By now, every crypto investor has heard the idea of creating a decentralized market for the average consumer to monetize his or her data, over and over again, in slightly different forms. Today is no different in that respect, at least at face value.
According to CoinDesk, a blockchain startup that consists of former employees of Amazon and Apple has just garnered $18 million in capital from a long list of VCs and other investors to support its’ effort to create a special decentralized protocol. If you’re wondering why this particular offering may be considered special, the answer comes down to the technical foundations that it depends on.
The protocol, which is being called the “Harmony chain” apparently runs on a specific type of sharding that will allow developers to move their Dapps from crowded networks like Ethereum, to the nascent Harmony ecosystem. While this is impressive if it works out in practice, this does not represent the ultimate vision of the Harmony team.
What they aim to do in the end is move enough consumer data to the Harmony protocol for the network to gain a critical mass of users that allows everyone to earn money from trading their data.
Saying this is one thing. A multitude of startups have tried and to date, failed to execute on this promise. The key metric to follow, therefore, will be how Harmony drives continuous and truly massive adoption to its’ future network. For now, puzzling out how this might be done is almost impossible without seeing the network in practice. While the Harmony team has considered copying certain ICO models and even the practices of successful projects like MakerDAO, imitation is not enough.
What might decrease the pressure in this respect is their idea of flipping existing crypto fundraising models on their heads by launching on multiple exchanges at once to use their customer bases to gain meaningful traction. For more on that, consider the specific idea of conducting an initial exchange offering, which is like running an ICO on Binance’s Launchpad and other exchanges, simultaneously.
By: BGN Editorial Staff