CHAIR white paper v2.3 3.1 Platform introduction
3.2 Platform principles
4.3 Auction of utility token
4.4 Utility token collateral loans
4.5 Transaction dividend
6.5 BNCH mining model
6.6 BNCH business model
Contents
In 2012, a person named Yoni Assia published a blog post titled
bitcoin 2.X (aka Colored Bitcoin) initial specs1. In this blog post
he discussed
colored coins. Colored coins were transferred in the Genesis
transaction
therefore they are unique and identifiable from regular bitcoin
transactions.
Later, another author, Meni Rosenfeld, wrote an article titled
Overview of
Colored Coins2 to further explore colored coins value. The first
blockchain
-based game was created in 2015, Spells of Genesis3. Its developers
released
in-game assets on the blockchain through Counterparty4. The
game
development was funded by the issuance of the Bitcrystals token
(BCY)5.
This token was also the currency in the game.
In 2017, Peperium6 was born. Peperium styles itself as a
decentralized
meme marketplace and trading card game (TCG) where anyone can
create
memes and store them permanently on IPFS and Ethereum.
Peperium's
platform token was called RARE. It was used to create memes and pay
for
listing fees. Then Cryptopunk was created by two creative
technologists
who realized that they could create a unique character native to
the
Ethereum blockchain, this is the original idea of NFT7. With that
idea,
they created CryptoKitties, a blockchain-based simulation game
that
allows players to adopt, feed, and even trade their virtual cats8.
Crypto-
Kitties became a hit in October 2017. It also brought NFT game into
the
mainstream.
NFT stands for Non-Fungible Token, it is a non-homogeneous
token,
which means that NFT is indivisible, irreplaceable, and unique9.
NFT's
features made it the ideal candidate as an anchor of value for
goods and
commodities in the real world. NFT's features also allow it to
represent
artworks since each artwork has a unique intrinsic value.
1.Yoni Assia: Bitcoin 2.X (aka Colored Bitcoin) - initial specs.
https://yoniassia.com/coloredbitcoin/ 2.Meni Rosenfeld: Overview of
Colored Coins.
https://allquantor.at/blockchainbib/pdf/rosenfeld2012overview.pdf
3.https://spellsofgenesis.com/ 4.https://counterparty.io/platform/
5.https://crystalsuite.com/bitcrystals/ 6A Beginners Guide to
Non-Fungible Tokens (NFTs).
https://smartvalor.com/en/news/a-beginners-guide-to-non-
fungible-tokens-nfts 7.CryptoPunks - Larva Labs.
https://www.larvalabs.com/cryptopunks 8.CryptoKitties | Collect and
breed digital cats!. https://www.cryptokitties.co/ 9. Non-Fungible
Token Definition: Understanding NFTs.
https://www.investopedia.com/non-fungible-tokens-nft-5115211
Overview
However, every NFT token has a different value, because NFT is
non-
homogeneous and not interchangeable. This makes the free trading
of
NFTs relatively difficult. Without trading, there is no
liquidity10. This
will ultimately lead to serious constraints on the development of
the in
dustry. NFT has consumer, financial, and speculative attributes.
From
the perspective of industry infrastructure, NFT needs a new type of
fast
trading mechanism, price discovery mechanism, derivatives
trading
mechanism and collateral loan mechanism. Among them, the fast
trading
mechanism and price discovery mechanism (including valuation and
pricing)
are particularly important,these two mechanisms can facilitate the
fin-
ancialization of NFT assets. The fast trading mechanism allows
NFTs
to be traded promptly, while the price discovery mechanism can
provide
a fair price acceptable to all parties11. Together these mechanisms
will
greatly enhance the tradability and liquidity of NFT.
CHAIR is the world's first decentralized NFT trading platform
for
rights and benefits. CHAIR tokenizes rights and benefits to mint
utility
NFTs and establishes a brand new trading system with the
decentralized
technology concept. Any individual, enterprise, and institute can
mint, trade
or auction NFT with one simple click. Buyers will be able to
directly
access the rights and benefits represented by the NFT and
participate
in trade mining. With the smart contracts as rule enforcement,
users
can easily identify the ownership of NFT based on blockchain
information.
Therefore, the entry barrier is greatly reduced for average users
to purchase
NFT with CHAIR's platform token and to lock in the future rights
and
benefits of the NFTs. Users can also participate in trading,
mining, and
platform dividend sharing in the future. NFT holders can transfer
their
NFT or engage in limit order sales and auctions.
10. NFTs, explained. The Verge.
https://www.theverge.com/22310188/nft-explainer-what-is-blockchain-crypto-art-faq
11. What is NFT? Non-fungible tokens explained - CNN.
https://edition.cnn.com/2021/03/17/business/what-is-nft-meaning-feseries/index.
html
CHAIR's revolutionary auction mining and trade mining model
produces
a positive economic cycle. Unlike the traditional inflationary
mining
transactions, all participants in the CHAIR trade mining will
receive a
dividend from the profits. Combined with the newest DeFi
products,
CHAIR Proof of Stake and Proof of Work mining, and trading
dividends,
CHAIR allows users to actively and securely participate in
profitable
mining activities. At the same time, as a decentralized platform,
CHAIR
adopts the decentralized autonomous organization (DAO) mechanism
to
make decisions on major platform events. The DAO mechanism can
ensure
that all users have the equal right to participate in fair platform
governance
through the voting system. Users will be able to safeguard their
own rights
and benefits from jeopardy.
