Key Highlights

• Trading and Real Estate

• Opportunity in Digital Real Estate Investing

• Parcl v1 upgrade to Parcl v2

Overview

Parcl is a decentralized real estate trading platform built on the Solana blockchain.

Parcl offers fractionalized real estate trading through synthetic assets. They are a digital representation of an asset reflected as a token created by a smart contract on the blockchain. Similarly to derivatives, investors do not own an asset but gain exposure to an underlying asset made possible by a financial contract.

The founders are Trevor Bacon, Kellan Greiner, and Jason Lewis with backgrounds in Wall Street and data science. Trevor Bacon developed a curiosity amid the pandemic on why he could not trade portions of cities. This deep curiosity developed into a problem that introduced the creation of parcl.

The project was established in 2021 and has been growing since. The founders chose to build on the Solana because of its transaction speed and being economically cost-effective. Parcl recently launched its new protocol version earlier this 2023 called Parcl v2.

How Parcl Works

Integration

Parcl is composed of various components that work together in order for it to all work. In that sense, traders and liquidity providers collectively influence the liquidity pool. The liquidity pool is where fees, profit, and losses are derived from. As provisions are made, they then create the exchange rate for a created liquidity pool. The greater participation there is in the liquidity pool, the higher the exchange rate. The higher the exchange rate, the higher the profit potential.

However, LP’s must also recognize the risk of impermanent loss can happen if price changes in the liquidity pool and the value of the original deposit declines. LP’s effectively want greater participation in the liquidity pool as it offers them greater yield on deposits.

Understanding the relationship between each component of parcl is important as it directly influences investment outcome, due to investor decisions.

Liquidity

There are two types of investors on Parcl, and they are Traders and Liquidity Providers. Traders are the investors that use parcl to bet on the direction of a price of land. Liquidity providers or LP’s, use parcl to gain exposure on a market. To do this, a liquidity provider will deposit $USDC into the liquidity pool, in exchange to earn yield. Collectively, both traders and LP’s are essential in influencing the liquidity pool as they are both capital providers.

Monetization

Parcl generates fees in 3 ways. These are through skew impact fee, trade fee, and liquidation fee. The skew impact fee is the fee that a trader pays if they create an imbalance in a market. The skew is the market between buyers and sellers. The skew was designed to discourage traders so they do not tamper the skew because it affects the pool. Fee rates increase due to a larger position, which then changes the skew impact. Opposite to that is the lower the trade position, the less its effect on skew impact.

Trading fees and liquidation fees are created by the pool creator when they create a pool. 60% of trading fees are reinvested into the pool and 40% are added to the protocols vault as liquidity tokens as indicated on their updated protocol v2.

It is then important to consider the position size as it will affect the liquidity pool.

Parcl Labs Price Feed

Price feeds that are shown on the marketplace are created by Parcel Labs using the Parcl Labs Price Feed method. This consists of a three-step process looking at the relationship between volatility and the real estate market, incorporating historical and time series analysis, and examining estimates. Below is the formula used to calculate and determine the parcl price feeds.

• psi = moving median price

• wsi = weights of sales

• pti = median price of timely sources

• wti = weight for timely sources

• λ = decay factor

This process allows the creation of the price feeds and is updated daily in real-time.

Trading

Parcl is unlike any trading platform as it enables the ability to buy, sell, hedge or short real estate. When an investor visits the marketplace, they will be able to see the open real estate market. Once here, they are able to buy, sell, or even short a position. Entering a buy position allows investors to speculate in the upward direction of a market. Opposite to that is entering a short position. This is when a trader expects that the price will fall. Shorting the market is a simple process that any trader can follow, though at their own risk. A step-by-step process for shorting a parcel can be seen below.

1. Fund Phantom wallet with $USDC

2. Go to “Borrow” tab on parcl platform

3. Click “Open Position” and choose the amount of $USDC for collateral

4. Determine “Health Ratio”

5. Confirm borrow amount

The Health Ratio is the minimum $USDC collateral amount you need to have for every $1 of parcl token debt you owe. Below are examples of an open short position, and the health ratio.

