At 9:00 AM (EST) on September 9th, Ultrain co-founder Emma and former Coindesk Asian strategy editor Tian Chuan jointly conducted a deep English live dialogue on “the commercial breakthrough for public blockchain”. Emma focused on the ecological pattern of current public chain in the live broadcast and introduced Ultrain’s current strategy and initially reveals some of the business developments that have not yet been officially disclosed.
The following is the live streaming recording:
- how would you evaluate today’s blockchain ? many people said”blockchain is dead”.
in my mind, this current industry is extremely early. I think people have different views about blockchain and cryptocurrency, it’s very interesting. if you ask people about blockchain or cryptocurrency, everyone will give their own definition based on their own background. Ultrain is a public blockchain. We aim to be a public chain 3.0, which we have already achieved. But our key goal and mission is to make peole to use blockchain.
- you mentioned that you are a public chain company, but many people think that public chain should held by community and should not be influenced by centralized companies. so what do you think about that view?
I think it’s important for public chain to actually have business revolution, to make blockchain more like a real technology dramatic change of business model, for instance, just like enhancement of a business value system, so my partners are very senior developer from Alibaba and Ant Financial, as you know, Ant Financial has the core blockchain department. They are doing blockchain based on a consortium blockchain or private blockchain, it’s more like blockchain is a service platform. My team came out of the comfortable Ant Financial system, because they believe in public chain, they want to make public chain more efficient and safer, it’s very difficult ,but I think we have solved the issues now. The more important thing is that spirit of truly decentralization. We only with the truly decentralization which can realized different types of business. In private or other chains, they can never reach. Basicly, to minimize the cost of trust, and actually make automatics trust you and underlying system without the need to put anything. so that’s the key important thing of public chain. But of course I admire all the leaders of this industry, such as Vitalik. Recently, I have been to Berlin, I had the honour to hear the panel where Vitalik talked about the future of Ethererum, and what’s their opinions about their success. Vitalik talked about he also wishes institution usage. he believes Ethererum is a fundamental tool provided to the society, and the key of their success based upon multiple parties and institutions which are using their technology. In very early stage of this industry, I would say implementation sometimes has to be let by people , has to demonstrated by early adopters. I love the word “like house applications”, to show people the way to actually demonstrate what particular especially things can be done by the technology. so I think eventually, public chain also should be completely decentralized with no organizations. However, as we are so early, the public don’t know what exactly is blockchain, what’s the value it can bring, people have to put more directions on the right moment, I think we are doing that, trying to make the first breakthrough of the adoption. We believe blockchain will bring value. We cannot be sure of everything right now, maybe we are gonna be the front line soldiers and sacrifice ourselves, I think we have to run, have to put our strength to fight. The current situation of blockchain is extremely early, we believe that technology is the only fundamental infrastructure. Private blockchain or consortium blockchain is like a hyperledger, they are thinking about that what can blockchain do to enhance a very small part of the business value system, maybe can solve an efficiency issue, but public chain can potentially realize “blockchain +”, it can make dramatic change of business model to create a brand new solution towards particular user scenario. Use scenario is not industry. For example, my friend invested an APP “ding dong mai cai”which basically serve the users who want to cook at home. In this APP, you can get every food you want and everything you ordered would be delivered to your home in 20 minutes. This is a scenario. Most of the real applications today in the internet world are solving particular scenario issues. As a application founder, you have to think about what can technology do for you. lots of people say that DeFi is the killer app of blockchain, we believe in that, but our market also cares about any transaction and consumption scenario, like e-commerce, on line consumption.
- What do you think is the killer app that will launch on Ultrain?
Again, I think if we want to realize the evolution, we have to work with particular industry leaders, such as luxury industry. For example, I have this shoes which is from a leading fashion goods platform in China, YOHO. It’s a C2C platform, every shoes has a NFC chip.for example, if you sell the shoes to me, the platform will put this chip on the shoes to make sure it’s real. I have to open the app and to scan NFC chip,then it has all the report of this identification like this report, you can see the video of the application. Everything is on chain. So then I can claim I now get the shoe. So basically the lifetime of this shoe is recorded through the app. It creates authenticity because in the moment they authenticate this one, they put the video to demonstrate, the shoes has been checked and the information of chip is on our public chain. And because the lifetime of this shoes is so important for the new buyer, the buyer will has incentive to also scan to put get record. The sneaker transaction is very popular now, many shoes have very high storage value. This shoes is about four hundred dollars. Right now probably higher. It’s important for the new buyers to record on chain. they can all trace the authenticity from the beginning. This is only the first step. And the next step is the platform YOHO!. which is a leading sneaker and trendy goods platform in china. They are at hundreds of millions valuation. For them , they also want to who is the owner of the shoes and who have similar interests of this particular items, they can use blockchain to capture the important data. In today’s internet world, to acquire one user is about fifty dollar.So it’s very expensive, that’s why people are dying to try new ways to engage accurate and relevant users. So it’s a very interesting way using blockchain as an incentive to help them with new type of engage.
- Are these users aware the usage of blockchain?
Sometimes they do. Sometimes they don’t. They don’t have to, because we always say the most difficult barrier of blockchain is to make the users to use a crypto wallet to understand what is crypto currency. It is very confusing for them. But what makes the new incentive program interesting is that, first of all, the total circulation of points could transfer the rules. We are public chain, so we have our own UGAS.and we also have other token issued by Ultrain So if I buy a lipsticks from that platform, if I share it on my social media, if you buy, I can get some points, then I’m also a sales channel for the platform.
so this relationship is all required on blockchain and this incentive is is cleared automatically on blockchain. This rule is written on smart contract. However the users don’t have to know it’s done by blockchain, they only have to this is a new useful points .They can either use the token to redeem the cosmetics goods or they can transfer them into money. For our clients, we have very different type of consumers from sneakers to cosmetics, from wine to luxury goods. And these people are all using our technology to try to create a new way of customer engagement and loyalty program. Our business model is very simple.