2. NFT Market Background
2.1 Market status quo
At present, the majority of NFTs are relying on the Ethereum
network for
issuance, trading, and circulation12. However, the congestion and
expensive
gas fees of the Ethereum network have restricted NFT's further
deve-
lopment. Currently, the application scenario of NFT is still
relatively limited.
It is mostly concentrated in niche markets such as games, cryptoart
works,
and card collectibles13. There has been no largescale application
for the
general population. NFT application should enter the mass market
and
allow the average users to participate.This will boost the
liquidity of the
NFT market.
2.2 The debut of NFT
-2020.8.12 Paris Hilton, the heir to Hilton Hotels, sold a digital
painting
of her pet cat14.
-2021.2.28 Grimes, the wife of Tesla founder Elon Musk, sold $5.8
million
worth of digital content through Nifty Gateway within 20
minutes15.
- 2021.3.21 Jack Dorsey, CEO of Twitter, sold his first Twitter
feed as an
NFT at an auction for over $2.9 million16.
- The NFT application has now also made its way to the NBA,where
it
is used to purchase famous highlights from iconic basketball games,
such
as Lebron James' slam dunk17.
12.Non-fungible tokens (NFT) | ethereum.org.
https://ethereum.org/en/nft/ 13.TIME. NFTs Are Shaking Up the Art
World—But They Could Change So Much More.
https://time.com/5947720/nft-art/ 14.Paris Hilton sells
Ethereum-based artwork for $17,000 - Decrypt.
https://decrypt.co/38969/paris-hilton-sells-ethereumbased-artwork-for
-17000 15.Grimes Made $5.8 Million in 20 Minutes Selling NFT Art.
https://www.businessinsider.com/grimes-nft-art-warnymphsells-for-millions-
20-minutes-2021-3 16.Jack Dorseys first ever tweet sells for $2.9m
- BBC News. https://www.bbc.com/news/business-56492358 17.WSJ: The
Whales of NBA Top Shot Made a Fortune Buying LeBron Highlights.
https://www.wsj.com/articles/nba-top-shot-nft-crypto-
digital-collectibles-11615266042
3 platform introduction 3.1 Platform overview
CHAIR is the world's first decentralized NFT trading platform
for
rights and benefits. On the CHAIR platform, users could tokenize
any
right or benefit into NFT assets and sell or auction the NFT tokens
on
the CHAIR public marketplace. At present, the NFT asset category
is
highly homogeneous with nearly 99% of them represented by
artworks.
In the near future, more NFTs should arise from financial assets,
digital
identities or data related rights and benefits, etc. BNCH is the
token for
the construction and operation of the CHAIR platform.
1)Behavioral rights NFT: Warren Buffett could mint an NFT
token
for his annual 'Power Lunch'19. The NFT can then be traded or
auctioned
on CHAIR. The holder of this NFT will have the right to lunch
with
Warren Buffett.
2)Token rights NFT: Jack participated in the Telegram initial
coin-
offering. Jack can tokenize his locked position to sell or auction
it. CHAIR
allows users to release their locked profits in advance and
increase the
liquidity of their fixed assets.
3)Investment interest NFT: The investment company discovers
and
invests in high-quality projects20. The investment company
tokenizes
the private placement quota for the projects. Buyers of the
investment
interest NFT will obtain the private placement quota for the
upcoming
projects. Holders of the investment company's NFT will in effect
become
a limited partner of the investment company.
19.Yahoo Finance. $69 million reasons why you should care about
NFTs. https://finance.yahoo.com/news/69-million-reasons-why
-you-should-care-about-nf-ts-121858223.html 20. Blockchain
Technology Offers Businesses a New Way to Connect with Consumers.
https://www.prnewswire.com/news-releases/
blockchain-technology-offers-businesses-a-new-way-to-connect-with-consumers-301260287.html
3.2 platform principles
Rights and benefits are the most valuable assets in the future.
By
tokenizing rights and benefits into NFT and cash out the future
profits with
a decentralized method, the CHAIR platform provides one-stop
NFT
minting, trading, and auction services to improve asset liquidity
and
economic efficiency. Key Opinion Leaders (KOLs)21,celebrities,
and
outstanding entrepreneurs can tokenize their rights and
benefits, which
might represent assets such as promotional services (e.g. 10 tweets
per
month), celebrity merch (e.g., signed books and posters),
intellectual
property (e.g., albums). CHAIR platform utilizes the
decentralized
smart contract technology and DAO governance concept22 while
combining
the financing tools of NFT and DeFi23 to provide trade mining24,
auction
mining, and transaction tax to improve liquidity for rights and
benefits
assets and improve the transparency for mining incomes so that all
users can
enjoy a low entry barrier as well as secure participation.Users can
enjoy
multiple benefits by holding NFT and participate in the circulation
of
NFT.
