Here’s our 179 AMA recap!
Thank you to the Infinity Chain for participating in Ask Me Anything (AMA) with Attrace 22 December, 2021. This guest star,
- Erwin Werring — Economics
Introduction
Erwin W :
Hello my name is Erwin Werring.
Have a background in accounting and M&A at Deloitte, 8 years asset management at Morgan Stanley CI in London, then co founder of a startup which was a Data & Solution Consolidation Platform for Strategic Management in the online world, with 9 banks in 32 countries as a client.
In 2018 I co-founded Attrace
QUESTIONS MODERATOR
What’s Attrace? What triggers you to launch Attrace? Can you share with us more in detail?Erwin W :
Yes let me explain where we are coming from:
Think we all agree that Web3, the blockchain economy, is the future and that crypto projects and creators in Web3 require promotion to acquire users.
So what do all projects do now? They give fixed fees to promoters, without any guarantee that those promoters add value.
So we identified that Web3 needs a solution for performance based promotions.
However current classic Web2 referral (performance based) marketing solutions (affiliate marketing and cashback) have major trust, tracking and privacy issues and simply cannot verify users acquired on-chain (e.g. DEX, dApp).
Therefore Attrace has created a decentralized and connected referral ecosystem for Web3.0. It is a referral protocol developed with the intention of incentivising promotion in the blockchain economy to help crypto projects grow by acquiring users via promoters.
So the goal is to capture the value of word of mouth marketing in Web3.0!
Attrace will be able to facilitate all referrals that lead to a blockchain transaction, regardless whether the referral itself happens through a communication via Web2.0 channels (i.e. Twitter, Websites), Web3.0 channels or via Metaverse.
How does Attrace work? What are the benefits of using Attrace?Erwin W :
Regarding how it works:
It all starts with a project that wants to create a referral for a particular event (e.g. IDO, Liquidity Mining, or NFT Drop).
Project deposits a bounty in crypto to encourage promoters to spread the word and bring in new participants to that event.
(Note, you can have the drop on ETH and bounty on e.g. Polygon as Attrace works cross-chain!)
Promoters discover and choose the projects they want to promote (on e.g. https://attrace.com/) and get their unique referral link which they share with their audience.
Participants follow the link shared by the Promoter and become eligible to earn bounty if they take part in the event (e.g. participate in IDO, Liquidity Mining, or NFT drop)
The bounties are then rewarded to promoters that are helping projects to get more users and to participants as a bonus for their participation.
The Attrace Referral Oracles (tech term: verifier nodes) observe all blockchains and unlock bounties when they identify a conversion (an asset moving from one wallet to another)
Regarding the benefits of this methodology:
(1) Firstly, with Attrace, Promoters are now — finally — able to monetise traffic they send to decentralized applications (e.g. NFTmarket, DEXs, dApps) on a performance based manner!
(2) So you can now bridge the gap between Web2 promotions and Web3 activity by verifying on-chain referral conversions in a trustless manner (via Referral Oracles), you can now use e.g. your twitter to promote crypto projects and creators on a performance based manner
(3) The referral verification happens in a trustless manner (!), via the Attrace Referral Oracles, so nobody needs to worry about not getting the rewards deserved
(4) The conversions are allocated without any user tracking like cookie tracking or fingerprinting so no more data privacy issues (like in Web2)
(5) Verification happens permissionless cross-chain and multi-chain, for example you can set an NFT drop referral on the Ethereum chain and put the bounty on Polygon
(6) Bounty payouts are locked in advance so secure
Could you tell us about Attrace tokenomics about total tokens supply and tokens allocated?Erwin W :
$ATTR is used for Staking and Governance, to ensure security and guarantee trust by staking $ATTR with the Referral Oracles, to earn protocol fees and staking rewards in $ATTR when staking, to receive $ATTR by joining a Referral Farm as Promoter and to govern the network through a voting process
Total supply is 1.000.000.000 fixed.
