CyberConnect: Connecting the Dots to Web3 Social
Disclaimer: The following article is intended to provide an overview of some aspects of web3, a term that refers to the decentralised and distributed applications that run on blockchain technology. The article does not constitute investment advice, nor does it endorse or recommend any specific cryptocurrency, project, or platform. Cryptocurrencies are highly volatile and risky assets that may lose value rapidly and unpredictably. You should do your own research and consult a professional financial advisor before making any investment decisions involving cryptocurrencies. The information shared in this article is purely for educational purposes and does not reflect the opinions or views of the author or any affiliated organization.
What is CyberConnect?
CyberConnect is a decentralized social graph protocol specially designed to enable Web3 applications to bootstrap network effects. The company behind the protocol based in Palo Alto, is striving to put data control back in the hands of users by leveraging the potential of web3. Functioning on EVM chains, CyberConnect offers a solution that allows users to take true ownership of their social identities, content, and connections in the social network. Beyond this, it also serves as a powerful resource for developers, providing them with a rich toolkit to craft applications that offer deeply meaningful social experiences. This innovative approach to social interaction in the digital realm is opening up new possibilities in the way we connect, communicate, and collaborate in the Web3 ecosystem.
Source: https://docs.cyberconnect.me/
Core Components of the Protocol
CyberConnect, a protocol designed around the principle of decentralization, is rewriting the rules of social interaction in the Web3 space. Operating on EVM-compatible chains, it makes use of generative smart contracts. Similar to how Uniswap works with liquidity pools - but in this case, to create bespoke on-chain social networks for dApps or to allow users to issue customizable NFTs to leverage their social data. The protocol centers around three main smart contracts, all of which follow the ERC721 standard: CyberProfile, SubscribeNFT, and EssenceNFT.
CyberProfile:
The CyberProfile, within CyberConnect's on-chain social graph, serves as the digital embodiment of a user's identity. It captures all aspects of a user's identity - be it an NFT, an SBT, a Twitter handle, or a DID - and consolidates them into a holistic profile. This representation, akin to an ENS domain or the Lens Profile NFTs, maps all on-chain assets to a user's CyberProfile, providing a unified and seamless interface for both users and developers.
Developers can integrate this unique profile into their dApps or protocols, tapping into the growing network of identities that are being built through Link3 and other CyberConnect integrated protocols. The CyberProfile is essential for users who want to create content or form connections within the CyberConnect ecosystem, acting as a prerequisite to issue custom EssenceNFTs or SubscribeNFTs.
Unlike a simple EVM address, which works well as a decentralized identifier but lacks the complexity for robust access control and key rotation, the CyberProfile is much more. It's the entry point for every on-chain action and acts akin to a profile in web2 social applications. Each CyberProfile, an ERC-721 NFT, goes beyond being a mere on-chain identity - it owns its paid subscribers and content, and each real user can have multiple profiles. This level of complexity and flexibility allows for the transformative potential of CyberConnect in the Web3 landscape.
Founder of Zion, a social media protocol, raised an intriguing point in a podcast in that current DIDs such as ENS and unstoppable domains simply do not make sense as digital identity. These DIDs in their current form exposes the wallet balances of users. He strongly believes wallets do not equal identity. Drawing a parallel with the physical world, nobody would use their bank account to validate their driving capabilities – we have our driver’s license for that. Similarly to the web3 world, I share the same belief in that to really make a new form of digital identity that is decentralised would have to be detached from our financial identities. It’s exciting to see that identity infrastructure from these web3 social projects such as CyberProfiles, Lens Profile and Galxe passports, pave a way for a more comprehensive digital identity.
SubscribeNFT:
SubscribeNFTs are a key part of the CyberConnect toolkit. They're all about building connections between a wallet and a CyberProfile. The cool thing is, each CyberProfile holder can create a unique SubscribeNFT, and it can be tweaked and tuned to represent different types of social connections, from followers to token-gated communities.