25. What Is Liquidity Mining? | Shrimpy
Academy.https://academy.shrimpy.io/post/what-is-liquidity-mining
26.How Liquidity Provider Tokens Work |
Gemini.https://www.gemini.com/cryptopedia/liquidity-provider-amm-tokens
27. Auction Mechanisms in Cloud/Fog Computing Resource Allocation
for Public Blockchain Networks.https://arxiv.org/pdf/
1804.09961.pdf
3.3 Architecture design
CHAIR platform supports the following features.
Mint NFT with future rights and benefits and rank them by
time,
popularity, or numbers of votes.
Sell, auction, or transfer decentralized NFTs with limit price
order or market
price order.
With DeFi providing more financing options, NFT holders will be
able
to lock in stable incomes in advance
Provide NFT collateral loan, single-token mining25, dual-token
liquidity
mining, and trade mining26.
Users participate in trading and earn trade mining rewards27.
Users participate in auction and receive auction dividend
rewards.
NFT creators can define the royalty percentage and the taxing
period.
NFT creators can share a portion of the NFT’s sale amounts from
all
future transactions. The creator can also choose to waive their
privilege of
royalties. NFT creators will need to pay fees for minting
NFTs.
3.4 Advantages
3.4.1 Prospects
NFT is rare, unique, and indivisible. These features made it the
ideal
candidate as a digital anchor of value for goods and commodities in
the
real world. NFT offers a brand new and unique way of producing
value
for the digitization of physical objects on the blockchain. NFT has
a huge
business application potential.
Monetize KOL influence
The rights and benefits NFT platform CHAIR encourages users
to
tokenize their rights and benefits into NFT assets so as to quickly
extract
the economic value of their personal influence. Any user can mint
their
own personalized NFT as long as they are interested in monetizing
their
personal influence.
For example, Jason is a photography KOL with 1 million followers.
He
wants to cash in on his internet influence (intangible rights and
benefits),
however, Jason was deterred by the time investment, complex
procedures,
and risks.
Nevertheless, Jason can easily cash in on his internet influence
with the
help from the CHAIR platform. Jason can mint 100 NFT cards with
an
initial price starting at 1 ETH. The NFT cardholders ( Jason's
fans) can
enjoy the rights and benefits assigned to the card, such as a
signed copy
of Jason's photography, or a dinner with Jason, etc. What's more
surprising
is that Jason can also obtain a continuous stream of cash income
from
subsequent transactions of the NFT cards, because Jason is entitled
to a
certain percentage of royalties from creating the NFTs. With
minimum
effort, Jason can easily tokenize his rights and benefits into NFTs
and
monetize his influence.
The CHAIR.Finance platform serves any individual, organization,
or
enterprise that wishes to tokenize their rights and benefits into
NFT for
trade or auction so as to monetize their intangible assets.
CHAIR.Finance
has a wide customer base, low entry barrier, and multiple
participation
options.The CHAIR.Finance platform serves any individual,
organization
or enterprise that wishes to tokenize their rights and benefits
into NFT
for trade or auction so as to monetize their intangible assets.
CHAIR.
Finance has a wide customer base, low entry barrier, and
multiple
participation options.
A. Participate in NFT minting: KOL can mint NFT on the CHAIR
platform. The NFT creator can receive continuous royalties
rewards;
B. Participate in NFT tradings: KOL's fans can trade NFT on the
CHAIR
platform. NFT liquidity providers will receive platform rewards.
NFT
holders can also speculate on future price increases and resell the
NFT
at a higher price to earn the price premium.
C. Participate in NFT auctions: Unsuccessful bidders will receive
an
auction dividend. Successful bidders will receive the platform
rewards.
D. Participate in NFT mining: Users can participate in liquidity
mining,
PoW mining and single-token locked position mining to earn
platform
mining rewards.
E. More products: BYP (Build Your Planet) program is estimated to
be
launched in CHAIR 3.0 in September, 2021. Additional details on
BYP
will be provided as the program nears completion.
High circulation value and valuation
NFT builds a bridge between the physical world and the
blockchain,
it is a ground-breaking innovation. Unlike the existing NFT
platforms
serving only the niche markets, the CHAIR platform thrives on a
large
number of KOL users to help KOLs monetize their influences
and
attracting more fans. CHAIR's model is creating a positive cycle to
achieve
a multi-win situation for every user and the platform, CHAIR can
facilitate
NFT's viral spread. A revolution for the KOL fan economy is on
the
horizon, this will definitely push the project valuation to its new
height.
Early participants are most likely to earn high dividends.
Founding Team
CHAIR's founding team members are elite professionals who have
been
immersed in the blockchain industry, financial industry, technology
industry,
and marketing industry for more than a decade. They each bring
their own
strengths and resources to the CHAIR project.
Adriel
Founder and CEO
Adriel is the founder and CEO of CHAIR.Finance. He is a tech
entrepreneur who has successfully started multiple companies
with
his expertise in solving business problems with cutting-edge
technology.