A range is established to determine between minimum and safe and can be seen below. A trader should aim to be above the minimum level and in the safe region.

The above is an example of a short position on a portion of the San Francisco real estate market at .18 parcels of land for 193.909445 of $USDC.

Investors also have the ability to hedge given that their desired real estate market is available on the marketplace. Hedging allows value protection as it can mitigate losses of property value during downturns through increasing share value in parcl shares.

Markets

Parcl currently has 19 open real estate markets available for trading.

Opportunity in Digital Real Estate

The global real estate market in 2021 was valued at 3.69 trillion. In 2022 it was expected to be valued at 3.81 trillion. Between 2021 to 2022, global home prices increased 6%. Despite that, this has also caused a global phenomenon that has forced others to be sidelined as affordability draws further away. Parcl is looking to solve this problem with decentralized fractional trading.

Parcl is unique because it allows trading fractional shares of properties, rather than having to purchase an entire property. Tokenization of real estate  has now created a new opportunity within alternative asset investing with the introduction of Real World Assets. A major benefit of blockchain implementation is streamlining the home ownership process.

Real world assets such as residential property, bonds, or commodities are now able to be purchased and sold globally. The use of blockchain in real estate creates efficiency through cost cutting, increased liquidity, and creates a borderless and permissionless environment.

Risk and Challenges

Parcl currently faces many risks and challenges. The United States continues to be in limbo in how to approach crypto. Which in turn has left the cryptocurrency industry back to a state of confusion as regulation seems to be unclear by the SEC. However, legal traction looks to be improving as a drafted bill supported by Republican Patrick McHenry was created to provide legal clarity and framework with handling crypto in the United States.

Unfortunately, there is still uncertainty and lack of clarity on how real world assets are to be regulated. Risks in real world assets continue as the most recent incident being with lending protocol Goldfinch and their loss of $7M.

The lack of clarity in legal framework in the United States has made it difficult for parcl to operate in. Which is why parcl does not currently cater to customers based in the United States.

Team

The Parcl team is comprised of former founders, data scientists, software engineers, and former tradfi wall st. professionals. More of their background can be found here.

Trevor Bacon // Founder & CEO

10+ years experience within tradfi equity research.

• Force Hill Capital Management LP: Portfolio Manager

• Millennium: Senior Analyst / Portfolio Manager

• Hutchin Hill Capital: Senior Analyst

• BarclaysBarclays: VP - Equity Research

Kellan Grenier // Co-Founder, COO & Head of Strategy

10+ years experience within tradfi equity research.

• Force Hill Capital Management LP: Analyst

• Nomura: VP

• GfK

• Haber Trilix Advisors, LP

Jason Lewris // Co-Founder & Chief Data Officer

10+ years experience in Data Science.

• Parcl Labs: Co-Founder

• Parcl: Co-Founder + Chief Data Officer

• Microsoft: Senior Data and Applied Scientist

• Deloitte: Data Scientist

• Capital One: Data Scientist

David Josephs // Lead Blockchain Engineer

• Head Blockchain Engineer

Tom Bonanni // Lead Front End Engineer

10+ years experience in Software Engineering.

• Fingerpaint

• Afito.com: Founder

• Radius8 Inc: Front End Engineer

• AirAllow: Software Engineer

Jesus Leal Trujillo // Principal Data Scientist

7+ years experience in Data Science.

• Parcl Labs: Principal Data Scientist

• Deloitte: Data Scientist / Manager

• The Brookings Institution: Research Analyst and Associate Fellow

• Idea Foundry: Consultant

Zhibin Dai // Data Engineer

6+ years experience in Data and Software Engineering.

• Parcl: Lead Data Engineer

• Capital One: Data Engineer

• Clarity Insights: Consultant Data Engineering

• B.Yond: Software Engineer

• PwC: Associate - Tax Data Analytics

Conor Pritchard // Content Manager

5+ years experience as crypto native entrepreneurial journalist.