Once a user has their CyberProfile up and running, they can set the subscription middleware and the tokenUri for their SubscribeNFT. Then other users can start collecting it. What's great about the SubscribeNFT is its flexibility. It can be molded to symbolize various types of relationships, like following someone, subscribing to a creator, being friends, joining an organization, or even being part of different activities and communities.
There's a bunch of interesting ways to use SubscribeNFT. For example, content creators can set up a pay-to-subscribe model where they get paid in tokens for subscriptions. In return, subscribers get a unique SubscribeNFT. Another idea is to limit subscriptions to those who hold a specific NFT or SBT from a certain project or app.
So, basically, SubscribeNFT is a powerful tool for creating all kinds of connections in the web3 social space. It's flexible, it's adaptable, and it's got a ton of potential. Whether it's for paid subscriptions to a creator, friend connections, joining an organization, DAO governance roles, or something completely new.
EssenceNFT:
The EssenceNFT is a bit like the Swiss Army knife of NFTs on CyberConnect. It's a one-size-fits-all tool that lets users represent any content they want, be it a tweet, a video, or a blog post. But it's not just about content. These NFTs can also be tweaked with rules such as pay-to-mint for crowdfunding or hold-to-mint for community members. And here's the kicker: they can be either tradable NFTs or non-transferable tokens known as Soul Bound Tokens (SBTs).
To keep things legit, each piece of content is tied to a user's profile. So, you gotta create a profile first before you start crafting your content. Then, people can start collecting your content based on dynamic rules you set.
Users can create a post, much like you would on Twitter or Medium. But because it's on the CyberConnect protocol, it becomes a web3 native tool for engaging with your community and monetizing your content. An example would be a content platform where users can contribute tokens to each article.
Another use-case illustrated by the CyberConnect would be Web3 Status Token (W3ST). This is a CyberConnect-designed SBT that helps you build your social status online. It's a digital badge of honor that represents your status, affiliations, memberships, and endorsements. It's all verified by other CyberProfiles. Whether you're a community member, an investor, or an event participant, you can get your own W3ST to show off your status.
The core concepts draw parallels with its competitor in the space, Lens Protocol. Both protocols serve as foundational data infrastructure, these protocols are designed to empower developers to construct decentralized social graphs. They facilitate a unified approach for users, allowing them to store all their social network information under a single address, promoting ease and flexibility of use across various applications.
What can be expected from this competition of Decentralised Social Graphs, it's not necessarily just about who has the superior technology, but also about how well these protocols can foster a community, promote user adoption, and build meaningful partnerships. As the Web3 landscape continues to evolve, both CyberConnect and Lens Protocol will play instrumental roles in shaping the future of decentralized social networks. A lot of factors have yet to be proven by these early movers in web3 social but there is opportunity for them to create the infrastructure for social to onboard on a decentralised future. These early pioneers in web3 social still have a lot to prove, but they've got a real shot at building the groundwork that could usher social media into a decentralized era.
Use-Cases of CyberConnect
Link3
CyberConnect launch its flagship social networking platform, Link3, in July 2022. Dubbed the "LinkedIn for Web3" by its CEO, Wilson Wei, Link3 harnesses the power of blockchain technology to forge a secure, decentralized network rooted in verified identities. Link3 integrates both on-chain and off-chain data to provide trustworthy information and presenting users with a comprehensive digital identity to foster meaningful connections. The platform aims to construct an identity network to combat against the rising tide of social media-related scams.
Underlining the urgency for such a platform, CyberConnect’s press release revealed that a staggering 50% of crypto scams in the past year were driven by deceptive advertisements or malevolent individuals exploiting direct messages. The problem of scams in the space show a staggering $14 billion in cryptocurrency stolen from unsuspecting users in 2021 alone – a focus area worth looking into for builders. Designed with user safety in mind, Link3 offers its users the peace of mind that comes with knowing they can trust the identity of their online counterparts. This added layer of trust is further bolstered by users having control over who can contact them regarding digital assets or payments, thereby reducing the scope for scams.