Adriel was the Managing Director of one of Singapore's first
robo-
advisors that provided automated algorithmic portfolio
management.
He was also a Blockchain lecturer, a technical committee for the
ISO
International Blockchain Standard, and an advisor for
Singapore’s
G2G blockchain supply chain platform.
Vigor.R
Marketing Consultant
Vigor.R is the Chief Marketing Officer of CHAIR.Finance. He is
a
marketing expert with 10 years of experience in the Internet
industry.
The music app he developed and operated has attracted over 10
million
users. He has also successfully secured substantial investments
from major
corporates and investors. He is the head of Singapore's AEC asset
ma-
nagement, providing smart futures arbitrage systems. He manages
more
than $20 million assets for his customers. In 2016, he ventured
into the
music industry by utilizing blockchain to solve the copyright
issues and
promotional challenges. In 2018, Vigor participated in a summit
with the
former United Nations Secretary Mr. Ban Ki-moon in Hong Kong.
Darren Chu
Co-founder and CIO
Darren Chu, CFA is the CIO of CHAIR.Finance, overseeing
CHAIR’s
investment and KOL strategy. A thought leader in financial markets,
he
publishes daily technical analysis on commodity and index futures,
as well
as FX. Darren also writes a weekly piece highlighting big picture
moves in
leading crypto markets as well as traditional market adoption of
crypto.
Each month, roughly 400 hedge funds, banks, and corporates
download
Darren's analysis through Bloomberg, Refinitiv, and Factset.
Previously,
Darren was the country representative for Australia, India, and UAE
for
NYSE Liffe, promoting futures and options trading to hedge funds,
banks,
proprietary trading groups and commodity firms. He also worked for
the
TMX Group / Montréal Exchange marketing options and futures.
With
CMC Markets, Darren headed up education and market analysis on
spot
FX and CFD trading, and formed the Chinese marketing and sales
team.
3.5.1 Tokenize rights and benefits into NFT
3.5 NFT 2.0
The core of NFT is content and ownership verification, which
means
that NFT can be used to label almost any content. Not only can
NFT
package different assets but also can NFT serve as proof for rights
or
interests. Users can tokenize any right or interest into an NFT
asset on
the CHAIR platform and publicly trade or auction the NFT
tokens.
The tokenization of rights and benefits will greatly enrich the NFT
asset
category, allowing more people to participate in the NFT industry
and
enjoy the benefit of NFT. With joint effort from all parties, the
NFT
market will prosper.
The NFT 1.0 era is represented by arts and games. However, in the
future,
arts and games will only account for a small portion of the massive
NFT
application market. The coming large-scale commercialization of
NFT
will definitely reach all industries and all user groups. The wide
adoption
of NFT will mark the beginning of a new era for blockchain to
become
a universal technology, we call this stage NFT 2.0. As the world's
first
decentralized exchange for rights and benefits NFT, the CHAIR
platform
has made the first step towards NFT2.0.
Jieren Zhu
CTO
Jieren is in charge of CHAIR’s R&D. He is a technologist with
over 12
years of experience in building large scale, sophisticated data
systems. He
was the project leader at several FinTech companies including
Stripe. He
also built SourceScape, a query engine for source code.
3.5.2 Detonate internet traffic and kick start a brand
new NFT market
NFT might become ubiquitous in the near future. However, at
the
current stage, the NFT industry development approach is relatively
limited
with over-concentration on a few asset types for several niche
groups of
participants. The current NFT market suffers from excessive
competition
and involution.
Nevertheless, CHAIR has taken a unique approach to developing
new NFT market potentials. On one hand, CHAIR has the
capability
to attract or invite a large number of KOL users with the
platform's
profitable business model and the founding team's high-quality
personal
resources. On the other hand, those KOLs will join the CHAIR
platform
with their own internet traffic and large groups of loyal fans.
CHAIR
is dedicated to helping KOLs monetize their internet influence. In
turn,
KOLs will utilize their own resources to attract more fans to
spread
the word about CHAIR, such a positive feedback loop will bring
more
attention to both the KOLs and the CHAIR platform.
4 CHAIR platform function
4.1 Tokenize rights and benefits into NFT 4.1.1 Why do we tokenize
rights and benefits into NFT
The law defines rights and benefits as the rights and benefits of
citizens that are protected by law. Economics defines rights and
benefits as assets.
NFT is an intermediary that bridges the gap between real-world
services
and blockchain protocols. NFT is characterized by scarcity,
indivisibility,
and uniqueness. The definition of rights and benefits and the
characteristics
of NFT presents a perfect fit. Both of them are unique, scarce,
and
indivisible. However, due to physical restrictions, most rights and
interests
cannot be traded and circulated. However, trading activity is
essential to
the economic development of our society. With the help of
blockchain
technology, tokenized rights and benefits NFT are conducive to
solving
this problem and facilitating the monetization, trading, and
circulation
of rights and benefits.
4.1.2 What are the advantages of tokenizing rights and benefits
into NFT?
