Looking at UXLINK’s Web3 social subversion from NOT: Starting from social but not just social

Susan, Golden Finance

Social networking is a track that is expected to attract one billion Web2 users into the Web3 industry.

What kind of social products does Web3 need? Protocols and products are trying to answer this question. Currently, this track is broadly divided into two developments.

One branch has developed some innovative decentralized, anonymous social products based on underlying protocols, such as social products created based on the Lens protocol and the Nostr protocol. These products either have built-in economic models to achieve “social money-making” or are completely anonymous and decentralized products.

The other branch is not so decentralized. It is just a social product created to meet the needs of crypto users for social applications. It is just an APP.

All of the above social applications have a problem: there is no way to get Web2 users to migrate en masse. Web3 social products cannot just be small-scale, self-developed. The industry has been developing for nearly 15 years, and there needs to be products or applications that can be widely used by people outside the industry. Social networking is undoubtedly highly anticipated, which requires a product with a low user threshold, a large base, easy fission and high viscosity.

What should a Web3 product that can truly attract hundreds of millions of Web2 users look like? UXLINK, created based on Telegram, provides an answer that is different from traditional Web3 social networking - building a comprehensive social network for individuals in the Web3 world based on acquaintance social relationships, and then extending it to meet the various needs of users in the Web3 world.

According to the official website, since its launch in April 2023, UXLINK has accumulated more than 7.8 million users in 19 countries and regions, and has raised more than 15 million US dollars in three rounds of financing. The investors are from many first-tier institutions and well-known angel investors in Europe, America, Asia and the Middle East.

What has UXLINK, which is recognized by both users and capital, done?

The first social networking among acquaintances, layered applications directly address the pain points of current social products

Any product with tenacious vitality is inseparable from the innovation of underlying protocols or technologies, and UXLINK is no exception.

The most different thing from other Web3 social products is that UXLINK pioneered the acquaintance social model of Web3. It is based on this model that a comprehensive social network for individuals in the Web3 world is established. In this network, people can not only build social relationships, but also turn their social data into assets and participate in various social financial activities conveniently. In summary, UXLINK takes acquaintance social networking as the starting point and radiates multiple lines to meet the various needs of users in the Web3 world, thus weaving a big network.

In order to weave this network, UXLINK has done the following things. The first is to build application products. UXLINK's products are divided into three levels. The first level is the application level, which mainly includes two types of applications: UX Discover and Social DEX. These two types of applications support users to discover, participate in, and invest in suitable Crypto projects and assets in a social way in group scenarios.

The second layer is the protocol layer, where two protocols are launched. The first is the RWS protocol, which is used to solve the problem of social graphs of acquaintances and can help developers achieve better recommendations and growth. This includes the UXAccount service protocol and the UXGraph service protocol. The second is the AWC protocol, which mainly solves the relationship between on-chain identities and assets, can help developers better understand users, and help AI models perform behavioral analysis and recommendations.

The third layer is the Social Liquidity Layer, which is the basic network data layer on the social chain planned by UXLINK. It is currently being planned. This is a user-sovereign, lower-level infrastructure that allows social relationships and data to be assetized and flow. It can support users and developers to safely transfer their social assets in different public chains and different Dapps. And all Dapps built on the UXLINK social chain can natively access this social network. This makes digital assets more liquid based on this network and also provides the possibility for the liquidity of social assets.

It is through this all-round innovation that UXLINK has made up for the major defects of most Web3 social products on the market: high entry barriers, closedness, and poor stickiness.

Some small things also reflect that UXLINK is run by a very sophisticated and intelligent entrepreneurial team. UXLINK is installed on Telegram, which is a very smart move. Telegram has 900 million user traffic, which is a smart leverage for UXLINK as a social product that wants to attract one billion users. Although connected to Telegram, UXLINK did not choose to build on the TON chain, but chose the Arbitrum chain. First, the Arbitrum chain has low Gas and low user interaction costs; second, this saves costs for UXLINK to enter other platforms in the future. After all, TON is still a relatively closed public chain.