In terms of forward-looking strategies, Link3 is committed to working in synergy with decentralized autonomous organizations (DAOs) to bolster identity verification and nurture community growth. By strengthening identity verification processes, DAOs will be empowered to optimize their community resources and foster richer, more personalized engagement with their members. While the platform's user engagement metrics may not yet pose a direct challenge to established web2 networking platforms, it represents a critical step forward as a real-world application of web3 social principles. It's certainly an innovative initiative to watch closely.
ReadON
ReadON is a pioneering platform aiming to redefine digital reading habits in the Web3 era using Game-Fi principles and systems. Recognizing the power of reading as a vital skill for accessing a vast spectrum of knowledge and understanding the world, ReadON seeks to counter the current trend of 'doom-scrolling' prevalent in the Web2 environment. This phenomenon is fueled by social media giants using provocative content to capture user attention, often leading to distraction and potentially adverse mental health effects.
ReadON offers an innovative solution with its "Catto" NFTs. These allow users to accrue the in-game currency, $READ, as they engage with content. The rate of earning depends on various factors, including the content's topic, properties of the Catto, and the user's experience. Importantly, the platform is community-driven, with users given the power to vote for and sponsor their preferred content through a "content staking" model.
By promoting deep reading and fostering a community of readers, ReadON aims to encourage the dissemination of quality content. Ultimately, it intends to democratize the power of information, shifting control back into the hands of users.
W3space
W3space, developed by LabOrigin, is a Metaverse Cross-Platform gamified social dApp. It offers users complete ownership and control over their community spaces, empowering them to showcase their individuality and strengthen their sense of belonging. Leveraging CyberConnect's social graph protocol, W3space seamlessly integrates CyberProfile identity visualization and gamified community experiences. The platform features immersive 2D pixel Metaverse environments, cross-platform video and voice chat support, NFT imports, drops, and derivative creation – the experience gives off Pokemon vibes. W3space is currently in alpha testing, with plans to expand its capabilities, including a versatile map editor, AI-Powered and web3-oriented NPCs, and mobile accessibility. W3space invites projects, DAOs, and communities to come aboard, offering exclusive benefits such as professional docking services, customized community spaces, reserved priority rights of future W3Space Land NFTs, and more.
Captains of the CyberConnect Ship
At the helm of CyberConnect are two seasoned technology entrepreneurs, Wilson Wei and Ryan Li, whose collective experience and leadership have been instrumental in shaping the company's vision and strategy.
Wilson Wei, one of the co-founders, has an impressive track record in the tech industry. Prior to being co-founder of CyberConnect, he served as the General Manager of Interactive Entertainment at BitTorrent from January 2020 to December 2020. Wei's entrepreneurial spirit is also evident in his roles as a private investor in i-Space, Chairman at DLive, and CEO/Co-Founder of Lino Network. DLive, the pioneering decentralized live streaming platform for gamers and crypto enthusiasts, boasted over 30 million monthly active users, with the popular YouTuber PewDiePie exclusively streaming on the platform. DLive was eventually acquired by BitTorrent in early 2020. Similarly, Lino Network, a venture aimed at creating a decentralized autonomous content economy leveraging blockchain technology, was acquired by TronNetwork in late 2019 after successfully raising over $20 million in funding.
Ryan Li, the other co-founder, is a tech maven with deep expertise in software development and blockchain technology. Before co-founding CyberConnect, Li was the CTO at BitTorrent and played a pivotal role in the success of DLive as its Co-founder and CTO. His career in tech also includes a stint as a software engineer at Instagram, one of the world's most popular social media platforms. Additionally, he was a co-founder of Lino Network, thus sharing in its successful exit to TronNetwork.
Collectively, they bring a wealth of practical experience and a proven track record in leadership roles, successful fundraising, and strategic exits within the tech and blockchain industry. Their past accomplishments and relevant experience serve as strong indicators of their capability to steer CyberConnect effectively.