Security
When a user wishes to sell personal rights or benefits, they can
create or
'mint' an NFT. The NFT will serve as proof of ownership. It will
be
registered on the public blockchain ledger so that the digital
ownership
(or as they call it in the traditional industry, 'source')can be
tracked and
verified, the NFT's previous sale prices and the number of existing
copies
will also become publicly available. The security provided by
CHAIR
platform's blockchain technology can guarantee that selling fake
NFT
tokens is virtually impossible.
On the CHAIR platform, rights and benefits NFTs may represent
promotional services celebrity merch intellectual property. NFT is
no
longer exclusive to artworks, each and every right and benefit can
be
tokenized into NFT and circulated on the CHAIR platform.
Scarcity and Premium
Scarcity is the most important value of NFT and the key
characteristic
of rights and benefits. For users who have purchased these scarce
rights
and benefits NFT, they will have the option to resell their NFT
assets
at a higher price to earn the price premium.
Quick Monetization
In this information society, efficiency dominates everything. On
the
CHAIR platform, not only can KOLs tokenize past and present
rights
and interests into NFT, but also can they tokenize their future
rights and
interests into NFT. Famous KOLs can tokenize an unfinished
painting
and sell the future right to the completed work to their fans. With
this
design, KOLs can cash in their rights and benefits in advance,
thereby
improve KOLs' monetization ability and increase the
communication
value of the rights and interests.
Continuous Profit
For example, a KOL sold a painting for $10,000. As time goes by,
the KOL
gained more fame and the painting is now worth $1 million after
many
transactions. In the traditional world, the KOL will not receive
any
additional income from the painting's resales. However, now with
CHAIR.
Finance, KOL can specify a percentage for royalties which will give
the
original NFT creator a portion of the total transaction amount for
all
future transactions of the NFT. For example, if the royalties are
set at 3%,
the KOL will continue to receive 3% of the total transaction amount
for
every future transaction of the NFT on CHAIR.
28.A Beginners Guide to NFTs for Cryptoart | Built In.
https://builtin.com/blockchain/nft-cryptoart-guide
Complete NFT creation and upload it to the blockchain
generate a unique signature card, enter the listing pool.
Define the royal ty percentage
Define the listing type (auction or fixed price)and the
starting
price
Define the rights and benefits as well as how to exercise
these
rights and benefits
Access the blockchain network
4.1.3 How does CHAIR tokenize rights and benefits into NFT?
The CHAIR platform supports NFT customization. CHAIR
significa-
ntly lowers the entry barrier to NFT application. Users can mint
persona-
lized NFT with a few simple steps.-
The creator of NFT is entitled to define the royalty percentage.
For
example, if the royal ty percentage is set at 3%, it means that the
NFT
creator will receive 3% of the sale amount for all future
transactions of
this NFT. NFT creators could earn a continuous and stable stream
of
income from the NFTs. Such incentive will encourage NFT creators
to
mint more highquality utility NFTs28.
4.2 Peer-to-peer trading of utility token
1)After consuming a certain amount of BNCH, the NFTs will be
allowed
to enter the listing pool.
2)Users can review key NFT information including creator,
holder,
and transaction history.
3)Users can purchase NFT by paying an agreed amount of BNCH.
The NFT holders are free to trade their NFTs by limit order or
auction.
4) Limit sell order
5,000U worth of CHAIR platform NFT with 1 year locked portions
is
selling for 20,000 BNCH.
Users can redeem 20,000 BNCH to obtain future ownership of this
NFT.
5) Limit buy order 1,000,000 BNCH for the NFT tokens of
Telegram
initial coin offering quota.
7) NFT creators receive the royalties.
Limit sell order
Limit buy order
1)Users can review key information of the NFTs, including
creator,
holder,transaction history, and auction status.
2)NFT auctioneer determines the bidding rules, bidding
deadline,
the minimum auction price, the auction mining dividend ratio. The
higher
the trade mining dividend is, the more people will participate in
the auction,
the easier the NFT could receive more ideal bids29.
3)Each auction price must be higher than the last. Upon the
bidding
deadline, the highest bidder will win the NFT. With each
successful
auction, the NFT creator will receive X% of the sale amount as the
royal-
ties tax, the platform w ill receive 5% of the sale amount. Users
who
participated in the auction but did not win the bid could share the
dividends
from auction mining30.
4)The NFT creator will receive 3% as the royalties, 9.6 BNCH.
5)Platform will receive 10% service fee, 32 BNCH.
6)Users A, B, C, D, and E will equally share 20% of the auction
mining
dividend, 64 BNCH. Each participant will receive 12.8 BNCH.
By participating in the auction, users are automatically
engaged
in auction mining.
6
Starting bid 99 BNCH Define auction mining dividend ratio as 20% of
the sale amount
User F wins the bid and
obtains the NFT
4.4 Collateral loan of utility token
The NFT holders can post a demand for NFT collateral loan. The
lender
will issue the BNCH loan based on the borrowing demand31. The
borrower
is obliged to repay both the principal and the interest at
maturity. The
NFT holders can lock in their NFT value in advance. The lender
will
earn the loan interests. If the borrower fails to repay the loan on
maturity,
the NFT will be automatically transferred to the lender32.