According to Golden Finance, the founding team of UXLINK has extensive entrepreneurial experience in Web2 social products. They once relied on WeChat mini-programs to create a social product with over 80 million users and over $100 million in financing.

Be a machine for data production and optimization

The simple and crude understanding of the meaning of UXLINK for users is "Link To Earn". But if you look deeper, you will find that its essence is actually "Data To Earn". The social behavior of users on UXLINK is data, and users can get rewards by providing data. The bottom layer of UXLINK is actually a data production machine.

A major improvement of Web3 over Web2 is that user data on Web2 is controlled by large companies, and individuals become data "slaves" working for large companies. The data ownership feature of Web3 allows users to control their own social data. If other projects or others want to use the data, they need to obtain permission from the data owner or pay compensation.

UXLINK has undoubtedly taken this principle of the Web3 world to its extreme. Currently, UXLINK is frequently cooperating with AI projects. AI is actually a very centralized product that uses a large amount of personal data to train models.

UXLINK chooses to cooperate with a large number of AI projects to provide them with high-quality data and application scenarios. UXLINK is one of the few Web3 projects that can provide three-dimensional data based on accounts and integrated on and off the chain. This kind of data can enable AI models to learn, predict and judge better. In the process of providing data, users will also receive UXLINK rewards - airdrops. When ordinary users use UXLINK applications, they are helping UXLINK construct social data, and after these data are used commercially, users will receive corresponding rewards.

Moreover, UXLINK is also optimizing the user experience based on the user's data. In a non-closed-loop social network, the user's core experience is largely determined by data, that is, what kind of objects the user interacts with, what kind of information the user obtains, what kind of assets are distributed and recommended, etc. The data returned by the user after the interaction will further optimize the data model. UXLINK has a built-in data machine, which can maximize the user's core experience in existing scenarios.

In order to attract more users to join UXLINK, the official airdrop launched by UXLINK can be regarded as "sunshine". The first season airdrop of UXLINK token $UXLINK is in progress, and it is planned to cover 10% of the best users, exceeding 550,000 users.

UXLINK's economic model is a dual-token model, in which $UXUY (on-chain points) are all obtained by community users through Link to earn, and most of the governance token $UXLINK is also allocated to the community. These are all written in the white paper.

The native utility token $UXUY mainly serves as the core incentive for the development of the UXLINK community and ecosystem. It is not pre-minted and all community users obtain it through Link to earn. Users can earn it by inviting others or contributing to the ecosystem, which means that the earlier you create a social network, the more $UXUY you will get. The governance token $UXLINK is mainly used for community governance and to obtain revenue from UXLINK projects and products, of which 65% is distributed to the community. It is worth noting that there is no lock-up period for the airdrop of governance tokens, while the governance tokens held by partners and teams will have a lock-up period of 3-6 months and follow the rule of linear quarterly release for 2 years. This move also reflects UXLINK's determination to deepen its presence in the SocialFi track.

In this process, users and UXLINK are undoubtedly win-win, and a positive flow of the economic system is formed. For users, their contributions in social and trading will be rewarded with tokens. The fundamental factor in user benefits lies in how much money UXLINK can make. The interests of users and UXLINK are highly bound.

UXLINK's business model is very simple and clear. UXLINK officials told Golden Finance that UXLINK's profits are mainly divided into two parts. The first is the B-side charges. Merchants need to pay UXLINK for calling the UXLINK protocol and data. For example, this year UXLINK held an airdrop2049 event and received support from 50 ecological partners and received 200,000 U of revenue. The second is the C-side charges. Users will be charged handling fees for transactions on the platform. At present, UXLINK's monthly income has reached 300,000 US dollars (Tonken pricing).

Ambition does not stop at social networking

According to UXLINK personnel, the number of EOA accounts on the entire UXLINK network has reached 9 million, which is nearly 10 times that of Friend.Tech and about 30 times that of Farcaster.

In terms of social networking, UXLINK is undoubtedly the industry leader. Social networking connects people together, and UXLINK's ambition is not only to build a social product, but also to provide users with all the scenarios they need to play with Web3.

