Crypto and Net-New Marketplaces
Crypto and net-new marketplaces by rvolz.eth1470 🥝 • 2y • 0 views • 0 clicks | |
AI summary of the linked articleCrypto marketplaces can be built to serve demand that web2 marketplaces have left unaddressed, using three capabilities: token incentives for scale, onchain reputation, and crypto payments. The article argues that token incentives let marketplaces grow supply first, citing Helium and Hivemapper, which bootstrapped their supply sides with token rewards. It also says portable onchain reputation could remove the duplicated background checks that siloed platforms such as Uber and Lyft each run, and that crypto payments let marketplaces reach global users from day one. Farcaster is offered as an early example, with Bountycaster showing headless marketplaces that use portable social data. | |
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 "A challenge outlined above in the world of web2 marketplaces is the duplication of effort across siloed marketplaces in establishing trust. For example, Uber runs background checks on all new drivers, but when that same driver downloads Lyft, the app also performs a background check because the platforms are siloed. One of crypto’s applications is as a system for portable reputation. Rather than each app requiring a separate background check, what if that information were stored onchain, traveling with that driver no matter which marketplace they joined? Going further, other information about providers’ history—like their reliability and quality—could be represented onchain, enabling marketplaces to compose and tap into a global store of trust." > This is an interesting idea - both from the driver's and employer's POV. From the driver's it's interesting, because they might 'own' their reputation, so they can more easily change companies they work for, and don't have to go through the same screening process. From the employer's it's interesting because I can a company that wants to scale uses a search engine, where they say: "Show me all drivers in New York, with scores above 4.2/5 and with cars that are max. 3 years". This kind of onchain reputation system might help to scale hiring, which is a huge operational bottleneck. | |
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