One of the web 3.0 initiatives that is currently active and expanding is Ocean Protocol. The network’s roadmap still lists a number of launch initiatives for late 2021 and Q1 2022, including the production of stablecoins backed by Ocean’s token, data farming, and NFT-based data. The Foundation is still working on a number of partnerships to promote the adoption of the protocol in many industries and nations.
All of this demonstrates that OCEAN prices could rise, especially given that it is now the 134th-ranked cryptocurrency worldwide. Therefore, OCEAN is a desirable cryptocurrency to hold for a medium to long period of time. You can also benefit from the Protocol’s staking features.
The danger of investing in a project that is still in development is substantial, as it is with any cryptocurrency initiative. Although the data sector market is tremendously lucrative, industry participants might not always be eager to adopt new technology. The level of complexity for blockchain technology, like the one Ocean provides, is fairly high. Therefore, before investing, it is crucial to conduct thorough study and analysis.
2. Ocean data market
A central location for listing, purchasing, and selling different datasets is Ocean’s marketplace. Ocean Protocol as a source.
A data marketplace called Ocean Market serves as a decentralised exchange (DEX) for data. By registering or listing data and staking, users and researchers can exploit this market to their advantage. Data producers may register their own data or publicly available data that has undergone additional analysis.
Example: You work as a freelance researcher who studies Indonesia’s use of internet marketplaces. Additionally, you conduct analysis, comparing it to information on user demographics, internet user growth, and economic growth. By registering your data on the marketplace and filling out details like the price and the length of access for purchasers, you can start serving as a data provider.
Data on all brands that conduct e-commerce business in Italy, coupled with product categories and metadata, is one example of the type of data sold on Ocean’s Market. Market analysts who work with marketers or business owners in the sector may find this data interesting.
A tokenization procedure must be completed before any data can be sold. The information will then be registered in an initial data offering (IDO). The dataset then takes on the form of an ERC-20 datatoken. Data tokens can be sold in one of two ways: either the seller sets the price themselves, or they can use Ocean’s automated market makers (AMM) system to let the algorithm decide.
Nearly bulk of the sales proceeds go to the data provider, while a tiny sum (usually 0.3%) is split evenly among Ocean, the liquidity provider through staking, and the community.
Staking on the Ocean Protocol operates differently from other blockchain networks. In order to increase network security, staking is typically done directly within the blockchain network as an indication of participation.
Staking in the Protocol is focused on each dataset individually rather than the network. Similar to a decentralised exchange’s liquidity provider (LP), each dataset has its own staking pool (DEX). Therefore, compared to other data, reliable and well-known data will typically have a greater number of stake pools.
You stake in the network with OCEAN tokens, and you receive interest from the dataset’s transaction fees. Liquidity providers typically provide 0.1% of the amount of transactions. Nevertheless, the dataset owner may still change this number.
Every stakeholder essentially serves as a dataset curator. This system is used to promote the development of an ecosystem that gives dataset validity and correctness first priority. This, however, has two disadvantages. The most reliable data should should be the easiest to read and retrieve, according to this method. Conversely, indifferent users can just invest their money in datasets with the largest funding, regardless of their quality, in order to maximise interest.
A crypto on-ramp for data services called Ocean Protocol unleashes the value of data. It was founded in 2017 and links data suppliers and consumers using blockchain technology. Through the Ocean Market app, data owners may monetise their data while maintaining privacy and control. On the other side, consumers now have access to private data that they were previously unable to purchase.
For data scientists and AI practitioners, who gain from more data access, provenance that is cryptographically secured, and income potential, this is very helpful. Private data can be used in AI models and to support research without being explicitly shared thanks to compute-to-data. Users of the Ocean Protocol can potentially get money by curating data by staking on it. Ocean Libraries can be used by developers to build and
When purchasing and selling data on the Ocean Market, the default form of trade is the OCEAN token, which is the protocol’s native utility token. Along with governance and staking, it is employed for.
