Author: Bichake

GameFi and NFTFi ushered in an explosive period this summer, and the concept of SocialFi has also been restarted.

first level title

text

When reviewing the development history of the blockchain, it can be found that the "social" attribute is what the encryption circle has been pursuing.

BM, the founder of EOS, has tried three times to develop the concept of "social". He launched Steem and Voice, a media product based on the EOS.IO network, at EOS. After leaving EOS, he also tried to create a centralized social concept, Clarion.

In 2017, a large number of blockchain social projects emerged, including ONO, QunQun, GSC, YeeCall, NRC, SwagChain, Huoxin, and TTC Protocol. However, due to problems such as the early encryption market, the limited number of participating users, and the limitations of the ecological model, most projects have now disappeared. Moreover, there are many voices in the market who believe that the early development projects are not mature enough to be competitive.

In 2020, the liquidity mining model began to be gradually built into various ecology and models. With the blessing of DeFi, the "Fi" in SocialFi has changed from the meaning of "Finance" to "DeFi", and many mainstream SocialFi concept projects have emerged, such as Whale, Chilliz, RALLY, Fyooz, Zora and other projects have emerged one after another.

Many people believe that the emergence of social mining may bring more surprises to social tokens. If social tokens want to achieve a leap in market value, then the ability to capture the value of tokens needs to be expanded, and DeFi, NFT, etc. will be the best way to promote the value of tokens.

In the current SocialFi project, Whale is a project-based social token, and the mechanisms of other personalized social token projects are mostly similar to Whale.

Mirror, launched by a16z, focuses on social and content "capitalization". Every article published on the platform has the ability of NFT+ governance, and its tokens can be used for transactions and governance, and actively handle the relationship between social content and creator economy.

Another representative one is the social project BitClout.

The form of BitClout is similar to Twitter (Twitter), by directly grabbing the top 15,000 KOL data of Twitter, allowing these people to passively claim and issue tokens. Although BitClout's speculation method is controversial, it is undeniable that it has received a lot of attention, which is very meaningful for the product exposure and traffic blessing.

first level title

The Potential of SocialFi

Regarding the future development potential of SocialFi, the best example is the relationship between Musk and the Dogecoin ecosystem.

Every time Musk releases information related to Dogecoin on Twitter, due to his personal social platform influence, there will be an increase in the value of Dogecoin, which will also affect the market price of Tesla. This kind of meme culture develops with distinctive content style and extremely fast spreading speed. In the Doge series ecology, there is already a "Doge++" project that focuses on "social mining tokens".

This impact is not limited to Dogecoin. Many times, after Musk makes a positive statement on a certain cryptocurrency on social platforms, its market value will show a significant increase.

And this situation is in line with SocialFi's appeal, to financialize and DeFi this social influence, and through the way of social tokens, participants and issuers can directly benefit from this influence.

Recently, Twitter has also been experimenting with SocialFi in another way. Twitter has extended the "Tip Jar" feature it launched at the beginning of the year. Users can use this feature to pay tips to content creators with Bitcoin, that is, "reward". In addition, Twitter is still testing a new feature-users can add Bitcoin or Ethereum addresses to their personal data, so that users can accept cryptocurrency rewards through the "Tip Jar" function.

first level title

Ecological classification and representative types of SocialFi

At present, SocialFi is in the early stage of development. Most ecological participants are mainly based on social tokens (Social Token) to carry out concept divergence and technology updates. There are few platforms classified by the concept of SocialFi alone, and some projects are related to NFT and GameFi. There is an intersection between concepts.

On the Coingecko platform, 33 types of social tokens are included in the relatively clear "Social Money". On the Zerion platform, a total of 18 types of social tokens are included in the category of Social Token.

The current mainstream definition of social tokens (Social Tokens) is "a token supported by a personal reputation, brand, or community." Moreover, social tokens are built on the premise that their community value will continue to increase. Among them, casting and distribution, and content capitalization are currently more mainstream project concepts.

Most of the social tokens are based on ERC-20, and mainly carry out technical extension and project innovation from the four main directions of distribution mode, asset preservation, token model, and community management. In terms of function, it is divided into personal tokens, community tokens, and social platform tokens.

first level title

secondary title

ROLL（Creator Token）

ROLL is one of the established social token issuance platforms. Under the platform’s issuance model, ROLL creates ERC-20 tokens on behalf of users, that is, issues personal social tokens for content creators. The supply of each personal social token is 10 million, of which 2 million are directly distributed to For content creators, 1.2 million tokens belong to the ROLL platform, and the rest will be unlocked linearly every month for three years. At the same time, ROLL also provides a storage and trading platform.

secondary title

Whale

Whale is a relatively mature personal token. It is issued by the individual buyer WhaleShark based on the Roll platform. The value of the token is calculated based on the NFT assets held by WhaleShark himself. Whale allocates 50,000 tokens per month for the acquisition of NFT, donations to artists, team salaries, community activities, etc., and records through the Discord community.

secondary title

RALLY （Creator Token）

RALLY is one of the early well-known social token issuance platforms. Its characteristic is that its native governance token RLY can be combined with the creator’s social tokens and minted into new personal tokens, but the conversion of personal tokens must pass RLY proceed.

first level title

secondary title

Mirror

secondary title

Yup

secondary title

Karma DAO

Karma DAO is a very typical DAO community, which originated from a social experiment of encryption lovers. It aims to create a community for sharing investment views, providing insights and advice, leading the community, helping projects raise funds, hosting virtual meetings, and more. The main value content of the community is information and insights.

first level title

secondary title

Zora

secondary title

BitClout

The decentralized social platform BitClout, the project itself benchmarks against Twitter, aims to create a decentralized alternative to Twitter through proof of work and blockchain construction. In the early stage, the platform increased community hype by passively issuing social tokens to Twitter KOLs, and individuals can own and trade their own Creator Coins. In addition, BitClout has a POW blockchain designed for running social media as well as a built-in dedicated DEX.

text

Audius

Audius, a decentralized music streaming protocol, allows token holders to directly relate to voting weight and value-added services through the native token AUDIO. Audius is committed to bringing music creators and fans closer.

It is worth noting that in August this year, Audius Audius announced the establishment of a partnership with the short video platform TikTok, allowing musicians on the platform to directly upload and share their works to TikTok’s Sound Kit, and musicians can also link followers on TikTok. Back to Audius.

Looking at the current development of SocialFi, products with the concept of SocialFi are constantly advancing towards a mature stage. Under the stimulation of the market, perhaps a blockchain social product comparable to Facebook and Twitter will appear in the near future .