• RDX Works: Social Media Manager

• Parcl: Marketing Content Manager

• Cumbernauld Colts F.C.: Digital Media Executive

• TheCryptograph: Editorial & Founding Team

Valuation

Parcl has raised a total of  $11.5M to date. The initial raise was on Dec 2, 2021 at $3,972,465 for their Seed round. Their most recent raise was on May 17, 2022, at an unknown Series totaling $7.5M.

While there is no historical average on what founders should provide as equity ownership during fundraising, there is some indication from previous research findings. Maximilian Fleitmann (co-founder) of Base templates recommends between 10% - 20%  as appropriate. Founders Network mentions that founders should only provide 10% - 20% equity ownership and to also not surpass 25%. Lars Albright of Unusual Ventures mentions that founders should offer between 20% - 30% equity ownership to investors.

That said, this range between 10% - 30% distribution will be used as a hypothetical ownership to determine pre-money and post-money valuation.

Using the provided data and assumptions, a 10% allocation would output a pre-money valuation of $103.5M or $104M rounded, with a post-money valuation at $115M. A 15% allocation would output pre-money valuation at $65,166,667 or $65M rounded, and a post-money valuation at $76,666,667 or $77M rounded. And lastly a 20% allocation would output pre-money valuation at $46M, and a post-money valuation at $57,500,000 or $58M rounded.

There are two ways to calculate pre-money valuation which can be seen expressed as formulas below.

Example 1

• pre-money valuation = post money valuation - fundraised amount

Example 2

• pre-money valuation = (fundraised amount / % equity share sold) - fundraised amount

To calculate post-money valuation, we divide the fundraised amount by the percentage of equity ownership provided. And this is how it would look like as a formula below.

• post-money valuation = fundraised amount / % equity share sold

Galaxy Digital previously released their Q2 2023 crypto venture capital report. The report found that the median pre-money valuation for Q2 2023 was valued at $17.93M. Using the hypothetical scenario, this would put Parcl’s valuation as overvalued.

Traction

Parcl has gained a substantial following since inception. They recently upgraded from parcl v1 to parcl v2. In parcl v1, the protocol was able to establish itself as the first platform that enabled the trading of synthetic real estate derivatives. This accomplishment also included a global footing and more than thousands of users. Parcl v2 however, will now focus on upgrading the trading experience for traders.

Since then, parcl has now become a non-custodial automated market maker.

The upgrade now includes features such as a 10x leverage feature that does not require margin, a newly implemented accounting model that verifies trades are settled in collateral from a pool rather than dollar-for-dollar accounting, added geographical locations, and improving market depth to name a few. The upgrade overall increases trader experience and offers many more features.

Competitors

Parcl’s most relatable competitor is Lofty. Lofty is a real estate blockchain investment platform that is built on Algorand. Similar to parcl, Lofty allows investors the opportunity to buy or sell fractions of properties to gain exposure to the real estate market. The difference with parcl is that it is the only current protocol that allows investors to trade fractions of properties. This is what makes the parcl protocol unique.

The growing interest in digital real estate is clear as shown from previous capital raises. Total fundraised amount from competitors including parcl netted $143,465,100 or $143M rounded. The most significant capital raise was from Groma, a real estate investment company having raised $49M.

Parting Thoughts

Parcl provides a new opportunity in digital real estate investing. It distinguishes itself as a stand alone protocol that enables trading of digital fractionalized real estate. However, regulatory clarity may need to be answered in order for the crypto industry to move forward as a whole. The crypto community currently awaits what becomes of the FTX collapse. This should provide some encouragement to the crypto industry despite the harm it caused to the industry.

There is much more to be excited about within crypto and real world assets. This is evidenced by the continued interest of institutional entities such as Blackrock and JPMorgan discussing Bitcoin spot ETFs. Citi earlier in the year mentioned the potential value of real world assets to be between a $4 - 5 trillion industry by 2030.

It is difficult to not be excited about the overall future of the crypto industry given the continued institutional interest. Parcl continues its strides despite the continuation of crypto winter. Parcl has potential as it is currently the first of its kind. But, regulatory clarity must be outlined in order for the industry and protocol to move forward.

