Beetoken Crypto-Decentralized Sharing Economies
What Is Beetoken Crypto?
What Is Beetoken Crypto?
The Beetoken crypto considers itself the future of the decentralized sharing economy. The Beenest is the first decentralized home-sharing network built on top of a set of Bee Protocols that connects hosts with guests without taking any commissions.
So to start out, what problems is the Beetoken crypto and Beenest trying to solve. Number 1, they are aligning incentives between users and hosts. For example, look at Uber, in the early days drivers made a pretty good salary. Drivers today earn far less compared with early years, yet costs per rider have not decreased. Intermediaries like Uber and AirBnB increasingly extract value from both hosts and users as the network grows.
The second problem with home sharing economies is the platforms use multiple intermediaries to conduct their transactions. In the current centralized platforms, transaction fees can range from 10 to 22 percent. Beenest will charge 0 percent commissions to hosts and guests utilizing the Beetoken. Using the betoken you bypass financial institutions, currency conversion fees, and foreign transactions fees
There is only a tiny bit taken as gas, in addition to a nominal insurance fee to help cover host liabilities.
To welcome newcomes you can use fiat, and other cryptos. You get charged 1% comminssion for Btc, eth, or any other erc20 token. If using fiat you get charged a 3.99% commission.
They are also looking into solving two other major problem having to do with reputation and transparent reviews by utilizing the blockchain. How does this all fit together, how does the team plan to get this functioning.
Beetoken Crypto PAR Protocols
Well this will all be accomplished through the Bee Protocols called P-A-R-payment arbitration reputation. As we know the Ethereum platform is still in its infancy and second layer protocols are pushing it to become more suitable for something as a sharing economy. The Bee Protocols will benefit Ethereum by providing solutions for trust-less decentralized payments and the inherent problems of any network: conflicts and malicious users.
Beenest is built on the pillars of the Bee protocols and other existing second layer Ethereum protocols. The early implementation of the dApp understands the limitations of the Eth blockchain so it properly switches between on-chain and off-chain use of the blockchain. Here is a image showing how this will function.
What is great is the protocols are designed so existing sharing economies like AirBnB and Couchsurfing can hook into the PAR to tokenize their offerings.
The Payment protocol is used to send and receive tokens held until fulfillment of the service. Payment lives at the core of the protocols, Beenest uses the bee payment protocol to allow guest to pay host for bookings, both guets and host send bee tokens to the payment smart contracts. If the booking checkout date passes, and no conflicts arise the contracts dispatches the tokens to the proper addresses. In case of a conflicts, the entire sum gets held in a third arbitration address that the Beenest dApp proves.
The Arbitration Protocol is used to solve disputes through trust-less voting. Every system of payment requires trust, and needs a third party to mitigate misbehavior. The bee arbitration protocol is the hub for dispute resolution. Participants stake bee tokens to the protocol contract in order to participate in the arbitration network.
Arbiters signup on Beenest to join the arbiter pool by staking tokens to the arbitration protocol, every single arbiter has a reputation score that fluctuates based on decisions made. When a dispute is initiated, a panel of at least 5 arbiters will be selected from the pool. The likelihood that an individual is selected to join the arbitration panel is calculated using this formula.
(# of betokens staked by arbiter/total # of bee tokens staked by all arbiters)*(1-arbiter appeals rate)/(1-average arbiter appeals rate). Here is an image showing how disputes will be handled within the arbitration protocol.
The Reputation Protocol is used to manage reputation scores for all P2P entities. It computes and maintains rep scores of verified entities on the Ethereum blockchain. A great feature is any existing and upcoming sharing economy apps or dApps can fetch the reputation of any entity, with a breakdown of how that score was calculated. The reputation score is an integer between 0 and 100. The rep score is an average between there rep as a guest, host, arbiter, buyer, and seller. Beenest updates the reputation score based on how hosts and guests act on the platform. As assumed good host with high reviews and no cancellation have high scores, than those with low reviews and many cancellations.
Now let’s take a look at the cryptoeconomics of the Beetoken crypto. The token is used to incentive good behavior and punish malicious behavior. The incentives to host and property managers is increased revenue. AirBnB charges an average 20 percent commission, so say a host gets booked for 5 nights at 200/night will end up earning 1000 on Beenest, compared to 800 on Airbnb. Zooming out, you can see that this could result in 15,000 dollars of missed earnings per year.
Guests will enjoy increased net worth, as the network effect implies as more guests use the platform, volume increases which enables them to book more properties using the same amount of betokens. They also enjoy decreased costs not only thorugh the zero commissions, but also a guest will pay less if they have good repuatiion scores, as they will not require a high security deposit. Finally the enjoy time savings, as if they are canceled on or the guest needs to cancel, the arbitration will guarantee the funds will be returned in a timely manner.
Here is something very interesting, the Beetoken PAR protocol will not just be used by BeenEst, they are inviting third party developers to develop and create their own sharing economies. This is great because they won’t have to hire Eth developers who are paid 1.5x more than regular full stack devs, which means they wont have to create and audit smart contracts from scratch.
Now Chico Crypto loves working products, and they do have a private alpha on the test net. Unfortunately it is private, but the beenest alpha will go live in Quarter 1 of 2018. Also in Q2 the launch of the bee protocls on the testnet.
In Q3 of 2018 they will launch the bee protocols on the mainet, and in Q4 they will onboard 2-4 dapps onto the Bee Protocol. In 2019 they plan to expand to up to 5 major US cities, and have 5-10 dApps on the bee protocol. 2020 and beyond they will go global and target London, Korea, and Singapore and plan to have the betoken as the golden standard of sharing protocols.
Moving on to the token sale, their will be a total supply of 500 million Bee Tokens. They are targeting a token sale amount of 15 million USD. 30 percent will be up for grabs in the public ICO, 25 percent are held as a company reserve, 15 percent to team and advisors, and 30 percent held as a community reserve. The funds for team and advisors is on a year vesting schedule, which is great because we don’t need major dumps right when the token is released! Here are how the funds will be used after the token sale. Great they are putting most of the money towards engineering development and marketing.
Lets switch gears and take a look at some critical members of the team, Number 1
Jonathan Chou is the CEO and Co-Founder he was the former lead of security and fraud division at Uber.
Tony Tran is the CTO and Co-Founder-he is an expert in machine learning and software development. He has formely worked at Uber and helped create machine learning models to prevent fraud.
Ali Ayyash is the Lead Engineer and Co-Founder-He has 5 years of experience building a wide range of software running on phones, cars, and in the cloud. Ali led initiatives at google cloud to scale the ever growing clients like SnapChat and Pokemon Go.
The advisers are nothing to shy away at either. Richard Ma is the co-founder and CEO of Quantstamp, Can Kisagun Cofounder of Enigma, and I love Enigma. Kevin Zhou is the co-founder of Galios Capital and adviser to Enigma. Here is a list of the rest of the advisers with their qualifications.
Well viewers, this is a team that I think can pull of the decentralized home-sharing idea, and the fact that they are making the PAR protocol to be used by other developers is amazing. The project definitely get the chico crypto seal of approval, and can’t wait to begin using the dApp once released. Well until next time viewers, Cheers!