Fundraising Journey
Seed fundraising round:
CyberConnect had successfully secured $10 million in a seed funding round. The round was co-led by Multicoin Capital and Sky9 Capital, with participation from notable investors like Animoca Brands, Draper Dragon, Hashed, Zoo Capital, Smrti Lab, and Mask Network among others. This round was structured as an equity plus SAFT (Simple Agreement for Future Tokens) deal, according to CyberConnect founder Wilson Wei. The funds raised will be instrumental in doubling the startup's current 15-member team, fostering the community of Web3 developers, and facilitating the launch of their decentralized social graph protocol later in the same month.
Series A fundraising round:
The team has secured $15 million in a Series A financing round in 2022. This noteworthy fundraising was jointly spearheaded by Animoca Brands, a Hong Kong-based web3 titan, and Shanghai's venture capital powerhouse Sky9 Capital. Other prominent investors including Delphi Digital, Polygon Studios, Spartan Group, Tribe Capital, GGV Capital, Amber Group, and SevenX Capital also joined the funding round, reinforcing CyberConnect's mission to decentralize data control in web3 platforms. This significant financial backing from these influential industry players is a clear endorsement of CyberConnect's vision and strategy. Despite the potential headwinds from market downturns, CyberConnect's CEO Wilson Wei remains resolute and focused on driving innovation and fostering value within the web3 space.
Some Key Numbers…
Now to look into some numbers and metrics of the project. The data is pulled from the latest public data and will be used to see how the project is doing and where it might be heading. According to a post by the team at CyberConnect, they have announced as of April 2023, the protocol has over 875,000 web3 users, each possessing a CyberProfile - a distinct, self-sovereign identity on the blockchain. These users have collectively executed more than 7.3 million transactions spanning various blockchains. Furthermore, every month, over 300,000 users actively interact with the suite of decentralized applications (dApps) developed on the CyberConnect protocol, with Link3, their flagship social networking platform, taking the lead in user engagement. The forthcoming public offering of the $CYBER token is a strategic move aligning with their mission of creating a user-empowered, decentralized social network.
Starting off with some key figures from dappradar, CyberConnect is holding down the 4th spot over the past 30 days, at the time of writing, clocking in at a volume of 83k. That's pretty noteworthy in the bustling crypto space. Now, shifting our lens to UAW, things get even more interesting. UAW's figures are punching significantly above their weight class at a whopping 205.27k, which stands in stark contrast to its competitor, Lens Protocol. Lens is trailing behind with a volume of around 37k.
Comparing this to Lens Protocol, when it comes to Unique Active Wallets (UAW), Lens boasts a solid count of 37k. But the real eye-catcher is their transaction volume. Lens has recorded a striking 1.27M transactions, defined as the total number of exchanges made between UAWs and the dapp’s smart contracts. This shows that while Lens may have a similar UAW count compared to some peers, its user base is highly active, resulting in a high transaction count. Cyberconnect posts stronger numbers in all categories including volume and balance in smart contracts. As we continue to observe the battle of the decentralised social graphs, it will be intriguing to track how these metrics evolve.
According to Dune Analytics, CyberConnect shows some impressive engagement stats. The platform boasts a daily active user (DAU) base of 31.8k, which balloons to 64.6k weekly active users (WAU) over a trailing 7-day period, and a substantial 183k monthly active users (MAU) over a trailing 30-day period.
A remarkable 91% of these monthly users possess a CyberProfile, pointing to a high retention rate that few can match. The total profile count is an impressive 917k, and the platform has been experiencing a sharp increase in profile minting, especially noticeable in the spike observed in March of 2023. This certainly suggests an increasing interest and investment in the platform.
But the numbers story doesn't end there. The total minting fee on ETH amounts to a substantial 278.05 ETH, while on BNB it's 839.43 BNB. Based on the numbers and the projects currently on CyberConnect – a big reason for the traction can be pointed towards Link3.
Now, let's take a deeper look into CyberConnect's content creation and collection statistics. The platform has a total of 113.9k cyber profiles actively creating content. CyberConnect’s community has contributed to an impressive tally of 1 million registered pieces of content. Now when compared to Lens Protocol, both are posting very similar numbers as Lens Profile Count stand at 117k.