If you want use our technology, you have to use UGAS to run on our chain. The sneaker transaction platform is our client and they gave us UGAS to use our power and we give eight percent of that to our minors. The sneaker platform is our b2b customer, but if you buy a sneaker on the platform, you actually create a new wallet on Ultrain. So we call It b2b2c model. We work with very high volume excellent industry leaders, But our business model doesn’t end with b2b2c model. Our goal is that their users are also become our token holders.
- What is your strategy to work with the industry leaders?
At first, we create value for the ecosystem. And we create a wallet for every user So naturally we grow our customer or direct token holder ecosystem by having this type of business customer, so that’s we call it b2b2c model. And for the more business we have on board, their customers become our customers. The number we are talking about is a million in the beginning. so that’s why I’m talking about a breakthrough. we only work with business which will definitely run for a long time and they’re already the leaders in the vertical industry, and we will find a particular aspect that we can benefit them, we work with them for a particular decentralized application. we need to solve the real demand. Our goal is to find this type of applications and find this type of industry leaders, necessarily always the number one leader, sometimes number two or three, that more incentive to change to have a competitive edge. But we find this half of businesses already have millions or tens of millions, sometimes even hundreds of millions users already. And we work with them. It’s of course not easy to do. but we need to the work with different industry leaders and give others an example.All the other invertible leaders are already working with us in the in the consumer goods market at least four different types, including the liquor,luxury goods, trendy fashion wear and cosmetics.
These goods are very valuable. Again, Authenticity is important for people. They have a high margin on average. So, they have incentive to find a better way to engage users. .
We are not only working with e-commerce companies, we also work with some traditional big brands. Because for them, to make one step to the mobile internet world, they need to upgrade their system and do a lot of changes anyway. So why don’t just do one sort for blockchain plus mobile internet enabled CRM, which can provide them not only the capability to understand who their customers are but also the capability to check their relations of their social engagement relations and to potentially provide better engagement with them. So I mean, I talk to tens or hundreds of these people and I talked among daily basis, sometimes I would say today I can completely say the incentive of blockchain is over there. I have never really meet one friend who say “I don’t want this” , no one is not interested at all and most people say “okay, this is very interesting, how can I do it”. And sometimes maybe their business is too big, their business lines are too messy, so it’s very difficult to make the adoption to implement it. So I have to talk to the founder, their CTO, their marketing team and others to work with it. We are quite confident with blockchain for real. Lots of people in the industry still very pessimistic, they don’t believe it. most of the people like maybe eighty percent, they they only believe in the value of crypto. We think the crypto market will only survive when there’s true value.True value means that there’s not just speculating or nothing. it means some value in the ecosystem provides people the benefit. So, the crypto market will be able to sustain and grow basically when there are real massive users coming into this market, because not only speculation,but also is a normal investment or as a normal utility.
And because we’re all utility token, the most important thing is to have people to use it, to make a utility value of our token. Our business partners have their users, their users are in the millions.
businesses users will use our UGAS and we create value for them. They have a necessity to consume UGAS. This consumption creates natural value for our crypto token economy. And we definitely inject most of the revenue to the the miners and minus will benefit from providing the computation resources. by the way, we already have four hundred miners. we aim to get one thousand miners this year, because we are a truly decentralized public chain, and our TPS is already at one thousand for a single chain and we can horizontally scale at no limit.
We already have very advanced dynamic technology implemented to solve the security issue and scale issue, so our technology is pretty awesome solution right now.
Let me take a small business as an example. We have a pet platform partner which has three million active users. They they have offline pets hotels and life center in Beijing. They have already launched on us, basically help other homeless dogs and cats to be helped basically by adopted, or to be helped by donation online. We create the transparency for the donation. So we created this online, blockchain can provide an online pet shelter. It’s more like a charity. I just say we’re creating a positive value and goodies for the society, we are helping the homeless pets to be helped with the online shelter. This is a typical example what we want to support and prove the function of blockchain And the founder of the platform are incentive to run this because they care about the society and those homeless pets.
- Do you have a goal by the end of this year? How many DApps do want to have?
Our original idea is to have like a hundred DApps. But again, I would say the number of the DApps is not important.if a DApp is good enough, it can influence one million of users, which is better than a hundred DApp. We want to promote all the DApps which are on our chain, not only just give them money but also help them with many different things. Again, the key point of being a good DApp is how good they are in their own businesses.
- So you want to work with the leaders in industries and to help them to build a DApp on Ultrain?
Yes. For the small DApps, any DApp which has hundred of thousand users is amazing. But in the internet world, whoever has millions of users is a very small business.
They have good user base, but also they have to have a very good adoption reason to use blockchain, and they have intention to continue to run this application. And I say it’s a very important.We will define them. I think I’ve talked a lot about our market strategy. I think the most important is to wait for our some of these applications I mentioned to be live and at that time you can see what we actually are.
- how can people use those DApps?
They can download our UltrainOne APP, they can go there and use the DApps we have launched. We are having a strong pipeline towards the end of this month because we just finished our mapping of token. So we will have a lot of the DApps coming on later this month.