Hyperion MAP3 conference keynote speech — CEO Kai Law
Thank you for coming to Hyperion MAP3 Initiation Conference.
Since the earliest days, we have been to various cities talking to local communities about Hyperion and its vision for future.
We started the project since the beginning of 2018, and officially formed the team in May. We spent two months to write the white paper, and received the 1st investment funding on 28th July.
On 11th December, Hyperion token HYN got listed on crypto exchange platforms.
During Q3 & Q4 of 2018, we were working on decentralized map app Titan v1.0, and started on Map3 since 2019.
In Q4 2019, we launched Titan v2.0. On 28th April 2020, MAP3 cloud node staking contract went live to global communities.
Though the number of Hyperion users have grown to 100,000 globally, we are still at an early stage. We hope more people can stay and witness the development of Hyperion together with us. Today, I would like to take this opportunity to explain the history of Internet.
Throughout the whole Internet, especially in China, only Tencent, Ali and Baidu become Internet giants. Why? Because the three companies first discovered the secret to money-making, which is Internet traffic + business.
Tencent was founded in 1998. After 2000, it discovered advertising’s profit-making potential. Later users figured out the most profitable business of Tencent is game. Main profits gained out of game were led by its own social platforms — WeChat and QQ.
Gradually users also found out that the official account writers of WeChat can earn money out of the social media app. We can say that during the first half of 2019 WeChat’s most profitable business is the distribution of advertorials in public accounts.
Why? Because for every dollar readers pay for an advertorial, Tencent can get 80%. What a huge profit. There are nearly 1.3 billion users in China and all over the world using WeChat, and 80% profit goes to Tencent.
In fact, today we find out that Tencent began to worry about Internet traffic, because in the long past, no other IT companies can compare its Internet traffic with Tencent, including Alibaba since it’s not a social platform, or Baidu.
Every company was looking for an incremental market during the last 2 decades without fierce competitions. But today the market plays a zero-sum game. That’s why Tencent transformed to industrial Internet in 2018.
So, we witnessed a wave of bitcoin after the second quarter of 2017 to 2018. The core of Internet technology has evolved to the Internet of value.
Why centralized platforms like Tencent, Ali and Baidu is valuable? Because they have Internet traffic. Traffic comes from users, and the user creates application scenarios for apps. And these behaviors will remain as what we’ve been hearing for years — “big data”.
When bitcoin came along and everyone discovered a whole new kind of possibility. That is, I don’t need to giveaway personal data to any company, instead, I can own it while getting my fortune increased.
In the case of bitcoin, the largest beneficiary will not be Satoshi Nakamoto, if he himself mines no bitcoin. Then who earns the most in bitcoin network? It will be bitcoin holders, as BTC price appreciates.
I’ll talk about three core points which lead to the bitcoin price increase. The first is demographic dividend. Originally, Satoshi Nakamoto promoted bitcoin alone, and today we see 40 million users have invested in cryptocurrency. The dividend brings a maximum reward of 5 million times. In future, there’ll be even 400 million or even 4 billion participants, and that’s how its developed.
In addition, throughout the whole iteration of technology, each round of the economic cycle is accompanied with a core industry. Internet is the key technology within the current economic cycle of the Kondratiev Wave. Technology mainly brings two effects, first is to reduce cost, second is to increase efficiency. This is what we’ve through over the past 20 years or even 100 years since Industrial Revolution.
Then what the future is? I believe it belongs to distributed data. The essence of bitcoin is data, and each data contains huge financial assets to be distributed cross the entire network.
Has anyone ever wondered what the next era is? In the 1990s, there were only around 100 million computers in the world, for corporate or individual use. By 2000, there are 1 billion such devices; by 2010, mobile devices have been developed and together appeared mobile internet and mobile operating system such as Android and iOS was born.
5G came out in 2020, which connects home applicants with Internet such as air conditioners and floor sweepers. In addition, the number of 5G base stations will be 10 times more than those of 4G. There are more data-recording devices. Whoever have access to the huge database will lead the next era.
The core to the next Kondratiev Wave is tech finance. Why blockchain emerged? Since blockchain is the result of community governance with consensus mechanism. The political-economic model generates economic framework. You can regard it as tech finance. That is why people turned to focus on cryptocurrency investment instead of real estates.
As the technology and finance enters the next era, there will be three most essential changes in the next decade.
The first is Artificial Intelligence. It’s the evolution of productivity. The limit of human IQ is 200, while the bottom line of machine IQ is 10,000, we humans have cannot beat machines in terms of productivity.