After doing social networking well, more things will follow naturally. UXLINK allows users to discover good projects, participate in good projects, invest in good projects through social behaviors, and monetize their social behaviors.

To this end, UXLINK has built-in a series of tools to facilitate financial activities. These tools include: 1. The built-in wallet UX Wallet allows users to mint social tokens (SBT) and create social assets to tokenize their social graphs. 2. Providing AI analyzers and trading robots can help users participate in the market and social transactions more effectively. Social trading is also seen as a simple way to monetize personal connections. 3. A group toolkit has been created specifically for group owners to maximize social influence, social model richness and financial returns. 4. GroupKits manages group assets, mints group ID NFTs and graphs, and issues and joins trading groups Gpass through tools such as GWallet, GGraph and GPass.

Developers' products can also be exposed and grow through UXLINK. For example, UXLINK is rooted in Telegram and can perfectly meet the needs of new assets at all stages from issuance to operation. A group can embed many functions, so this one-stop service increases the flow rate of assets. On the other hand, developers can use UXLINK's services to do social fission and product growth, and can also use UXLINK to understand users' digital identities, digital assets, social networks, and asset information on social networks. This undoubtedly lays the foundation for developers to make better products.

From the above, we can see that UXLINK’s ambition is to become a super platform that integrates industry asset issuance, trading, and Dapps Launch, rather than just a social product.

For users of UXLINK products or investors of its tokens, one certainty is that UXLINK will give everyone a good return.

UXLINK Prospects: Looking at UXLINK from NOT

As a social product built on Telegram, UXLINK will naturally be compared with NOTCOIN, which is also in the Telegram ecosystem and has recently become very popular in the crypto community.

With the support of Telegram ecosystem and a large number of users, NOTCOIN's token NOT was listed on Binance, OKX and other first-tier exchanges on May 16. After two weeks of consolidation, the price of NOT began to rise in early June, reaching a new high of $0.028. As of press time, the price of NOT is stable at around $0.022. The total supply of $NOT tokens is about 102.7 billion, and it is in full circulation. The current FDV is about $2.3 billion, and the market value ranks among the top 60.

UXLINK also has the support of Telegram ecosystem and a large number of users, so by comparing NOT and UXLINK, we can clearly predict the market prospects of UXLINK.

Comparison of the number of users: NOTCOIN is considered to be the first "out-of-circle" project in the Telegram ecosystem. Since the beginning of this year, NOTCOIN has spread rapidly with its own meme attributes and brainless Tap-to-Earn gameplay, gaining 5 million users within a week of its launch, with a peak daily active user base of more than 6 million. Since its release in April 2023, UXLINK has become the traffic king of the new generation of social products with its unique Link-to-Earn gameplay. According to the project's official website, UXLINK has more than 7 million registered users from 190 countries and regions, and 100,000 groups can reach more than 8 million users.

Mass Adoption Methodology Comparison:

We found that the biggest common point between UXLINK and Notcoin is that most of the tokens are issued to the community. One point that makes $UXLINK better than $NOT in the economic model is that $UXLINK has clear empowerment and deflation expectations, while $NOT does not.

Comparison of the number of holders: Comparing the number of holders of the two, holders are the key indicator to measure the degree and potential of Mass Adoption, and a considerable number of holders is the basis of consensus. Since UXLINK has not yet issued a coin, we use on-chain points and NFT holdings to estimate the future $UXLINK token holders. According to Dune data, UXLINK currently has over 4.4 million on-chain points and NFT holders, including more than 1.5 million NFT holders. Only high-quality community users who meet certain points requirements can mint NFT to become NFT holders, and NFT holders can get airdrops 100%. Therefore, it can be considered that UXLINK had about 1.5 million holders before listing. This number is almost the same as the scale after the $NOT list.

UXLINK asset holder number Source: Dune

Through the above comparison, we can conclude that $UXLINK is expected to become another token sweeping the industry like $NOT. And because $UXLINK itself has the attributes of empowerment and deflation, it will have stronger vitality compared to a simple Meme. UXLINK's ambition will be turned into real money flowing into users' wallets.