References

• Why we chose Solana

• Synthetic Assets

• Parcl v2

• Parcl: Protocol Mechanics

• Parcl: Impermanent Loss

• Parcl Labs Price Index

• Parcl: Liquidity Provider

• Parcl Labs

• Parcl Labs Price Feed White Paper

• Parcl: Health Ratio

• Parcl: Hedge

• Parcl: Marketplace

• GrandViewReseearch: Global Real Estate Market

• 6% Housing growth: 2021 - 2022

• Real World Assets

• Blockchain home ownership process

• Blockchain cost cutting real estate transactions

• Blockchain increasing liquidity

• Blockchain creates borderless environment

• SEC and crypto

• CFTC Bill: Digital Asset Regulation

• Republican Patrick McHenry

• Regulation: Real World Assets

• Goldfinch $7M loss

• Parcl: Team

• BaseTemplates: Equity to Give Away in Seed Round

• Crunchbase: Parcl

• Founders Network: A Founder’s Ultimate Guide to Startup Equity

• Unusual VC: 3 steps for equity success for early-stage startup founders

• Wall Street Prep: Pre-Money vs. Post-Money Valuation

• Galaxy Digital: Crypto & Blockchain Venture Capital - Q2 2023

• Parcl v2: Key Features

• Parcl Competitors

• Lofty

• Groma

• Bitcoin spot ETFS: Blackrock & JPMorgan

• Citi: Tokenization $4 - 5 Trillion industry by 2030

• Parcl v1 to Parcl v2

Key Highlights

• SpaceCatch combines fitness with intergalactic fantasy.

• Airdrop of SpaceCatch token $CATCH.

• GameFI and crypto market continue a slow decline.

• SpaceCatch enables players to lend their NFTs to other players.

Overview

SpaceCatch is a developing free-to-play, play-to-earn, and move-to-earn RPG sci-fi augmented reality mobile game built on the Binance Smart Chain. The game provides similar qualities to that of Pokemon Go. Instead of fighting and capturing Pokemons, players will now be roaming, fighting, and capturing aliens. Players will build their characters, earn NFTs, and complete game quests.

The Plot

The game begins as the earth being auctioned off to a superior race from Dwingeeloo 1 galaxy. The aliens from Dwingeloo 1 galaxy want to incubate earth into a new-carbon-based life. But, the aliens have begun to face resistance from humans as they made the mistake of underestimation. As the war continues, it is up to the human race to save earth from the invading Dwingeeloo 1 galaxy. A more in-depth description of the story of the alien invaders can be found here.

Gameplay

Similar to Pokémon Go, players of SpaceCatch will be able to roam freely in the real world while using the app to play the game. However, instead of capturing and battling wild Pokémon, players will be fighting aliens.

By using augmented reality (AR) technology to overlay digital aliens onto the real world, players will use their phones to scan their surroundings to find and battle the invading aliens.

There will be a variety of different aliens, each with its own unique abilities. Players will need to use strategy, skill, and their created potions to defeat the aliens.

NFTs

SpaceCatch will enable players to obtain in-game NFTs which will be divided into two categories, non-inflationary and inflationary that will consist of a range in rarity type.

Non-inflationary NFTs are expected to grow in value over time as these will only have a fixed number supply.

Inflationary NFTs however will have an unlimited supply and continuously grow and important while playing the game. Players will be rewarded many different NFTs found within NFT reward boxes as they play through the game.

Genesis Box NFT is the most important NFT that a player can receive. This will contain 10,000 rare NFTs boxes, some non-inflationary NFTs, but most importantly, the Genesis Armor Set. This set is considered the rarest item a player can obtain because it allows players to progress faster through the game and create and sell potion NFTs quicker than anyone else. An incentive to own this NFT is also present as a player can lend their armor to another player through the SpaceCatch Lending platform. Genesis box NFT is available to everyone by presale airdrop.

NFT rarity is categorized as displayed below and can also be further analyzed here.

Rarity categories (100 different items in total)

• Common 50% drop rate (45 different items)

• Uncommon 30% drop rate (15 different items)

• Rare 15% drop rate (15 different items)

• Legendary 4% drop rate (10 different items)

• Mythical 1% drop rate (5 different items)

Rarity categories (by color)

• Common — White

• Uncommon — Blue

• Rare — Yellow

• Legendary — Orange

• Mythical — Red

• Special — Green

A Mythical — Red NFT is considered the most valuable category. Below is an example of a first NFT by SpaceCatch called “OG SpaceCape”.