What is every nation talking about today is the Internet of Things? why? IoT connects production materials, and it enables all devices to be online. While blockchain solves production relations. Therefore, the operating system to be launched within the next decade is ABIoT, which will completely overturn the rules of Internet.
In fact, the currency history throughout the past 10,000 years has never been separated from the four essences — gold, silver, copper and stable coin. Gold is a currency of value deposit, instead of exchange, silver was used as a social and economic operating system. China’s copper worked as an application system for the entire society since it had the most extensive use scene. Then in 1973 after the collapse of the Bretton Woods system, the USD and CNY emerged, as what we call the stable coin system.
So, we can see that throughout the course of human history, financial property has never been isolated.
The first one is value deposit.
The second thing is an operating system for the economy.
The third thing is an economic application system.
The fourth is a payment tool for stable coin.
That’s why in the past long time, we have seen the human race from our industrial revolution to the current round of economy, the current round of the combo cycle began to enter into the entire Internet information revolution of this process. Nor has there actually been a departure from these four developments. The World Wide Web protocol, which began in 1989, stores all the information in the world. Today we see all websites that originate from the World Wide Web protocol.
In ’93 the Internet browser was born. In fact, barely no one understood what was the Internet about, and the Nobel Prize winner in economics said in 1991, “The Internet has no use more than a networking fax machine”. However, the fact is browser is just an information carrier.
In ’95 there was Yahoo, and in China there was NetEase, Sina and Sohu, the first generation of the Internet, called Internet portals. Tencent, Ali, Baidu, and Google came to the fore in 98, 99, 2000. The top Internet companies appeared between 2000 and 2004.
Today most citizens in China barely use cash anymore. Why would you believe the digital payment such as WeChat pay and Alipay? When making a payment, only digits will be changed within the system, but it has become a method for you to exchange and transfer financial assets, and a stable payment system.
During the past decade, only two major consensus mechanism was created — POW and POS. The blockchain we’re talking about today requires us to join the network at certain costs, and earn economic rewards in return to protect the network security and value transfer.
Let’s think about it, what types of costs we mainly pay for the society?
First of all, you spent time and energy you spent on the event today, you’ve paid opportunity cost. This is the essence of PoW consensus mechanism. BTC halves every four hours, and after four years the production cuts by half, are you interested in BTC deposit?
POS consensus mechanism means direct costs, in traditional business, it means store renting fee, and labor costs etc.
Bitcoin and ETH are gradually turning into digital gold and digital silver, and Ethereum is like the Microsoft in blockchain world, why? Because the most valuable thing about Ethereum is not ERC-20, but rather the protocol standard. Standard is the most valuable, since whoever establishes the standard can generate ecosystem.
Then every other blockchain project built based on my ecosystem will adopt my standard. Hyperion created PoH consensus mechanism, a hybrid of PoW * PoS. In the next section, I’ll talk about the brief history of blockchain.
In the early 1990s, opening a factory means making money. Why? Because China lacked consumer goods, although many factory owners didn’t catch the logic behind, but the first cohort of businessman at that time still made lots of money. But many failed to grasp the opportunity during the post-97 financial crisis period.
After China joined WTO in 2001, foreign trade developed with a huge influx of CNY to the real estate market. Real estate becomes a reservoir of Chinese wealth.
2018 was the peak of Chinese real estate market, then the return of investment of those Wenzhou investors declined.
I heard a story saying that once a guy paid 2k or 3k CNY to buy a house in the 90s Shenzhen, then he forgot about it. Later when he finally realized it, the housing price has doubled 30 times, which sells at 9 million CNY.
What kind of wealth can double 30 times in 20 years? When I had chatted with some real estate investors, I asked if they have ever made an investment with 30 times profits in return? And he replied negative. Why? Because housing investment is speculative, and policy trend for them is critical.
The first bull market of the entire blockchain in 2013 was represented by Bitcoin, an application scenario driven by a major blockchain project + PoW consensus mechanism, which brought demographic dividend.
In 2013, 1.5 million people joined digital currency investments. In September 2015, when bitcoin hit its lowest price, only 500,000 people remained in blockchain world. One million people were cleared out. It was not until late December 2016 that these 1 million investors returned.
In 2017 an application scenario of Ethereum + PoS Consensus Mechanism + ERC20 attracted demographic dividend, which coincided with the end of the Internet era.