4.5 Transaction dividend
50%: platform income.
4.6 NFT limit order
The CHAIR platform is a community self-governing platform. All
BNCH
holders are entitled to vote on NFT products33, decide whether to
increase
the ranking of certain NFT trades displayed on the platform. High
ranking
can facilitate rapid exposure for high-quality NFT limit orders and
auction
orders34.
With NFT auctions, you can quickly increase exposure so as to trade
at
a higher price, thereby allowing the auction participants to earn
more
dividend income.
Locked position quiz competition.
More products: BYP (Build Your Planet) program is estimated to
be
launched in CHAIR 3.0 in September, 2021. Please refer to
CHAIR
NFT White Paper for details.
31.Thomas Morante. Non-Fungible Tokens (NFTs) as Art Loan
Collateral. Non-Fungible Tokens (NFTs) as Art Loan Collateral
32.NFT Lending - Current State and Whats Next? - MVP Workshop.
https://mvpworkshop.co/blog/nft-lending-current-state-
and-whats-next/DAO: A Decentralized Governance Layer For The
Internet Of Value. http://sammantics.com/blog/2020/5/20/
33.dao-a-decentralized-governance-layer-for-the-internet-of-value
Financial Times. Auction house sales to test collectors 34.appetite
for crypto-art.
https://www.ft.com/content/98b1368e-b803-4653-a042-a4c1f9cdb218
4.8 Community DAO governance
CHAIR is a platform based on DAO community governance. That is,
all
platform token BNCH owners are entitled to participate in the
decision-
making process of the platform. BNCH serves as an important
management
tool. It allows users to vote on various development and
upgradation
proposal35. The governance of CHAIR will be dictated by its most
active
users36.
In the early stage of CHAIR, the initial users' votes will show us
users'
needs and expectations for CHAIR. In most cases, we will abide by
these
votes. This type of non-binding voting mechanism is also a common
tool
in traditional corporate management. For example:
1)Vote for system upgrades
•The key benefit of holding BNCH is that BNCH holders
can exert a true impact on platform development. Everything is
possible
if the community can reach an agreement37.
•The percentage of service fee CHAIR charges for mining power
NFT
transactions
2)Review the newly minted NFTs on the platform
3)Review NFT transactions and auctions on the platform
We will continue to work with the CHAIR community and the
BNCH
holders so as to develop a better decentralized governance
structure. This
structure will allow more votes to execute with binding force and
trustless
consensus.
Storage Layer.
IPFS is well positioned to solve these issues.
Contract layer.
Polygon is a protocol and a framework for building and
connecting
Ethereum-compatible blockchain networks. Aggregating scalable
solutions on Ethereum supporting a multi-chain
Ethereum ecosystem.
Shorter transaction time and lower fees on Polygon make it an
ideal
option for CHAIR. We will also support HECO and Polkadot
ecosystem
5 Technical Infrastructure
5.1 Overall architecture
Chair develops and deploys its smart contracts on Polygon chain.In
the future, we will add support for Ethereum, BSC, HECO, Polkadot,
and other public chains.
Dapp
Utilize IPFS distributed secure storage to ensure that NFT rights
are secure and tamper-proof.
NFT creation, NFT trade and transfer, NFT ranking and voting BNCH
mining, BNCH DeFi, More products
Storage layer Contract layer
5.2 Storage layer
However, we know that traditional cloud storage has a major flaw.
It is
not cryptographically verifiable. The core of NFT is digital
verification
and control over physical or digital assets. If we cannot verify
the underlying
asset in a similar way to verifying the ownership of the token
representing
that asset, then we will not be able to track the ultimate
goal.
IPFS offers a solution for both issues. IPFS is a distributed
storage
network. It operates in a similar way to cloud storage37. Users can
request
content and the server will return that content39. However, the key
dif-
ference is that the content is stored in a global network
consisting of
individual storage providers. IPFS leverages a tool called
content-addressable
storage40. This implies that instead of requesting content from a
specific
data center, the users can instead request the content themselves.
The
requested content could be located in Los Angeles, or Singapore, or
even
in a much closer location. With content addressability, users no
longer
need to rely on a single location41 to retrieve content. For the
global
blockchain community, this is much more efficient42.
37.IPFS Powers the Distributed Web. https://ipfs.io/
38.ipfs/ipfs: Peer-to-peer hypermedia protocol - GitHub.
https://github.com/ipfs/ipfs
39.IPFS and Filecoin | Filecoin Docs.
https://docs.filecoin.io/about-filecoin/ipfs-and-filecoin/
40.An Introduction to IPFS (Interplanetary File System) | Infura
Blog. https://blog.infura.io/an-introduction-to-ipfs/
41.Why The Internet Needs IPFS Before Its Too Late | TechCrunch.
https://techcrunch.com/2015/10/04/why-the-inte-rnet-needs-
ipfs-before-its-too-late/
42.Building DAO Governance Layer for snglsDAO - Blaize.
https://blaize.tech/article-type/how-to-build-dao-using-
daostack-alc-hemy/Vendredi. What We Can Learn From the DAO
Experiment, DAOs and Decentralized Governance.