Currently 35% of all tokens is allocated to 3rd party investors, contributors, early adopters and those buying on a DEX so these are circulating with 3rd parties
The second 35% is reserved for Ecosystem adoption and Conversion rewards (e.g. these will go to users of the Attrace protocol)
The remaining 30% is reserved for the 7 co-founders (18%), all the advisors and for upcoming funding rounds with strategic partners
For a live overview please check: https://attrace.network/community/attr-token/
Regarding “Security system”, how does Attrace care about security system? What can you tell us about the security of the system?Erwin W :
Very important quesion 👍
It is important to understand that with Attrace the security and trust is with the Verifier Network (the Referral Oracles) and the plan is to make the network public and available for everyone in the coming months.
Once the network becomes public the $ATTR holders will be able to contribute to the security and trust of the Verifier Network by operating a node and staking $ATTR as a guarantee of that security and trust. This is the point when the detailed inspection and audit will happen.
So unlike most crypto projects, which delay the release and then try to find a protocol market fit, Attrace has taken a different route of going after the protocol market fit in the early days of the project and that is also the reason for the above.
Please inform the Attrace roadmap? What is the strategic plan of Attrace in the future?Erwin W :
You can find our roadmap on:
https://docs.attrace.network/roadmap/
This year the Attrace team has basically allocated solely to developing the protocol, the product features, the verification of the methodology and the product market fit.
We are now live and connected with Ethereum and Polygon (BSC, Solana etc. will follow early 2022) and it is possible to set up IDO, Liquidity Pool, Yield Farming and NFT drop referrals (Swaps and general dApp referrals will follow ealy 2022)
So from Jan 1st onwards we will start with our first large marketing push to grow community and promoter community (we have — a lot — of demand from projects wanting to use our referrals already)
Also to further explain: Attrace protocol has two parts:
(1) https://attrace.com/ : the referral dApp market to buy/sell user conversions used to showcase the capabilities of the protocol and gain traction at the beginning (consumer application)
(2) https://attrace.network/ : SDKs consisting of development tools to connect with the protocol by building 3rd party dApps or integrating it with existing dApps (middleware application)
Eventually we aim to become a referral standard for promotion in Web3
So now that we have the basics live — with traction — we are going to push for adoption
What I can add: We needed some time to verify the methodology given that what we have now released is basically a world’s first > the concept of 3rd party verification of referrals in Web3 is a worlds’ first
QUESTIONS TWITTER
How does the Attrace referral application work? What is the percentage bonus that each participant receives? Can I get rewarded by referring participants to engage with the project token or dApp through my referral link?Erwin W :
Part of answer you can find in question 2, but to further elaborate on that: The basic methodology is that by using the Attrace Referral Oracles (tech term: verifier nodes) we can model — on a blockchain! — a 3 party relationship between the public wallet addresses of the Project, Promoter and Participant.
As a promoter you simply
- Choose the projects you want to promote and then mint your unique referral link
- Share the link and earn a bounty for every participation in the Project generated via your link
It is for each party (Project, Promoter, Participant) a matter of minutes to participate: https://attrace.com/how-it-works
The Projects sets the bonus, e.g. wants to sell an NFT worth 100 ETH and locks a bounty of 10 ETH for a Promoter that can find a buyer
Project decides how much % of bounty goes to Promoter and how much % to Participant/buyer, (buyer also needs incentive to connect wallet) in this example 60% will go to Promoter and 40% to Participant/buyer
Promoter mints unique referral link and shares this e.g. via Twitter and finds a buyer that clicks on the link so is entitled to 60% of all bounty = 6 ETH
Participant/buyer using Promoter link has been offered a bonus to connect wallet so will get the remaining 40% of the bounty so 4 ETH
So yes, as a promoter you will get paid — guaranteed in a trustless manner!!! — by sharing referral links that generate Participants/buyers
More info:
https://attrace.medium.com/launch-of-nft-referrals-and-promote-to-earn-model-7e782da262de
https://medium.com/attrace/the-first-web3-native-referrals-for-liquidity-pools-are-now-available-607d93b1f581
Buy the way, you can also earn if you are not a promoter yourself but do know promoters: https://attrace.com/refer-promoters
What have been the tactics for Atrace to become the only affiliate marketing blockchain project that tracks and attributes every individual click / referral from a potential customer? How do you deal with the problem of trust in the metaverse?Erwin W :
We do not need to track every individual click anymore
We used to do that 🤓
Between 2018–2020, so before we started the Attrace Protocol (end of 2020), the team first developed a use case specific high performance custom blockchain solution from scratch (Attrace Classic) to solve problems in classic affiliate marketing in Web2 by taking out the middleman / affiliate networks. With that blockchain we tracked every individual click on-chain for Web2. This chain was live with traction. (Which by the way arguably shows we have a strong development team.)