Traffic from Internet gradually flows to blockchain, so we see that when bitcoin price peaked at the end of 2017, 15 million people invested in digital currency. By February 2018, at the highest price of ETH, 20 million people joined cryptocurrency investment.
Many of you may have invested in a variety of blockchain projects during 2016–2017, and most of you made money due to demographic dividend. However, since 2018 things are reversed.
In 2013, over 1,000 projects were generated, but no more than 5 survived. In 2017, over 10k projects existed, and no more than 200 digital currencies survived. 200 projects in total will be a trend in future.
So, we say that every round of bull market, and Bitcoin, Ethereum development will follow the mode of blockchain project + consensus mechanism to generate new application scenarios and bring new demographic dividend. We believe whether the next round of of bull market will last from 2021 to 2024, or with a pullback in 2022, HYN will lead this wave.
Two years ago, we started developing the location + map-based application system, and we aim to finally replace Microsoft, Android and iOS.
The next era will be the internet of all things, but based on blockchain, why? A large number of 5G devices have been developed such as mobile phones, cellulars, drones, electric cars, even AR glasses, VR glasses, MR glasses. These IoT devices record our data, and the current bitcoin and Ethernet mining machine will iterate in future.
Essentially whoever owns massive amount of data will lead the next era. So, what blockchain system can store massive data to lead the next era?
Today at least 75% of the mobile apps are based on location and map. However, why haven’t we seen a massive explosion of application scenarios?
I’ll talk here about the three values of Hyperion project.
The first point is the PoH consensus mechanism.
We believe that the PoH consensus mechanism will be the final consensus mechanism of blockchain, apart from PoW and PoS. The future projects will be built based on Bitcoin, Ethereum, HYN, and stablecoins like USDT or DCEP as composite public chain or composite DAPP.
Secondly, almost all blockchain nodes contribute to the network via PC ends.
They don’t have to develop mobile end, including Bitcoin or Ethereum, but Hyperion is a location application system, just like Android, so we are aimed at developing the world’s first mobile-end distributed network, which will change the whole blockchain world.
The third point is the HRC series that I just mentioned, the transaction structure.
In fact, in the past we have witnessed the failure of many Ethereum “competitors”. They merely focused on developing a single function, whether it’s sharded or cross-chain, even if it is finally created, in the end it can’t compete with blockchain application system.
Hyperion have developed Titan, MAP3, and ATLAS chain. MAP3 can be compared to the borders of cities, countries, states and land of our entire continental system, and MAP3 nodes connect the boundaries of different regions to form a global, distributed decentralized network.
By the end of September of this year, we’ll launch ATLAS chain with new rules, smart contracts, and blockchain technology.
What will the core value of Hyperion come from — the same with Ethereum, the standard. We call it the standard of transaction structure.
All the application scenarios we see today are based on transaction structures from the original offline regional sales, online sales, to WeChat sales, Tiktok sales, etc. Therefore, once we set the standard of transaction structure, we’ll trigger the large-scale application scenarios.
Our plan for the year of 2020 is very clear.
In early June, we will upgrade the economic white paper. By the end of June, we’ll upgrade Titan’s gaming mechanism, and Titan staking. By July we’ll launch a decentralized trading based entirely on the infrastructure layer of our ATLAS chain TestNet.
In August, we will update technology white paper ATLAS Chain 2.0, to illustrate the structure of the ATLAS Chain, and launch ATLAS chain testnet.
By September, we will launch another initiation event for the mainnet.
In October, we will release HRC white paper 1.0, because most of our community members do not yet understand the whole trading structures. By the end of this year, we will launch HRC30, which is similar to Ethereum ERC20.
In 2021, we will develop a blockchain game based on the Hyperion mainnet. What’s important about it? Ethereum came popular in 2017 because of Crypto Kitties. Game is always eye-catching.
In the meantime, we’ll develop Hyperion consortium chain ecology, and such ecology will offer full-scale blockchain services to government, financial institutes and enterprises based on our mainnet. On the software side, we will work on the developer ecology.
Hyperion is moving from software to protocols, then to hardware miners. In 2021, we’ll launch fog node testnet in 2021, and upgrade ATLAS chain to v2.0. By then you’ll see the details of the distributed network at mobile end.
So, what will happen in future? From my personal perspective, I think over the next year and a half, Hyperion will substitute Ripple as the third-largest blockchain economy of the world. Only four mainstream currencies will remain, namely Bitcoin, ETH, HYN, USDT or DCEP. Then the birth of the composite public chain will signal the new era of the blockchain world.
Thank you.