Ocean Protocol definition
An open-source protocol called Ocean promises to make it possible for people and companies to trade and profit from their data. The Protocol offers a dataset tokenization service that turns data into blockchain-safe tokens called “datatokens” for storage. The Ethereum network serves as the foundation for the protocol. Organizations, companies, and individuals can sell or exchange datasets on Ocean’s data marketplace thanks to the data tokenization process. Utilizing blockchain technology contributes to the security of every single piece of data.
Ocean Protocol has a market valuation of $1.4 billion, with 1 OCEAN costing $0.9, according to Coinmarketcap. With respect to global cryptocurrency rankings, Ocean Protocol is now ranked 134. Approximately 613 million OCEAN tokens are available out of a total 1.41 billion.
History of Ocean
Bruce Pon and Trent McConaghy have been working on the Ocean Protocol since 2017. Both of them are authorities in the fields of big data and artificial intelligence (AI). They are the founders of BigchainDB, a business that specialises in building blockchain databases. Since the Ocean Protocol, all of BigchainDB’s efforts have been focused on expanding the Ocean blockchain network and protocol.
Two organisations also provide support for the Project. To promote Ocean’s decentralisation and establish financing pools for various initiatives in Ocean’s community, two organisations were established: the Singapore-based Ocean Protocol Foundation and OceanDAO, a decentralised autonomous organisation (DAO). Through the ICO, the Ocean Protocol Foundation was able to generate $26.8 million. The group is currently concentrating on encouraging cooperation.
Also read: What is Ethereum and the smart contract system?
The Ocean protocol’s white paper outlines multiple stages for the network and how each step will develop using various blockchain platforms. The network will employ a proof-of-authority (PoA) scheme in versions 1.0 and 2.0. Version 3.0, however, will make several changes to the Ethereum mainnet in order to minimise transaction costs.
The network plans to deploy a variety of Layer 2 enhancements after getting beyond this stage, including sister chain and ZK Rollup. Voting on the networks and improvements to the protocol is permitted by OceanDAO’s user base. The Protocol’s ultimate goal is to become the go-to decentralised exchange for datasets with interoperability in mind so that it can be used with the majority of current blockchains.
How Does Ocean Protocol Work?
Through datatokens, data assets are coupled to blockchain and decentralised financial instruments. These ERC-20 tokens stand for the right to access information. By deploying and minting datatokens, providers make data services available, and consumers pay datatokens to access those services. To access a dataset, a consumer must provide 1.0 datatokens to a data provider. In order to grant access to someone else, they may also send them 1.0 datatokens.
When datatokens are listed on the Ocean Market, the publisher has two options: either use fixed pricing, supported by an automated market maker, or use automatic price discovery. The datatoken and OCEAN are both used as liquidity in the AMM pools, which are run by Balancer. The cost is determined by the ratio of the two tokens’ numbers. The price of datatokens increases as their share of the pool drops and vice versa. As a result, the price of datatokens is automatically changed.
By staking their OCEAN tokens in a liquidity pool, OCEAN holders can curate data. They can charge for their services, but there is also a chance of temporary loss and rug pulling.
Datatokens serve as a link between DeFi and the data sector. Since they are ERC-20 tokens, they can be transferred to a decentralised autonomous organisation, traded on cryptocurrency exchanges, and utilised for other DeFi functions.
Who Are the Founders of Ocean Protocol? (History of Ocean Protocol)
Trent McConaghy and Bruce Pon launched the company Ocean Protocol in 2017. As the creator of the blockchain database BigchainDB, Bruce Pon has been working on fusing data and AI since 2013. He graduated from MITSloan with a B.Sc. in Engineering and an Advanced Executive Certificate. Prior to Ocean Protocol, Pon co-founded Avantalion, a consultancy company that assisted companies like Mitsubishi and Volkswagen in building 20 banks around the world.
McConaghy holds a PhD in creative AI and is the author of well-regarded works in the field. Before focusing on Ocean Protocol, he launched the start-ups ADA and Solido, which were respectively interested in AI and circuit design.