But then we dedicated that is not the endgame for Web3!
Because in a tokenized economy, you can see when an asset moves from one wallet to another and that is a trustless verification that a “sale” has happened(!)
… and that means, if you model a 3 party relationship between the public wallet addresses of the Project, Promoter and Participant, you do not need to track clicks anymore! The Attrace Referral Oracles observe any token on any blockchain and identify when a sale has happened because it can see the asset moving.
It is a completely now methodology of referral marketing for Web3. A methodology that actually leverages the power of Web3 for marketing.
So to answer your second question: Attrace Protocol for referral marketing is trustless and decentralized at the core!
This is why we feel this methodology is an end-game for marketing in Web3, because it has the same core principles (trustless) as Web3 itself.
Attrace is active with NFT references, and extends native supported Web3.0 references, and the Team just released NFT Drop references for ERC-20 and Polygon based NFT printing events. What types of NFT are acceptable at Attrace, is it Art or Gaming?Erwin W :
Both
Eventually Attrace Protocol will be able to accommodate any tokenized asset — so also any NFT happening — on any blockchain. Currently indeed we can accommodate any NFT Drop (both art and gaming) references for ETH and Polygon.
The Attrace vision is that eventually the Attrace Network will be able to support NFT Projects to achieve their goal of acquiring users via promoters throughout their roadmap journey from launch, with the NFT minting towards the larger token distribution.
And support of referrals of NFT Drops is the first step towards achieving that vision.
There is a lot of promotional activity which happens before the NFT Drops and we found this to be a perfect opportunity and use case of having referrals facilitated by Attrace. With Attrace, those that help projects spread the word about their NFT Drop event will be rewarded in cryptocurrencies for the value they bring to the project.
this essentially makes a partnership between Attrace and any DeFi or NFT related community in our view a perfect fit
It is all about leveraging the power of “word of mouth” promotion in Web3
The $ATTR token is at the core of the AttraceNetwork ecosystem, but what are the practical uses and functions of the token in its various services and products? What are the main benefits of having $ATTR tokens for users and the community?Erwin W :
The token will be primarily used for staking and governance.
By staking $ATTR with a Referral Oracle (verifier node), the token holders provide security and ensure the trust in the network. As a reward for their service to the network, the stakers earn protocol fees which are collected as a percentage of bounties which are paid by projects to incentivise the promotion. There will be a strong incentive program in ATTR for promoters which will also be earning as part of the referral pool in the future, which would make promoters a stakeholder of the Attrace network.
So yes, promoters using Attrace Protocol should become stakeholders of the network.
We have allocated a massive amount of tokens for that (35% of total)🎉
So main direct benefit is obviously staking: If you have ATTR you can (from next week onwards) stake your ATTR with a Referral Oracle to provide trust to the network. In return you will receive pro rata part of the network fees (all the native tokens) paid out by the Projects using the Attrace Protocol and additional ATTR on top.
The model works actually very similar to Sushiswap
(and speaking of which, since this month we also do farming on Sushiswap https://analytics.sushi.com/tokens/0x44e2dec86b9f0e0266e9aa66e10323a2bd69cf9a)
Collaboration and partnership are some of the most important cornerstones to help improve adoption. So tell us about the existing partners of project your plans for the partnerships, and how everyone will benefit from these partnerships?Erwin W :
Existing partnerships that are live you can find on https://attrace.com/ or Twitter: https://twitter.com/attracenetwork
But those are the ones which are visible:
We have more than 70 projects in our CRM that are willing to partner with Attrace. These are DEXs, Launchpads, NFT drops, NFT lending, Yield Farming, Games etc.
