Help build the Elrond ecosystem and be rewarded
ICOs haven’t done very well, we all know that. This blog piece will go a bit into Token Economic Theories, how previous projects have failed to understand, and make use of the most powerful aspects of any Token based Ecosystem.
Cryptocurrencies grow in value based on Metcalfe’s law, which states “the effect of a network is proportional to the square of the number of connected users of the system (n²).”
Put simply, the more users a network has, the exponentially more valuable it will be. That means users are the most important aspect of any network. Traditional ICOs were extremely good at bootstrapping your network effect, by giving everybody a little bit of share of the network. Everybody is incentivized to spread the network to others, having 100 people spreading awareness to others is 100 times better than having one VCs assistance of 10 people (100²).
The Problem with ICOs so far
However, for the past 3 years, this system became more and more corrupt. We want to take things back to how they were in the early days. Raising funds is not just about money, at least it should not be. Getting tokens into the hands of the right community is the biggest benefit of any ICO. Communities consist of government officials, developers, business owners, enterprise employees, (social) media influencers, and everything a project needs to become a long term success.
Many token holders will be speculators, which is fine. We all are happy to make money, but a projects responsibility is to acquire as much talented and influential token holders as possible, and convert speculators into active community members.
The value of cryptocurrencies is defined by nothing more than censorship resistance, game theory, and token holders. In the long term, these three factors will be decisive determining which coin will have the highest market cap.
Up until now, the only way to get tokens into the hands of the right people were exchanges. As a result, the exchange became immensely powerful. With social mining, projects finally have a better alternative to get tokens to the community. By using APIs and community boards, social media channels, chat rooms, Github and blockchain integrations, it’s possible to evaluate a score for every member within the community and pay them individual salaries for continued support in tech, marketing, and business development.
Social Mining is a concept that helps engage new users, by using all types of social platforms, such as GitHub, Telegram, Twitter, Discord, LinkedIn and many more and leveraging token economic theories to incentives and create an organic community of skilled long term holders.
The system will eventually take into account factors such as:
- The number of tokens held by a user
- The time that the user has been holding tokens
- Engagement on social media channels, like Telegram, Reddit, Twitter etc.
- Reputation within the community and ecosystem.
- Active involvement in the community departments for tech, marketing, and business.
- Open source development, running nodes, community management.
The outcome should be that the community evolves into a self-governed Decentralized Organisation. The result of such a system is that higher level members will be more knowledgeable, more loyal, but will also be holding a higher amount of tokens. Higher ranked users will earn more benefits and responsibility, but also have a higher stake. They are disincentivized to cause problems, but incentivized to make use of user influence and reputation to help the project, hence growing token value.
We lay the base to which we can build a global ecosystem, and you guys can help us from ground 0. By earning reputation, roles, responsibilities community members can help can earn monthly rewards and also users donations.
How to get started?
For now, all you need to do is register on our community, connect your social media accounts, share articles and news or start helping our developer team by connecting your Github account. Your rewards and reputation will be directly proportional to your efforts.
For the short term we’ve got 3 phases prepared for you: awareness, educational and development. Right now, it’s important to have the community very close to us, and engage people on all existing platforms.
Come join us, and be part of this awesome journey.
Elrond’s official outlets:
- Elrond Community Platform: https://community.elrond.com
- Twitter: https://twitter.com/elrondnetwork
- Official website: www.elrond.com
- Elrond Github: https://github.com/ElrondNetwork