Razvan Olteanu, the COO of BigchainDB, and Cristina Pon, the marketing director, are additional Ocean team members. 35 advisors with experience in business, big data, AI, and blockchain are another asset to Ocean Protocol. The Ocean Protocol Foundation, a non-profit organisation based in Singapore, is in charge of overseeing the protocol. BigchainDB was hired to create the protocol’s core network and coordinate marketing and community initiatives.
What Makes Ocean Protocol Unique?
Data is converted into assets using Ocean Protocol’s distinctive datatokens. This offers a wide range of advantages that were previously missing from the data industry. Data is democratised by the protocol since anybody may buy it on the open market, including data that would otherwise be unavailable or difficult to acquire. Data owners can monetise their data through tokenization.
The project emphasises developing AI and disseminating its advantages. By using the capabilities and resources of the Ocean Python library, data scientists can interact directly with data. The adoption of blockchain technology has also made crypto-secured provenance available to AI practitioners.
Staking OCEAN is different than staking many other coins. By putting OCEAN into AMM pools, traders can function as liquidity providers and as data curators.
Additionally, since datatokens are ERC-20 tokens, they may be used to transform crypto exchanges into data marketplaces and ERC-20 wallets into data wallets.
Development of Web 3.0: One of the groups building the framework for a more decentralised internet network is Ocean Protocol. A decentralised data exchange (DEX) called OCEAN marketplace allows data suppliers to sell and grant access to their datasets. Data tokenization: Researchers working alone or in groups can tokenize their data. Datasets are converted into Ethereum ERC-20 network standards by tokenization, providing customers with access to their data.
Pioneers in the data sector: The protocol is credited with establishing and bringing the blockchain networks’ data economy to existence.
Collaboration with institutions and nations: Through partnerships with organisations like Gaia-X and BMW, Ocean’s different cooperation agreements promote the adoption of its network.
What Gives Ocean Protocol Value?
Ocean Protocol is a helpful tool for facilitating access to data because it is a valuable commodity in the modern era. Ocean Protocol is a crucial tool for AI practitioners due to the previously unavailable datasets and data science resources it offers.
The usefulness of the OCEAN token is what gives it value. Demand for the token is driven by the requirement for it to purchase data from the Ocean Market, control the protocol through the OceanDAO, and curate data through staking. Additionally, because of its limited maximum quantity, OCEAN is not vulnerable to inflationary depreciation. Since OCEAN is built to grow as usage volume rises, its value will probably increase as the protocol is adopted.
How Many Ocean Protocol (OCEAN) Coins Are in Circulation?
The total OCEAN supply is limited to 1.41 billion tokens, of which 434,026,837 are now in circulation. Out of the total supply, 51% will go toward OceanDAO-selected community projects. In a manner similar to how Bitcoin is distributed, these tokens will be given out over many years.
Due to the burning of 5% of network revenue, OCEAN is essentially deflationary. This implies that as the Ocean Protocol is adopted more widely, the ocean’s supply will decline more quickly.
Other Technical Data
The project’s founders were given a fifth of the OCEAN supply, the protocol foundation 5%, and SAFTE buyers 15%. Ocean network nodes will receive the remaining funds.
How To Use Ocean Protocol
Downloading the Ocean Market app will enable you to purchase and sell data. Users of Ocean can click “Publish,” complete the metadata, enter the URL for the dataset’s location, and enter a price to make a dataset publicly available. Users can connect their wallets to the Ocean Market and load OCEAN into them to purchase datasets.
By contributing liquidity to an OCEAN-datatoken AMM pool, OCEAN token holders can stake their tokens. Data scientists are in a good position to achieve this since they are equipped with the necessary knowledge to determine which data is genuinely useful.
How To Choose an Ocean Protocol Wallet
Any wallet that supports ERC-20 can be used to hold OCEAN, and the kind of wallet you pick will probably depend on what you plan to use it for and how much you need to keep.