Onboarding will now happen way quicker since our latest update of… today 🤓
So project side no problem lots of traction already with — so far — zero marketing (that will happen from Jan onwards)
Promoter side:
We currently have 9 tier-one Promoters (very large crypto websites) waiting to connect
We are also in the process of setting up a KOL network with a strong incentive in $ATTR (Referral Farm)
Attrace is aiming to become a referral standard for Web3 it took us 3 years to come up with the concept to anticipate how we see the future of Web3 marketing
A main advantage is that with Attrace you can participate in referral marketing for any token on any blockchain as the protocol is token and chain agnostic
So regarding main benefits: You participate in Attrace if you want to have exposure to tools for marketing in Web3 > tools that are based on the same pillars as Web3 itself
Upside potential of Attrace driven by
- Size of the future Web3 advertising market (Web2 advertising market in 2021 is approx $455 Billion)
- The real value of leveraging any own or third party (social) community, across any network, trustless in Web3
- The value of being able to promote the dApps and assets via performance based referral marketing for which this was not possible before
- The value of implementing a reputation standard for Promoters (later stage)
- First mover advantage
QUESTIONS TELEGRAM
Do you have Whitepaper if yes, please share it with as secondly do you have plans for pre-sale? Now where can we Join it?Erwin W :
We do not have a white paper because we are live already 🤓
But if you want to dig into the details you can go to https://docs.attrace.network/reference/
Also we’ve done a very small IDO in July (as
(A) we needed to validate IDO referrals so we tested this on our own IDO — we sold out in minutes and 31% was sold via referrals — and
(B) we needed to have our own token live for the platform to go live)
With did the IDO without any marketing so we are only double on IDO price at the moment
We opted for a completely different route
First validate your project (does it work, is there product market fit)
And after that go for marketing push (that will happen in January)
you can find us at:
Sushiswap Contract Address
https://analytics.sushi.com/tokens/0x44e2dec86b9f0e0266e9aa66e10323a2bd69cf9a
Uniswap Contract Address:
https://info.uniswap.org/#/pools/0xd3dd65f0d1ebe69e727db34fa3a25b4fd5abf978
DFYN (Polygon) Address:
https://info.dfyn.network/token/0x0335defc8a1977b99488e0b5f5c6bc3d44facdd4
What is the background, of the your project, team do you think team’s qualifications, and experience, able to support the long-term development, of the project?Erwin W :
Overall I’d say the Attrace team has extensive experience in the North-European FinTech, Affiliate Marketing and startup field, and a — very — solid background in international blue-chip financial companies.
Do you have an ambassador program available? If yes, how can I join it? And may I know what’s the benefit available for the ambassador?Erwin W :
yes we do: https://attrace.com/refer-promoters
https://medium.com/attrace/refer-promoters-and-earn-up-to-5-commission-deba641f281d
and if you put a little time into this
it can get very lucrative
very
What is your strongest advantage that you think will make your team leading the market?Erwin W :
First mover advantage
and we now see the methodology works
it took us almost 4 years to develop this
so for sure there will be copy cats at some point
but they will need time (and a lot of discovering to do as well)
by that time we aim to have achieved critical mass adoption so we would be a referral standard
2022 is all about mass adoption (now that we have validated the project, we will start with our first large marketing in Jan 2022)
Attrace really is an end game for how our team — a team with a lot of ex online marketing professionals — sees the future of marketing in Web3
We truly believe this is the route to take
3rd party verficiation of user acquisition in Web3
leveraging the power of “word of mouth” marketing in Web3!
How do you handle some of the market’s challenges and challenges to meet the NFT market’s Supply-Demand when building a project?Erwin W;
Supply of Projects — any project NFT or in Defi space — is no problem they already reach out to us
because all projects are tired of paying KOLs fixed fees for videos that maybe have zero value
so all projects want peformance based
and crypto websites want our referrals cause right now they don’t earn anything when they forward traffic to e.g. a DEX or dApp
some KOLs might not like us… but the KOLs that truly have good targetted traffic will get paid better performance based than fixed fee
this is all about shaking up a very immature Web3 marketing space
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