 Marketplace

    Genesis NFT Perks

    • Fans will have the ability to stake $LIKE on their favorite influencers profile
    • The Genesis NFT Owner as well as the creator will both earn a split of the staking rewards

    Content NFT Farming

    Creator Post Content

    • Creators have the ability to post exclusive content in form of an NFT
    • Fans bid on Only1 marketplace for NFT using the $LIKE Token
    • When an NFT is purchased a portion of the $LIKE tokens are burned

    Community Unlock

    • Other fans unlock content with $LIKE, receive lottery tickets (weekly lucky draw)

    Creator and Community Earns

    • Tx split between NFT owner and creator

    Why Solana?

    Only1 is built on the Solana blockchain for multiple reasons, including:

    • Solana has a flexible virtual machine which allows programs (known as smart contracts elsewhere) to be written in native languages such as Rust, C, and C++.
    • Solana’s infrastructure provides blazing fast speeds and no memory pool – providing the basis for global adoption of blockchain and/or distributed ledger technologies.
    • A transaction on-chain costs only a fraction of a cent (average of $0.00025 per transaction).

    Solana truly achieves the three desirable qualities of any blockchain: scalability, security, and decentralization. With Solana, users on an NFT-powered social platform such as Only1, can enjoy all the benefits of Web3 at the speed of Web2.

    $LIKE Token Economy

    $LIKE is the native token of Only1 that powers the creator economy within the network. Some of the initial utility for the token include:

    • Bidding – Fans bid for NFTs on Only1 with $LIKE
    • Staking & Governance – Fans stake their $LIKE to earn more over time
    • Reward Pool – $LIKE rewarded to stars as new NFT is minted & resold
    • Donating – Fans can tip $LIKE to their favorite creators

    Conclusion

    Since the invention of the World Wide Web (WWW) by Tim Berners-Lee in 1989, the world has been revolutionized by this technology combining computers, data networks and hypertext.

    The first iteration of the WWW evolution — Web 1.0 is a “read-only” web that enables users to search and consume information. The second iteration, although deemed as a “passing fad” by many, has flourished and brought the adoption of the internet to a whole new level. Web 2.0 as a “read-write” web, has extended its functionality to highlight user-generated content, usability and interoperability for end users.

    As time goes by, many people have grown tired of the data exploitation that major corporations have taken advantage of and wanted to regain control over their data and content. This is where Web3 comes in; the Semantic “read-write-own” Web that revolves around decentralization and token-based economics. Rather than compromising personal data in exchange for free services, users can become participants and shareholders by earning on the blockchain network, which in return allows you to impact decision-making over a network.

    Only1 fully embraces this revolution by proportionally rewarding creators and fans for simply using the platform. The goal is to support and foster the creator economy, not profit off of it. By combining social media, NFTs, DeFi and the native token $LIKE, Only1 offers a Web 3.0 solution to creator economy and fan engagement.

    Follow their media channels for more info:

    Website — https://only1.io/

    Twitter — https://twitter.com/only1nft

    Telegram — https://t.me/only1nft

    Medium — https://only1nft.medium.com/

    Sources:

    https://only1.io/pitch-deck.pdf

    https://only1.gitbook.io/only1/

    https://only1nft.medium.com/welcome-to-only1-the-first-social-nft-platform-built-on-solana-a073827e942a

    https://www.cnbctv18.com/cryptocurrency/explained-how-to-earn-passive-income-via-nft-staking-11960392.htm

    https://morioh.com/p/27ea8c22ad0d

    https://only1nft.medium.com/barriers-for-web-3-0-social-for-the-mainstream-market-fbc12c1cddf3

  • DinoSwap ($DINO) Guide: What is it?

    DinoSwap ($DINO) Guide: What is it?

    What is DinoSwap?

    DinoSwap ($DINO) is a decentralized exchange (DEX) Polygon network-based cross-chain protocol that rivals the likes of PancakeSwap and other automated market makers. Launched on 17 July 2021, the DEX allows users to use the DINO token to earn various tokens of projects operating on top of Polygon. 

    Some of the top investors of DinoSwap include DeFinance, Hashed, Spartan Group, DFG, and co-founder of Polygon Sandeep Nailwal. 

    DinoSwap’s goal is to allow users from any blockchains to benefit from increased liquidity by tapping into tethered liquidity from multiple other blockchains, thereby becoming a centralised hub for cross-chain liquidity. This can be done by building liquidity for layer one blockchains, AMMs (Automated Market Makers), and partnering projects.

    The first blockchain that DinoSwap has started with is Polygon due to its high liquid environment and extremely low transaction cost. By leveraging the strength of Polygon, DinoSwap is then able to help crypto projects boost their token liquidity. 

    How does DinoSwap work?

    DinoSwap $DINO

    Currently, DinoSwap offers three products:

    DinoSwap Exchange

    The main focus of DinoSwap, it is a DEX that does not have its own Automated Market Maker (AMM) and instead interfaces directly with third-party liquidity pools of the top DEXs on Polygon. On DinoSwap, users can exchange ERC20 tokens, and one of the features that make DinoSwap unique is that it does not charge any additional fees on exchanges. 

    Yield Farming (aka DinoSwap Fossil Farms)

    Following the dinosaur theme, DinoSwap’s Fossil Farms are where users can earn DINO by staking their LP tokens from SushiSwap, QuickSwap and Dfyn.