NFT Metadata { "name": "CHAIR #0001"
"description": "The NFT holders will obtain the locked portion
of the CHAIR platform token BNCH within the given period
"image": "ipfs://bafybeihhii26gwp4w7b7uei2dl3fq/ticket.txt" }
IPFS is also responsible for our verifiability. Since all contents
are
defined and stored based on the contents themselves, if a content
is modified
without authorization, we will encounter a mismatch error message
during
content verification.
Token ID: 1
URL: http://localhost:8080/ipfsdl3fq/ticket.txt
When users add data to IPFS via Content Addressing, IPFS will
generate
a Content Identifier (CID). The CID is derived directly from the
data
itself. The CID is linked to the data in the IPFS network43. Since
the CID
can only ever refer to a single piece of content, we can be assured
that no
one can replace or modify the content without breaking the link44.
With
CIDs, anyone can obtain a copy of the data from the IPFS network
even
if the original provider has disappeared, as long as at least one
copy exists
on the network45. This makes CIDs a perfect candidate for NFT
storage.
All we need to do is to place the CID into a URI such as ipfs://URI
ipfs:
//bafybeihh/my-nft.jpeg and make sure there is an immutable link
from
the blockchain to the token data46.
43. Content Identifiers in IPFS - Pascal Prechts Blog.
https://pascalprecht.github.io/posts/content-identifiers-in-ipfs/
44. What is Content Addressing & Content
Identihttps://proto.school/anatomy-of-a-cid/01/fiers (CIDs).
https://simpleaswater. com/ipfs-cids/ 45. Multiformats Tutorial |
Anatomy of a CID. https://proto.school/anatomy-of-a-cid/01/ 46. The
magic of content-addressable storage.
https://hal.archives-ouvertes.fr/hal-0
59031/file/content-addressable-storage-prepr- int.pdf
47. Setting up an Ethereum Development Environment.
https://medium.com/compound-finance/setting-up-an-ethereum-devel-
opment-environment-7c387664c5fe 48. Create and deploy a DeFi App |
ethereum.org.
https://ethereum.org/en/developers/tutorials/create-and-deploy-a-defi-app/
5.3 Smart contract layer
The CHAIR smart contract layer covers NFT creation, NFT
transact-
ion, NFT transfer, NFT auction, NFT mining, and other relevant
logic
To ensure contract code security, CHAIR will engage
internationally
recognized auditing agencies to thoroughly audit all codes in the
near
future47. For example, CHAIR develops its NFT creation and
transfer
contracts on ERC-72148. Our basic protocol can be found on
https://
eips. ethereum.org/EIPS/eip-72.
function mintToken(address to, uint256 tokenId, string uri) public
{mint(to, tokenId); require(_exists(tokenId));
_setTokenURI(tokenId, uri); }
function burnToken(address owner, uint256 tokenId) public
{_burn(owner, tokenId); }
How to create CHAIR platform token BNCH
Full name: BNCH Owner Acronym: BNCH
6. CHAIR platform token BNCH 6.1 Token distribution
As the platform token of CHAIR, BNCH serves as the platform
credentials on CHAIR. BNCH token represents users' rights and
benefits
on the CHAIR platform. BNCH holders are entitled to in-depth
particip-
ation in the governance and future development of the CHAIR
platform.
BNCH can also be used toward the purchase of goods and
services
on the CHAIR platform. All BNCH holders are entitled to share
the
revenue generated from CHAIR's development.
The second batch of utility NFTs for sale 8%
Developer 10%
Ecosystem construction 15%
Total token quantity: 70 million BNCH
We have decided that there will be no private placement for
CHAIR’s
platform tokens BNCH. All BNCH will be distributed to CHAIR
backers by NFT purchases.
The first batch of Rights & Benefits NFTs for sale:
1. Total sale amount is 1.4 million tokens, accounting for 2% of
the total
BNCH amount.Each NFT represents the corresponding tokenized
rights
and benefits proportional to the USDT amount paid. These 1.4
million
BNCH tokens are to be released evenly over 8 quarters.
2. Priority for airdrops
operation.
The second batch of Rights & Benefits NFTs for sale:
1. Total sale amount is 2.1 million tokens, accounting for 3% of
the total
BNCH amount.Each NFT represents the corresponding tokenized
rights and benefits proportional to the USDT amount paid. These
2.1
million BNCH tokens are to be released evenly over 8
quarters.
2. Priority for airdrops
operation.
The third batch of Rights & Benefits NFTs for sale:
1. Total sale amount is 5.6 million tokens, accounting for 8% of
the
total BNCH amount.Each NFT represents the corresponding
tokenized
rights and benefits proportional to the USDT amount paid. These
5.6
million BNCH tokens are to be released evenly over 5
quarters.
2. Priority for airdrops
operation.
For the developer: 10%. To be released evenly over 14
quarters
Mining: 50%
CHAIR platform token BNCH release graph.
Release ratio curve chart.
