1 New digital asset paradigm
Smart Tokens is a new digital asset paradigm brought by Smart Layer Network. It is a programmable token that uses TokenScrip technology on the ERC-5169 standard token.
Every innovation of assets will bring a wave of changes and waves, representing huge opportunities. In the ICO era of 2017, smart contracts brought a new way of token distribution; in 2020, Defi obtained tokens by contributing TVL; in 2021, NFT is essentially a new asset, and a large number of myths of getting rich by hundreds or thousands of times have emerged; and in 2023, the new asset of inscriptions has staged an exponential growth.
Those who have missed the chance to get rich through inscriptions should feel the same way and pay special attention to new assets. Even if you cannot imagine its value now, the market will naturally find it. As the bull market approaches, what kind of story will programmable assets, a new asset, tell? It is really exciting.
We can see the value of new assets such as Smart Tokens
1) Smart Tokens carry complete information, which makes them more valuable. In the future, we will see NFTs like the fat penguin with friends and family, adventures they have participated in, or celebrities who once owned it.
2) Smart Tokens are more combinable and easier to be called by other systems. In the future, we may see GameFi selling perfectly matched heroes and equipment.
3) Smart Tokens’ programmable objects add on-chain and off-chain functions, making them more functional. In the future, we can see
A decentralized identity like an ID with complete privacy protection.
2 Smart Tokens will lead the industry’s further evolution
The blockchain world is dominated by tokens, and currently tokens have only two main attributes: 1) the owner, that is, the wallet address of the owner; 2) the transfer history, that is, the transaction record recorded in the blockchain. This world has been going on for more than a decade, but the industry has undergone tremendous changes in the past decade, and the demand and usage scenarios have shown explosive growth. Obviously, this thin token attribute is now stretched and inefficient in many scenarios. Therefore, Smart Tokens, a new digital asset paradigm, has emerged, which allows assets to have many attributes and brings greater possibilities.
Taking gamefi as an example, we know that real games are very complex, including various props, equipment, game mechanisms, etc. For example, a hero NFT often has weapons, helmets, shoulder pads, shoulder pads, shoes, and these equipment need to be synthesized and upgraded. Not only that, the game also involves various experiences of the characters, etc. Obviously, the existing NFT cannot meet the needs, and the game party has to put a lot of content in the centralized server. However, if the programmability of tokens is used, NFT can perform a large number of attributes and links, and a lot of problems can be solved.
In Desocial, the core of social interaction is the relationship between users and links. Currently, the strategies of cyberconnect and lens are to use NFT as character accounts and use smart contracts to establish social relationships. Smart Layer may be more perfect, as it only needs NFT as a user account, and can naturally put in accounts, friends, blacklisted accounts, articles, likes, favorites, etc.
Perhaps Defi can also undergo a huge transformation. We don’t need to stake tokens in Dapp. We only need to define the earning attribute in the token and then perform stake mining. In this way, even if the Dapp is attacked by hackers, the users themselves will not suffer any losses.
3. The cornerstones for achieving large-scale Web3
The large-scale application of Web3 is an important topic at present. Current efforts are mainly focused on two aspects: on the one hand, developing a public chain with low GAS and high concurrency to meet the needs of a large number of users; on the other hand, to reduce the entry barriers for users, such as AA wallets, etc. However, I think Smart Token is also indispensable, because only programmable Tokens can meet the needs of the complex real world.
Let's take a real-life example. Now when we log in to many websites, we use Google ID for authorization for convenience. The result is that the user's behavior data is controlled by Google, which is a centralized authority. We believe that it will not have the risk of doing evil, but data theft is a real potential risk. You know, Google ID has billions of users worldwide and connects to tens of billions of authorized websites.
As blockchain people, we hope to create an identity system like Google ID, which can protect privacy and ensure that the data is owned by ourselves. Then the existing NFT as an identity seems a bit awkward because it is far from sufficient in terms of functionality. At this time, Smart Tokens can play its role. It can be programmed, can log in to the website for authorization, and can be deauthorized when not needed. In addition, data from various authorized websites can be recorded in NFT. What is more valuable is that programmable objects can be linked to the off-chain, and more functions and gameplay will appear, such as linking members with offline physical stores, etc.