Deflationary game mechanics have yet to be announced by the project though is expected.

Move-to-Earn and Potions

Players will be monitored by their physicality in movement and categorized between calories burned, and amount of steps. Calories enable players to buy items, and player steps are important in developing potions.

There will be various different potions that a player can use and listed below. Each potion will offer different effects to the player to satisfy their requirement.

• Healing HP

• Max HP bar boost

• Crafting XP reward

• Combat XP boost

• Alien item drop rate boost

• Alien spawn boost

• Random item reward

Tokenomics

The SpaceCatch token will serve as a utility token using the BEP-20 standard on the Binance Smart Chain. The native token for SpaceCatch will be $CATCH. The creation of the token will be intended to be a store of value as the project implements deflationary measures.

Vesting Schedule

State of The Market

Below is graph between 2020 to 2023 sourced from CoinMarketCap showing the highs and lows that the crypto market created through the years.

Venture Capital Funding

Project funding continues to decline due crypto winter. The excitement that was once there continues to diminish, though showing signs of stability. RootData, a venture capital fundraising tracking tool shows a 90 day traction of project funding.

Looking at the chart above, August slightly had a better fundraising month accumulating $549.86M with 78 rounds. Inversely, July had a less successful raise as fundraising was only at $507.7M but had more success in rounds made at 86.

Valuation

SpaceCatch currently has a valuation at $18.1M as of April 2023. More their fundraising details can be found here.

Business Model

SpaceCatch is incorporating a multirevenue approach focused on Advertisement, Marketplace Fees, and Game Purchases.

Roadmap

Team

The team is composed of diverse experienced professionals with backgrounds in Software Engineering, 3D Design, Founding team, and Gaming.

Stanislav Lepka

• Founder

Radek Holubik

• Founder

Filip Hasa

• Head of Development CEO of Pixelfield, 10+ years of Digital Design.

Dominik Bura

• Lead Game Designer Chief Designer of Pixelfiled, 10+ years of Product and Brand Design.

Alex Gordeev

• Lead Game Developer Development Team Lead at Pixelfield, 12+ years of Software Development.

Michal Vávra

• Chief AR Developer CTO of Pixelfield, 10+ years in Project Management

Jan Brychta

• 3D Designer 10+ years of Graphic Design (Tipsport)

Sarah Mae Estimada

• 2D Designer 6+ years of Graphic Design (RALP Games Studio, TERP)

Nigel Thornewill von Essen

• Unity Developer Machine Learning Specialist (DHL IT Services)

• Unity Developer at Pixelfield

Miljan Pajić

• Project Manager Project Manager at Pixelfield

Martin Sverka

• Project Manager Marketing Strategist at Pixelfield

• Creative Director at CZECH NEWS CENTER (Esports)

Lubomir Hedvigy

• NFT Adivsor and Consultant, Copywriter

Petra Hejda

• Independent Blockchain Consultant 5 years of Software Engineering (Socialbakers, Monday Factory s.r.o.)

• Blockchain Development of 4 years (MetaLend, STRV, Cleverlance, Tatum)

Eliška Libovická

• Game Design 5+ years in Digital Design (Draw Planet Art School, Pixelfield)

Artur Useinov

• Backend Developer Software Developer at Pixelfield

Robert Gosperskij

• Quality Assurance Tester

Adam Kotrla

• Back Office

Patrik Sobek

• Co-Founder/Creative Director at Spaceti Director at Molki Vision

• Creative Video Director 8+ years of Creative Design

Jeffrey A Chekuse

• Creative Sound Director EartTones Global Music APP Blockchain

• SEO specialist at JAC Media

• Tech Founder of CoinBulletin Founder of Rada Earth DAO

Mitja Bandel

• 3D Designer 10+ years in 3D Design (Freelance)

Franziska Busch

• Product Designer Junior Product Designer at Pixelfield

Community Metrics

Project Updates

• Airdrop of SpaceCatch token $CATCH - (date unknown)

Closing Thoughts

SpaceCatch looks to be gaining popularity and interest based on its social media platforms. The project continues to build despite current market conditions both in GameFi and crypto.