But the platform isn't just about content creation; it's also about content collection. A staggering 7.5 million pieces of content have been collected on the platform. This demonstrates a high level of engagement and interest from the user base, with 833k unique content collectors actively participating. A significant factor in this vibrant collector count on CyberConnect is the role of W3STs, status tokens that serve multiple purposes. They act as endorsements, proofs of participation, community roles, and credentials. This multi-faceted token system contributes to the platform's dynamic content environment – whether it be PFP NFTs or new use cases social NFTs can bring to users.
Context of collection may vary differently from what is posted on Lens and may not be a suitable comparison apple to apple. However, it does present itself as an indicator of activity of the first functionalities rolled out on each of the social graphs. Think of it as comparing DAUs between companies instead of comparing revenues calculated. The former is indicative and would have to be reliant on additional metrics for better context, and revenue being an identical metric that is compared like for like. All things considered, it's pretty cool to see this kind of buzz in the web3 social infrastructure. It's definitely a space to keep our eyes on, and I'm genuinely excited to see where it heads in the next few years.
Where Can You Play, as an Investor?
Probably the part where you are most interested in, as fellow readers. Unlike its counterpart Lens Protocol, CyberConnect is set to launch its native token $CYBER.
CyberConnect's native utility and governance token, CYBER, is set for a public sale on CoinList come May 18th, 2023. This sale will bring 3% of the total 100,000,000 CYBER supply to the market, accessible to residents in specific jurisdictions. Interested parties can register for the sale, which closes on May 15 2023, at 12 PM UTC. Members of the community can engage in the sale at a rate of $1.80 for each CYBER, a considerable discount compared to the Series A fundraising price of $3 per CYBER
The debut of the CYBER token and CyberDAO is a vital stride towards transitioning the protocol governance to a decentralized community. The CYBER token will serve a significant role in safeguarding and administering the DAO, thereby shaping the future use of the treasury and steering key upgrades to the protocol's infrastructure.
Tokenomics:
$CYBER will provide the following utilities within the decentralized social network protocol:
Governance: Token holders can vote on CyberConnect Improvement Proposals, directing the long-term success of the protocol. Upcoming votes will address activating a service fee, modifying fee rates, deciding acceptable payment tokens, expanding the protocol to new blockchains, and allocating budgets for a developer grant program, community contributor initiatives, and community events for ecosystem development.
CyberProfile Minting: CyberProfile acts as the gateway to the CyberConnect ecosystem for both developers and users. When purchasing a premium username CyberProfile, CYBER will be the primary currency accepted for payment.
Gas Payment in CyberWallet: CyberConnect is developing a smart contract wallet solution, CyberWallet, to offer users a smooth transition to web3 without requiring seed phrases or native tokens for gas fees across various blockchain ecosystems. CYBER will serve as the standard for pricing and payment of gas fees across all transactions within CyberWallet, compatible with EVM chains like Ethereum, Optimism, Arbitrum, BNB Chain, Base, and Polygon
Total Supply: 100 million tokens
Source: CyberConnect Post
Conclusion
CyberConnect is smack in the middle of a pretty exciting area - web3 social networks. The backbone of this would be social graphs. When people are getting all hyped up about web3 social, it's like a tailwind for anything to do with decentralized social graphs. And that's exactly where CyberConnect shines. They are one of the leaders in the pack among just one or two others. These protocols are carving out a path for users to take control of their own social graph data and switch between web3 platforms at will. Simply put, if you are bullish on web3 social, you would be bullish on decentralised social graphs. However, while the outlook for CyberConnect seems pretty rosy, it's not all sunshine and rainbows. The world of web3 social networks is still nascent and could face regulatory hurdles down the line. It's also a bit of a "wait and see" game to find out if the public will fully embrace these web3 technologies. And let's not forget - although CyberConnect is one of the frontrunners now, there's always the chance of newer entrants or even big tech players stepping onto the web3 playing field that would capture the market share. With that in mind, I firmly believe that if you're optimistic about the future of web3 social, staking your claim on decentralized social graph protocols is a strategic move to make.
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