The crypto world changes faster than we think. I still vaguely remember that from the end of 2021 to January 2022, major media platforms were promoting CZ's outlook for the new year, which was optimistic about SocialFi and GameFi, claiming that 2022 would be the first year of social networking. Time flies. In the ups and downs of the crypto market in 2022, DeFi applications have fallen silent, NFT project floor prices have continued to plummet, and the public chain track has been deserted. Under such circumstances, although SocialFi is sluggish, it has also encountered some highlights this year. At the beginning of the new year, let us review and summarize the development and innovation of SocialFi 1.0 in 2022, and at the same time give a new year outlook for SocialFi 2.0 in 2023.
SocialFi has a similar development path to GameFi, but because the attention paid to games is much higher than that to social networking, and the inflection points and phased changes are obvious (games are more like Ponzi schemes), there is no division of GameFi 1.0-3.0 for SocialFi like games. Here, we would like to call the enlightenment period of Web3 social projects before 2022 as SocialFi 1.0.
What is innovation? Innovation can be solving old problems or creating new demands to solve new problems. The existence of Web3 social networking can solve old Web2 problems, but it is not limited to this. Web3 is also creating new demands to solve new problems. Most SocialFi 1.0 projects are not just replacements for Web2 social products, but more of a combination of social networks and financial attributes on blockchain platforms. The current more mature definition of the term SocialFi is that it aims to provide users with benefits and transparency through financialization and the influence of social networks, that is, the perfect combination of Social Network and Money Effect.
Furthermore, the existence of Web3 social networking can also solve many existing problems of Web2 social networking, including but not limited to: Web2 social relationships are dependent on centralized platforms/closed ecosystems + content created is stored on the platform + user data belongs to the platform + profit models are distributed by the platform + creators’ value cannot be reflected. In the Web2 era, social media algorithms define who we are friends with, what activities we like, what kind of content we like to watch, and so on.
However, DCIRCLE’s content curation, through the redefinition and sorting of creators, communicators, and consumers, is very different from the implementation path designed by traditional Web2 platforms, even though the ultimate goal is to provide users with high-quality content. However, traditional Web2 focuses more on motivating content creators and pays more attention to the supply side, while DCIRCLE is more user-oriented, screening information value through curation scenarios, and paying more attention to the demand side. Although the efficiency of content curators is far less than that of algorithm recommendations, the quality of curated content is much higher than that of algorithm recommendations, and the value density of curated content is much higher than that of algorithm recommendations.
DCE is a factor that circulates within the DCIRCLE platform and measures the value contributed by DID users. DCE is a relatively stable circulating token within the platform. The increase or decrease in the total amount of DCE circulation should be conducive to the development of the platform. The issuance of DCE is determined by voting by the recognized equity members; DCE holders can obtain a certain proportion of the distribution rights of the platform value realization.