However, the project valuation seems quite high as the average valuation in the last 90 days is at $8.37M according to RootData. The project has also yet to release a gameplay sample to showcase to its fanbase and the world. SpaceCatch team is comprised of professionals with minimal backgrounds in gaming but compliments themselves with experiences in software development and product design.

SpaceCatch is showing a great deal of excitement that can show potential but has yet to be seen. Until the project releases its gameplay, SpaceCatch has developed nothing more than hype.

Where to begin… I suppose I’ll just ramble on as to what to make of 2022. Oh what a time to be alive during the days of easy monetary policy and all mighty powell. Money was brrr, everyone was happy, memes galore, and most importantly - up only.

But of course, I’m really referring to 2020. But since then, we are now on our way to normalcy. As I sat in in awe of aLmOsT getting recked - I am officially now considering myself OG.

Lessons learned this cycle

“Past performance are not indicative of future returns” - unknown

TrAdiNg

I’ve heard this quote before passed around the investment community, regardless if it were crypto or equities. Personally, I think it falls under a few things, Technical Analysis, luck in timing, and macroeconomic environment.

Technical Analysis - TA

Technical analysis is an often criticized approach to trading and investing.

However, I found utilizing the order book and options chain to be extremely useful to supplement with TA. Some helpful sources I used came from basedmoney.io and okitoki.eth

Analyzing the order book and options chain helped me in some ways to determine which direction the market was going. Gauging the order book for instance gives you a good indication of how buyers and sellers are reacting regards to price. The options chain on the other hand helped me gauge where a price was predicted to go based on the strike price and expiration date.

As for my wizardry, things that became helpful were utilizing the idea of support and resistance. Here we begin forming a range as sellers begin to disappear and price action is determined by the market participants. This begins to become a whipsaw-like moment as no one really knows where the price will go.

From experience, this is where patience becomes crucial. However, I do say this with a grain of salt as no one really knows where price will go, regardless of how much one pays attention to order flow or events. Because if you sold at this range, you would have missed the following rally as seen below.

Using Ethereum as an example, if you entered an $ETH trade on May 11, 2020, and sold on November 30, 2020, you would have profited $2,1d27.65 with a 255% ROI, not including fees 🥹.

But of course, how would anyone really know where the price will go? These are merely my assumptions based on historical prices that have already happened. Cue in luck and the macroeconomic environment.

Luck and Macro

Personally did not see this coming, and would argue that no one did. Regardless of professionals at that moment in time saying that we were due for a pandemic. Nonetheless, everyone got rekt. How luck and macro play into this, is that if you blindly just threw money at the market while unknowingly aware the FED, you would’ve been a millionaire, or rich, by the end of 2020. It wasn’t until the summer of 2020, that I saw the power of Jerome Powell and the FED. We saw a historic move by FED by injecting massive amounts of money to assist the economy and cutting rates to 0.

A realization then came, in that it’s not what’s happening that’s important, but really what the powerhouse of the Federal Reserve does. Tying it all back to now and lessons learned from the roller coaster.

• TA works to an extent

• Have profit-taking targets

• Follow the FED

• DYOR = Do your Own Research

• Question everything

I will say. I didn’t totally get rekt. But did hurt. . .

2022

The outcome of 2020 - 2021 was iNfLaTiOn. Due to the infinite supply of money, nothing was the same.

Inflation is still high, though declining.

Below is the change in CPI between 2020 - 2022 courtesy of bls.gov

With the recent move by the FED in early 2021, the music started to slow down. Crypto twitter seems to have faded and begun prepping for crypto winter. Some notable individuals to mention for helping the re-introduction of crypto and Bitcoin are Michael Saylor (bitcoin is not crypto), Anthony Pompliano, and Crypto Twitter.