4 Smart Layer Introduction
The Smart Layer Network project aims to create a new type of asset - Executable Token/NFT (executable token/non-fungible token) by utilizing the ERC-5169 standard and TokenScript technology. This token not only exists as an asset, but also has the characteristics of built-in executable code, providing high practicality and strong expansion capabilities. Transforming tokens into multi-functional assets enables them to be linked to external scripts, thereby greatly improving the circulation and integration capabilities of tokens.
TokenScript is a JavaScript/WebAssembly/XML framework that aims to improve the functionality, security, and usability of blockchain tokens in various ways. It allows token issuers and other trusted institutions to enhance specific tokens by combining a wide range of information, rules, and functions. By using TokenScript, wallets and network services can easily, securely, and privately integrate a token and all its functions (whether on-chain or off-chain) without having to deeply understand its underlying smart contract.
Smart Layer Network is not a public chain, but a decentralized network service, similar to The Graph. This network consists of three key parts:
Blockchain infrastructure: At this layer, smart contracts play a key role. They not only ensure that token transactions follow established rules, but are also responsible for recording historical snapshots of token operations for future verification.
Anchor nodes: These nodes are operated by well-known organizations selected by the DAO. They are the backbone of the network and ensure that the network’s stability, security, and service goals are achieved.
Service Nodes: are the backbone that provide basic services that make the network run effectively and efficiently. Constituting a wider network, these nodes distribute service tasks through a distributed hash table and provide TokenAPIs to enable various integrations.
Service nodes are an important component of Smart Layer Network, providing basic services that make the network run effectively and efficiently. They are a large network of nodes. The incentive mechanism for service nodes is implemented through Smart Layer Tokens. These tokens can be paid by users who use their services or by websites that need token integration. This payment method is implemented through API calls in the form of gradually fulfilled promises that service nodes can fulfill at the end of the session. Smart contracts play a key role in this process. It not only processes payments, but also destroys a portion of Smart Layer Tokens to ensure the effective operation of the system.
The anchor nodes are responsible for monitoring the entire system and ensuring that everything goes according to plan. As semi-trusted nodes in the network, anchor nodes need to have extremely high availability. They regularly check whether the service nodes have reached the service level specified in the contract. At the same time, they are also responsible for recording key token operations and generating commitment summaries. These commitments are generated through information exchange between anchor nodes. At each time interval, an anchor node will write the commitment to the blockchain through a randomly assigned role. Anchor nodes are also responsible for maintaining the rules of the distributed hash table to ensure the redundancy and performance of the network.
The close collaboration of these three components forms a dynamic, secure and efficient network. Smart layer tokens are not only the energy source of the network, but also a means to motivate nodes to contribute resources. Both anchor nodes and service nodes can obtain smart layer tokens as rewards by participating in the network. The more resources they contribute, the more generous the rewards they receive. This incentive mechanism ensures that the network can continue to grow and maintain sustainability.
5 Investment institutions
Smart Layer has gone through two rounds of financing, in 2021 and 2022, raising US$6 million in both rounds. The second round was led by Liang Xinjun, co-founder of Fosun. Other investors of Smart Layer include HashKey Capital, Okx Ventures, SevenX Ventures, Mask Network, Fubushi Capital, etc.
6 Smart Cat
SmartCat is a Smart Token established in accordance with the Token Script standard. SmartCat is not only an NFT, but its smart part is that we can directly click on the cat to achieve various interactions without jumping to a third-party web page. Compared with the past experience, if you hold BAYC/Azuki, you need to go to a third-party website to achieve more interactive functions.
Interactive pages (can be added or removed at any time)
Feeding
Clean the cat bed
Find a playmate to chat with
According to official data, the number of transfers of Smart Cats xNFT on polygon in the past week reached 2.68 million times, which has exceeded Optimism's 2.62 million times and base chain's 2.28 million times, which shows the popularity of Smart Cats.
7 Conclusion
The Smart Layer team has been working hard for more than 6 years and will be officially launched in this bull market. The new asset paradigm of programmable tokens has begun to set sail. Smart Cat has already tried its hand, and more than 1,000 developers have registered within 10 days of the official Launchpad. The future is promising.