The most secure way to store bitcoins with offline storage and backup is with hardware wallets, also known as cold wallets, like Ledger or Trezor. They can be more expensive and may need for greater technical knowledge. Because of this, they might be more appropriate for storing bigger amounts of OCEAN for more seasoned users.
Software wallets are an additional choice that are both free and simple to use. They might be custodial or non-custodial and can be downloaded as desktop or smartphone apps. With custodial wallets, the service provider is in charge of managing and backing up the private keys on your behalf. Non-custodial wallets keep the private keys on your device using safe components. Although convenient, they are thought to be less secure than hardware wallets and may therefore be better suited to individuals with less experience or smaller quantities of OCEAN.
Online wallets, often known as web wallets, are also cost-free, simple to use, and available from a variety of devices via a web browser. However, they are regarded as “hot wallets” and might not be as secure as hardware or software alternatives. You should pick a reliable company with a solid reputation for security and custody because you are ultimately putting your trust in the platform to manage your OCEAN. They are therefore best suited for consumers who trade more frequently or for those who maintain lesser quantities of bitcoins.
You may easily store and exchange your OCEAN tokens thanks to Kriptomat’s secure storage service. You get user-friendly functionality and enterprise-grade security when you store your OCEAN with Kriptomat.
When you select our secure platform as your storage option, buying and selling OCEAN, as well as exchanging it for any other cryptocurrency, can be done in a matter of seconds.
Users of Ocean can stake their OCEAN tokens on datasets by putting them in liquidity pools along with datatokens. The best datasets are given the most OCEAN, which serves as a curation method. Transaction fees, which are a proportion of sales volume established by the liquidity pool creator, can be earned by participants.
Staking involves dangers as well. It is possible for the ratio of OCEAN to datatokens to vary, which could lead to temporary loss. Rug pulls can also happen if the publisher of the datatoken sells their OCEAN ownership.
Go Ahead, Take a Dip
By allowing anybody to monetise data through tokenization and creating an open market where datasets can be purchased and sold, Ocean Protocol reveals the value of data. The blockchain-based protocol is a helpful tool for data scientists and disseminating the advantages of artificial intelligence because it uses a library of resources.
The protocol’s native token, OCEAN, is employed for governance, staking, and the purchase and sale of datasets. It contributes positively to the ecosystem of the ocean due to its utility and deflationary supply.
Access to data is increasingly crucial as information becomes a commodity with increasing value in contemporary culture. Ocean Protocol’s special advantages may lead to increased adoption in the future, which would increase the value of OCEAN.
Ocean Protocol FAQ
How Are Ocean Market Transaction Fees Spent?
The stakeholder community, the market, and the Ocean community all receive a portion of the fees in a data market powered by Ocean. A portion of the costs are paid to traders that deposit OCEAN into liquidity pools. A portion of the profits is also given to the market, which in the case of Ocean Market, is the local Ocean neighbourhood. The remainder is sent to the OceanDAO, which burns some of it and utilises it to improve the ecology.
What Developments Does Ocean Protocol Have Planned?
The project intends to install new chains and support more data services, such as Chainlink and The Graph, as data assets. Before the end of 2021, Ocean Protocol also plans to introduce the Ocean Data Farming initiative, which will encourage the provision of pertinent and superior data assets.
How To Buy Ocean Protocol
It’s simple to purchase OCEAN by going to Kriptomat’s buying Ocean Protocol website and selecting your desired payment method.
How To Sell Ocean Protocol
You may quickly sell OCEAN if you already own it and have it stored in a Kriptomat exchange wallet by navigating the site and selecting your preferred payment method.
Ocean Protocol Price
Numerous conventional variables, like project news and developments, market sentiment, the volume of cryptocurrencies traded on exchanges, and the state of the overall economy, have an impact on the price of Ocean Protocol.
The amount that is burned and the demand for the token are both impacted by the Ocean Protocol’s usage level.
8,007,808 euros were traded on OCEAN in a 24-hour period. With a market cap of 75,188,027 €, OCEAN is currently ranked #325 among all cryptocurrencies by total market cap. There are currently 434,026,837 OCEAN in circulation.