R el ea
6.2 INO
Most blockchain projects employ a lock-up mechanism because the
lock
-up period can keep the price of cryptocurrency stable, providing a
longer
development timeframe for the project and creating a win-win
situation
for both investors and project owners. However, there are also
risks in
the mechanism.
INO initiated by CHAIR is the first of its kind in the NFT
industry.
INO can perfectly solve issues related to locked position and
monetization,
hence optimize the circulation of locked assets
INO stands for Initial NFT Offering. The INO tokenizes locked
portions
into NFTs. A token locked position held by an early investor will
be locked
for 15 months on Chair, where it can only be sold each quarter for
five
quarters, including day 1 for a total of six rounds. 5% of the
locked portion
will be released at the beginning of the first quarter. If the
token price soars
by 20 times, and an investor sells this 5%, he or she recoups the
cost. The
rest of the locked position can be tokenized into an NFT. The
investor can
trade the BNCH represented by this NFT at a price perhaps three to
five
times higher on Chair platform. In this way, the locked tokens can
be
monetized in advance.
INO allows locked assets to be freely traded and circulated,
which
perfectly reflects the core value of the digital economy.
6.3 How to Obtain BNCH
BNCH aims to reward active platform users for the future
construction
and operation of the platform.
6.4 How to utilize BNCH
As the platform token of CHAIR, BNCH serves as the
qualification
credentials on CHAIR. BNCH token holders are entitled to all
rights
and interests on CHAIR.
rewards
dividendSuccessful bidders receive platform rewards
NFT operator/ governor
determine the management of excellent NFTs
and their rankings
of BNCH means the access to content
review, function upgrade, and business
model adjustment.
Mining participants
mining to earn the platform mining
rewards
rewards by providing liquidity.
6.5 Mining model
50% of BNCH will be allocated to mining. Mining includes the
following
varieties. Proof of Work Mining
By participating in auctions, unsuccessful bidders can receive a
share of the transaction dividends. Successful bidders can receive
a set amount of platform rewards
Locked Position Mining
Participate in mining by holding locked BNCH More mining
products
More products: BYP (Build Your Planet) program is estimated to be
launched in CHAIR 3.0 in September, 2021. Additional details on BYP
will be provided as the program nears completion
Dual Token Liquidity Mining
6.6 Platform Business Model.
(1) Charges token minting fees for the creation of NFTs.
(2) Charge transaction service fee for successful
transactions.
(3) Charge service fees for bidding on ranks.
The deflation model can better demonstrate the value of BNCH.
NFT auction NFT Minting
EIP-1155: ERC-1155 Multi Token Standard
https://eips.ethereum.org/EIPS/eip-1155
IPFS DOCS https://docs.ipfs.io/
9 Disclaimer
9.1 The content of this document shall not be interpreted as forced
participation in
token sales. Any behavior related to this white paper shall not be
regarded as participation
in token sales, including requesting a copy of this white paper or
sharing this white
paper with others.
9.2 The CHAIR DAO team will make continuous efforts to ensure the
information
in this white paper is authentic and accurate. Since CHAIR is under
development,
its platform mechanism, token mechanism, and distribution are
subject to potential
updates. Therefore, the content of this document is subject to
potential adjustments.
DAO team will publish the updated contents by issuing public
announcements or
publish new versions of this white paper on CHAIR's official
website.Users shall
obtain the latest version of the white paper and adjust their
decisions in a timely
manner accordingly. CHAIR is not liable for any losses resulting
from users' reliance
on outdated white papers.
9.3 CHAIR DAO team will spare no effort to achieve the goals
established in this
document. However, the team is unable to make absolute promises due
to the possibility
of force majeure.
9.4 As the platform token of CHAIR, BNCH is an important management
tool for
the platform. BNCH should not be considered an investment. BNCH
ownership does
not automatically translate to ownership, control rights, and
decision-making power
over CHAIR. BNCH does not belong in the following categories:
a) Any type of currency;
b) Securities;
c) Stakes in legal entity;
d) Stocks, bonds, bills, warrants, certificates, or any other
document granti-
ng any right.
9.5 The value of BNCH is dependent on the market and BNCH's
practical applications.
BNCH might not have any value. DAO team does not make any promise
on BNCH's
appreciation. CHAIR is not responsible for BNCH's appreciation or
depreciation.
9.6 To the fullest extent permitted by applicable laws, the DAO
team shall not be liable
for any damage or risk arising from users' participation in CHAIR,
including but not
limited to direct or indirect personal damages, lossof business
profits, loss of business
information or any other economic losses.
9.7 CHAIR intends to comply with any regulation and industrial
norms that are
conducive to the healthy development of token sales. By
participating in CHAIR,
users agree that they fully accept and comply with these
regulations. All participants
shall guarantee that the information they provide for inspections
is complete and accurate.
9.8 CHAIR clearly communicates potential risks to its users. By
participating in CHAIR,
users agree that they have confirmed all terms and conditions of
CHAIR. Users accept
the potential risks of this platform and accept the
consequences.
9.9 Citizens of countries that prohibit the public sale of tokens
are forbidden from
participating in CHAIR.