Focus

Since then, I’ve been collaborating with Global Coin Research (GCR), LimeDAO, and Ganas Ventures. I have found the emergence of DAOs, which are decentralized autonomous organizations, to be interesting and insightful, and continuously learning about the world of venture capital. Primary interests I have liked are NFTs (tokengating), Soulbound tokens, Investment DAO’s, Tokenomics, and On-Chain analysis. I think Web3 will eventually become adopted, and really just a matter of time.

Here’s me hanging out at a DAO conference.

I know right. Insane. Who would’ve thought that a bunch of professionals would implement a video game-like environment and discuss business opportunities?

Until then frens. Stay humble. Stay hungry. DYOR. Stack SATS. WAGMI. 🫡

Web3 has become a popularized idea as of late. Above is a market map that was provided by analyst Sofia Blikstad at Arcane Research. There are currently 4 notable platforms for talent opportunities within web3. They are Station, Braintrust, Pallet, and Underdog in no particular order.

Talent

Station

Station is a decentralized infrastructure that aims to connect the tracks of web2 to web3 through proposals and grants. The company emphasizes that proposals are essential for the continued transition of web2 to web3. Grants which are created by DAOs, enable station members to contribute to their selected DAO. Both a proposal and grant can be funded to their choosing. Station is a bridge that enables the synergistic opportunity between web2 and web3.

Key Points

• Proposals can be seen by all DAOs affiliated with Station

• Grants enable participants to contribute to DAOs

• DAOs can present proposals and project

Braintrust

Braintrust is the first decentralized user owned and governed talent network. The project operates on the Ethereum blockchain and uses the ERC-20 token to distribute its $BTRST token. Braintrust is similar to web2 platforms such as Toptal, Upwork, or Fiverr. Users will still create their profiles and access job opportunities, similar to current talent networks. The uniqueness of braintrust is the opportunity to earn token rewards and returned value. There are three ways to earn $BTRST token, and that is through staking, referring Talent (user) or Client (company), and buying on market. Value is created and preserved by allowing the talent member to keep their acquired earnings because of braintrusts 0% platform fee, and token rewards through referrals.

Key Points

• Currently focuses on technology industry

• Utility token incentivizes network growth and participation

• %0 platform fee allows talent users to retain all earnings

Pallet

Pallet is a platform that emphasizes hiring talent through community. The core components of the platform are Job Boards and Talent Collectives. Job boards allow companies to provide opportunities to pallet curators. Curators are pallet partners that provide their network as their service. Some notable contributors to pallet are Sahil Bloom and Packy McCormick. Curators then collaborate with companies to promote open opportunities on their network. This process incentivizes both parties, in that the curator is compensated for presenting provided roles from companies that need them filled. Talent collectives are a compilation of talent profiles found in a curators community. Here, a curator invites found talent into their network. Then, selected talent is compiled into a collective group in which businesses can ask curators for introductions.

Key Points

• Value is created through community

• Beneficial for content creators with large following

• Increases job post visibility

Underdog Protocol

Underdog Protocol is a talent community that allows participants the opportunity to invest in an individual’s potential career. Consider underdog as a digital representation of a person that has become internalized into the Solana blockchain. With that, the project offers a different approach to personal branding and networking. The difference is that users are able to create their own social token built on the blockchain and distribute or reward their network. The project consists of two parts, Underdogs and Supporter. Underdogs are experienced individuals that have developed their web2 careers. Supporters are members that have been invited by underdog creators and offered career tokens. Tokens are what give the supporter the chance to chance to invest in underdog creators if they see the potential. Doing so lets underdog creators build and establish their digital community.

Key Points

• Digital business card

• Investing in others growth and being rewarded

• Transparency of a persons career growth

Final thoughts

The adoption of web3 through talent networks makes for an interactive, different, and interesting process. However, transitioning from web2 to web3 will be difficult. Despite the challenges of scale, adoption, and implementation, platforms such as Station, Braintrust, Pallet, and Underdog Protocol help lessen that. Ultimately, the goal is to transition from web2 no ownership data, and to web3 user-owned data. After all, the transitional phases of the web did not happen instantly. Through time, innovation happens, ideas are introduced, and change is welcomed.