    Staking

    Jurassic Pools

    This is a non-burn pool where users can stake their DINO and earn more tokens from partnering projects. In addition, users can still withdraw or deposit DINO without any additional fees, time-locks, or burns. (www.stellardental.my)

    Extinction Pools

    Extinction Pools are burn pools where deposited DINO is burned when all rewards are distributed. Users can stake their DINO tokens in order to earn more tokens from other partners over a period of time.These allow projects to issue tokens to a global community of Degen Dinos which increases wallet holder count, boosts awareness of the project, and bootstraps initial market liquidity. Participating projects are announced through the official DinoSwap social media platforms and receive cross promotional benefits, and these projects will also populate on the default list of DinoSwap tokens without having to search for the contract address. 

    Tar Pits

    Users can stake DINO in the Tar Pit to earn more DINO tokens. Entering these pools requires an adjustable time lock on staked DINO, but longer lock-ups mean increased rewards.

    DINO token utility

    DINO token is the native token of DinoSwap in ERC – 20 standard and is used to get other tokens from projects partnering with DinoSwap. DINO token has no hard cap but has a burning mechanism to deter inflation and ensure the healthy development of the ecosystem. 

    The DINO token at this time has two different uses: DINO is currently used to farm yDINO, a governance token which will be part of a complete ecosystem, by staking DINO and BNB on Tenet. DINO provides passive income to its users and holders through the 1% redistribution applied from every transaction Note: It will be used in the near future as the central currency used in this ecosystem currently in development, where artists and collectors can buy and sell digital art goods using DINO Token.

    DINO Token Distribution

    65 million DINO tokens were distributed at launch as follows:

    • 65% – Farming Rewards (Fair launch).
    • 5.6% – Treasury.
    • 14.4% – Team (vested over 12 months, linearly, on a per-block basis).
    • 15% – Investors and Advisors (vested over 12 months, linearly, on a per-block basis)

    After the first 65 million DINO have hatched, new tokens will be created on-demand. For every 10 DINO created, one extra DINO will be allotted to the DinoSwap Treasury to support further protocol growth initiatives.

    Trading on DinoSwap

    Trading on DinoSwap is simple:

    1.  Navigate to the DinoSwap exchange here
    Dinoswap exchange
    Dinoswap exchange
    1. Unlock your Polygon Wallet, click connect, and choose the wallet provider of your choice
    Dinoswap Polygon wallet
    Dinoswap Polygon wallet
    1. Select the tokens you wish to swap and enter the amount (make sure you have MATIC in your wallet to push the transaction through) .
    Dinoswap and MATIC
    Dinoswap and MATIC
    1.  Check the details, and click “Swap”.
    Dinoswap finalize
    Dinoswap finalize
    1. Check the details again and click “Confirm Swap”.
    Dinoswap confirmation page
    Dinoswap confirmation page
    1. Confirm the transaction in your wallet.
    2. The swap is complete and you can click view on maticvigil to see your transaction details

    Yield Farming on DinoSwap

    This function allows users to stake DINO in order to earn even more rewards after a period of time. There are two parts to this process:

    Providing Liquidity

    Every Fossil Farm needs a specific LP Token that can be acquired by providing liquidity for the appropriate pair. The following steps will prepare you to start excavating in your favorite Fossil Farm.

    1. Go to the Fossil Farms page.
    Dinoswap Fossil Farms
    Dinoswap Fossil Farms
    1. Click on your favorite Fossil Farm.
    2. Click on the “Get LP” link on the left side.
    Dinoswap Get LP
    Dinoswap Get LP
    1. Follow the instructions to get LP tokens on either SushiSwap, Quickswap or Dfyn.

    Entering a Fossil Farm

    Now that you have your LP Tokens ready, it is time to put them at work and start excavating.

    1. Go back to the Fossil Farms page.
    2. Unlock your Wallet via the “Unlock Wallet” button or the “Connect” button (top right).
    Fossil Farm Unlock Wallet
    Fossil Farm Unlock Wallet
    1. Make sure your wallet is on the “Matic Mainnet” network.
    2.  Click on the Fossil Farm you want to excavate.
    3.  Click the “Enable” button.
    Fossil Farm MATIC Mainnet
    Fossil Farm MATIC Mainnet
    1.  Your wallet will ask you to confirm the transaction.
    Fossil Farm confirm transaction
    Fossil Farm confirm transaction
    1.  Click the “Stake LP” button.
    2.  Enter your desired amount of LP Tokens and click the “Confirm” button.
    3.  DONE! You are now farming DINO.

    Adding or removing LP Tokens

    At any time, you can decide to leave the Fossil Farm or add more LP Tokens to it.

    1. Return to the Fossil Farms page.
    2. Click the “Staked only” toggle to see the pairs you have LP Tokens in.
    3. Choose a Fossil Farm you have LP Token in and click on it.
    4. Click on the “+” or the “-“ button to add or remove LP Tokens.
    5. Enter the amount you would like to add or remove.
    6. Verify your information and click the “Confirm” button.
    7. After a short wait you should see your new balance in the details section of the LP Token pair. If you have unstaked your LP Tokens, any unclaimed rewards will automatically have been collected.

    Conclusion

    DinoSwap ran a highly successful fundraising campaign before its launch and is even backed by the co-founder of Polygon himself, indicating a large amount of confidence in the project. The DEX has also successfully completed three Certik smart contract audits and has received a “low risk” rating from the Rug Doctor. DinoSwap is already the 7th most popular dApp on Polygon in less than 2 weeks from its official launch.

    With DinoSwap’s mission of increased liquidity for cryptocurrency exchange, this DEX is one to keep an eye on and has huge potential to change the crypto exchange game.