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jcdenton.ethIndestructible Communities
NFT communities are fragile in todays world: they can be delisted from OpenSea, removed from Discord and Reddit, and censored by web3 data APIs. Every community today hosted in web2 environments is under the thumb of an employee following an internal guideline. We’ve decided to host a community on BΞB with heavy alignment, CryptoPhunks, which has been previously delisted from OpenSea 3 times (and recently verified). Hosting them is an ideal test of a web3 social platform on the mission of cre...
jcdenton.ethBΞB Communities
Communities today are siloed in rent-extracting platforms such as Discord, Patreon, Facebook Groups, and Reddit. The operators of a web2 community have no ownership rights, as they are tenants to a landlord who’s only incentive is to extract maximum profit from their communities users. Community migration is practically impossible in the web2 model, which is why we are building a community protocol to change this, making communities portable across web3 social networks. To make these communit...
jcdenton.ethBΞB is for Private Professional Groups
A preview of the new redesignWith the new redesign of BΞB today, we now have an emphasis on private professional groups rather than only focusing on professional networking, gated by different soulbound NFTs. We’re betting on private groups because we know people are much more comfortable sharing their personal opinions in private settings. We also know there are a diverse set of web3 people ranging from artists, investors, founders and more, and we want BΞB to serve everyone. The private bet...
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jcdenton.ethIndestructible Communities
NFT communities are fragile in todays world: they can be delisted from OpenSea, removed from Discord and Reddit, and censored by web3 data APIs. Every community today hosted in web2 environments is under the thumb of an employee following an internal guideline. We’ve decided to host a community on BΞB with heavy alignment, CryptoPhunks, which has been previously delisted from OpenSea 3 times (and recently verified). Hosting them is an ideal test of a web3 social platform on the mission of cre...
jcdenton.ethBΞB Communities
Communities today are siloed in rent-extracting platforms such as Discord, Patreon, Facebook Groups, and Reddit. The operators of a web2 community have no ownership rights, as they are tenants to a landlord who’s only incentive is to extract maximum profit from their communities users. Community migration is practically impossible in the web2 model, which is why we are building a community protocol to change this, making communities portable across web3 social networks. To make these communit...
jcdenton.ethBΞB is for Private Professional Groups
A preview of the new redesignWith the new redesign of BΞB today, we now have an emphasis on private professional groups rather than only focusing on professional networking, gated by different soulbound NFTs. We’re betting on private groups because we know people are much more comfortable sharing their personal opinions in private settings. We also know there are a diverse set of web3 people ranging from artists, investors, founders and more, and we want BΞB to serve everyone. The private bet...
Share Dialog
Share Dialog
We’ve been using soulbound access NFTs on beb.xyz for our private groups, and we’ve been thinking on how to decentralize our professional social network in the future. We’ve realized we could potentially leverage soulbound NFTs to do some of our decision making one day. There are great advantages to operate a Soulbound DAO, which we’ll iterate below:
Easier to Fail the Howey Test: Soulbound NFTs make it harder to qualify as an investment under the Howey Test, since you cannot sell the NFT. A Soulbound DAO could potentially have a blocklist to revoke privileges to anyone selling their NFT through a proxy or through trading private keys. Profit sharing would swing a soulbound NFT to be an investment however.
Influence Is Not Transferred: Many DAOs want to operate like a company, with DAO token holders being shareholders. A wealthy individual could perform a hostile takeover of a DAO to perform a governance attack, which has already been attempted in the real world (Justin Sun and Compound). Only new influence can potentially be created in a soulbound DAO, and if all the influence is already assigned, a governance attack is much harder.
Better Alignment of Incentives: “Show me the incentive, and I’ll show you the outcome.” ~ Charlie Munger. Many web3 projects rush to form DAOs to have exit liquidity for founders, investors, and users. If you design a soulbound DAO so you cannot sell membership and there is no profit to be shared, there is better alignment across the membership for your DAOs purpose that is not financially motivated.
Let us know what you think on Twitter, we wanted to open more dialogue around soulbound DAOs!
~ jcdenton.eth Founder, beb.xyz, miy capital
This content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice.
We’ve been using soulbound access NFTs on beb.xyz for our private groups, and we’ve been thinking on how to decentralize our professional social network in the future. We’ve realized we could potentially leverage soulbound NFTs to do some of our decision making one day. There are great advantages to operate a Soulbound DAO, which we’ll iterate below:
Easier to Fail the Howey Test: Soulbound NFTs make it harder to qualify as an investment under the Howey Test, since you cannot sell the NFT. A Soulbound DAO could potentially have a blocklist to revoke privileges to anyone selling their NFT through a proxy or through trading private keys. Profit sharing would swing a soulbound NFT to be an investment however.
Influence Is Not Transferred: Many DAOs want to operate like a company, with DAO token holders being shareholders. A wealthy individual could perform a hostile takeover of a DAO to perform a governance attack, which has already been attempted in the real world (Justin Sun and Compound). Only new influence can potentially be created in a soulbound DAO, and if all the influence is already assigned, a governance attack is much harder.
Better Alignment of Incentives: “Show me the incentive, and I’ll show you the outcome.” ~ Charlie Munger. Many web3 projects rush to form DAOs to have exit liquidity for founders, investors, and users. If you design a soulbound DAO so you cannot sell membership and there is no profit to be shared, there is better alignment across the membership for your DAOs purpose that is not financially motivated.
Let us know what you think on Twitter, we wanted to open more dialogue around soulbound DAOs!
~ jcdenton.eth Founder, beb.xyz, miy capital
This content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice.
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