For those that know both XY and XYO Network, a huge question on the mind is the following:
- What is the difference between XY and the XYO Network?
This is especially pertinent for investors, who may learn about us through our new XYO Network blockchain project, but purchase equity for XY, which is the company behind the XYO Network. So, what is the history between these two entities? How are they similar, and how do they differ? Which came first: the XY or the Network?
XY was founded in 2012. The company originally focused mainly on consumer products and the sale of its Bluetooth Item Finder: the XY Finder. The product used Bluetooth Low Energy (BLE) to connect with a phone app to help you find misplaced items, such as keys, backpacks, and purses. The XY4+ is XY Findables’ most recent generation of the XY Finder, and XY Findables also released the XYGPS in late 2017, which was the first introduction of a GPS/Bluetooth hybrid item finder to the Findables space. Overall, the company’s goal was “Findability”, essentially the idea of making all objects “findable” so nothing is misplaced or ends up lost.
This overarching goal of XY Findables, combined with the success of XY Item Finders led to a qualification by the Securities and Exchange Commission (SEC) for a Regulation A+ Offering. This meant that XY Findables could sell stock in the company to “non-accredited” investors. (Learn more about who an accredited investor is here.)
Due to this growth and goal of global “Findability”, XY Findables introduced the XYO Network in Q4 of 2017. Later, in early 2018, XY minted the first “XYO Token” to be used for smart contracts to access the XYO Network. The XYO Network now stands as XY Findables’ pursuit to make world-wide “Findability” happen — the XYO Network serves as a decentralized location oracle for blockchain smart contracts.
XY Oracle Network (XYO Network) is a decentralized location oracle for blockchain smart contracts. To break that down, we’ll first think of it as a sports bet:
A sports bet is essentially a “contract” between two people; when a sports team wins, one person wins the bet and claims the money that both parties contributed. In contract terms, they are asking the question “Who won the game?” and consequently paying the party that correctly guessed which team would win the game. In that circumstance, the two people may stream the game from a third-party, or may consult “ESPN” or another sports website for the answer to “Who won the game?”. Once they consult a trusted source, or an “oracle” for this answer, they can enact the sports bet/contract between them and pay the winner.
For the blockchain, oracles exist as trusted entities that have the authority to answer questions a contract might have. With the rise of decentralization, some oracles may compare data from numerous sources in order to retrieve a more trusted response. With the sports bet example, an oracle may check multiple sports news websites, rather than relying on your grandfather’s email about the outcome of the game. In this sense, the decentralization of data sources makes the answer more reliable and less likely to be wrong.
XYO Network seeks to be this decentralized oracle for location data. Until now, many smart contracts have been unable to use reliable and decentralized oracles for contracts related to location. The question “Did my birthday gift for mom arrive in New York?” would normally consult an oracle like UPS or FedEx tracking, which relies on GPS and other forms of centralized location data. XYO Network aims to create and provide a more reliable and decentralized oracle to battle some of the downsides that come with centralized location oracles.