Distribution To Verified Users And Referrals, Episode II
We are happy to announce that the popular Real Name Attestation Bot is now reactivated.
We had to temporarily suspend its operation because of multiple reports of abuse in Venezuela. We are holding a Use-a-Thon there at the moment at the Simón Bolívar University in Caracas. More than 35 teams signed up and there is currently a lot of buzz surrounding Byteball on the campus. This also resulted in extreme popularity of the Real Name Attestation Bot and some less fortunate incidents. Some notable examples:
- Paying people in VEF to use their ID for attestation;
- Using a second phone for referrals, transferring the rewards to their main phone, wipe the data/cache from the other phone and start over;
- Combinations and variations of the above.
Thank you very much for all of the feedback. We received more than 100 reports of possible abuse. To make sure abuse is discouraged we redesigned the reward structure. The bot still functions in the same way, repeated here for your convenience:
Every Byteball user can link his Byteball address to his real world identity. The user’s personal data is verified by Jumio, the leading provider of identity verification services, and stored in the user’s Byteball wallet. At the same time, a hash of the personal data is stored on the public DAG and signed by a trusted attestor. The attestor also serves as a witness, so it is already trusted.
This attestation allows the user to prove to anybody that his Byteball address is linked to a verified person, without disclosing any personal information. It also enables revealing private information to individual service providers on demand, and the service provider can easily verify authenticity of this information using the hash stored on the public DAG.
Verification is a paid service, it is $8.00 per verification attempt (paid in Bytes). To encourage use cases, Byteball offers to pay back the $8 to everyone who successfully verifies himself for the first time.
Please note, that the bot cannot refund any funds lost, regardless of the reason. To better prepare yourself and prevent failure read this page very carefully.
As a way to incentivize the use of the services it enables, there is a further $12 attestation reward paid for each successful attestation as well as a $20 referral reward that gets paid to the verified user who helped fund the attestation.
The $12 attestation reward, which was previously paid directly, is now paid to a smart contract instead, allowing the user to withdraw the funds exactly 12 months from the time of attestation. To prevent funds from getting stuck in all eternity, the contract will have a second time-lock ensuring that if the funds haven’t been claimed after 2 years, they will be transferred to the Community Fund.
Just like the attestation reward, the referral reward of $20 will be deposited to a smart contract with a 12 months vesting period and a 2 year expiration time. Restoring a wallet from seed will not bring back access to the contract. So remember to regularly make full backups.
Eligibility (not changed)
Referrals are tracked using coin history. All transactions in Bytes are visible on the public DAG and one can easily see that money was moved from address A to address B, then to address C etc. When the attestation bot receives a payment, it will follow the history of the money it received up to 5 steps back. If it finds anybody with attested address, it is the referrer who receives the referral reward. If there are 2 or more candidate referrers, it selects the one who was latest in history.
The amount that was sent from the initial referrer doesn’t matter, even if it is $0.01 out of the $8.00, it still counts.
Support the work of the Byteball Community Fund
To maintain a sustainable, continuous growth long term, we now introduce an opportunity for users to actively show their support of the work of the Community Fund.
Upon successful attestation, the bot will ask the attested user if he wishes to make a $20 donation to the Community Fund. This donation will be made from the undistributed funds and will not be deducted from your attestation or referral reward. It’s important to Byteball to leave the decision of funding to its users to whom the undistributed funds are earmarked. In other words: You get to decide if you want to support the work of the Community Fund which includes:
- Promoting Byteball at events;
- Business development;
- Promoting to startups to host their ICO on our platform;
- List on more exchanges;
- Marketing activities;
- Hosting and participating in events, conferences, meetups, Use-a-Thons;
- Staff payments and travel expenses.
The additional funding granted by our users makes it possible to intensify the work to make Byteball better and promote it worldwide and it could help increase the value of the locked Bytes during the vesting period. This seems like a win-win deal. But you decide, if you choose not to make the donation, the funds will remain in the pool of undistributed funds.
With these changes we are confident that we have found an appropriate solution to the observed abuse while maintaining the positive characteristics of the method. We hope you feel the same way and keep enthusiastically referring people and we will all reap the benefits of the network effect in due time.