It’s been an incredible last few months with lots of work being done daily. It’s made us realize we need to take more time to update the community on all of the marketing activities taking place. In order to keep everyone better informed, we’re going to be posting marketing updates on a more regular basis. This is the first in a series of updates over the next weeks to bring you up to speed.
Everyone knows the Ask Me Anything format is a mainstay of the crypto world, and they weren’t in short supply this month. Co-founders Jack and Stan spent the last two weeks hitting telegram hard with 14 AMAs in 7 languages. These ranged in length from 1.5-2 hours, with the Binance English community alone submitting over 900 questions. Most importantly, this gave SKALE exposure to over 500,000 members of the Binance, Huobi, Pantera and WeChat communities. AMA's were done in the following groups
- Huobi: English - Chinese- Vietnamese - Russia - Turkish
- Binance: English - Chinese - Traditional Chinese - Vietnamese - Ukraine - Russia - Turkish
- Pantera - Korea
- WeChat China
TOTAL REACH - 500,000
Questions came in every flavor imaginable, and though Jack and Stan couldn’t answer every question, they tried. We thought you might enjoy reading a few questions that were chosen from the hundreds asked by the Binance and Huobi communities around the world. So here it goes:
Q: Most investors only focus on the price of the token in the short term instead of the real value of the project. Can you tell me the benefits of holding $SKL for long term investors?
A: This is a great question and I think it brings up a few very good points to clarify:
We don't think of anyone as an investor. SKL is a utility token, a piece of software that helps the network function. Everyone who holds a token is a co-owner of the network. With this token you can participate in and govern the network.
With that in mind, there are many benefits of holding SKALE. We feel passionately about what this community is building and the companies, developers, and organizations that are going to purchase and use SKALE Chains. We want to solve their problems and make them successful. Every token holder can play a role by staking their tokens and adding security to the network.
Also, I want to tell everyone that this project is just kicking off. The core team worked for three years on this before launching the token and has 4 year vesting schedules with a one year lock that didn't start until genesis epoch. We have a long term focus and have many big goals. Please join the journey with us and be a part of it. We are here to make a big impact and then let the details fall into place as they should.
Q: How will the migration of Ethereum from Proof of Work to Proof of Stake affect the SKALE Network?
A: SKALE is going to benefit greatly by the shift to Proof of Stake on Ethereum, as will Ethereum by SKALE's app specific blockchain architecture. The Ethereum ecosystem continues to grow, as it is abundantly clear developers have chosen to develop on it. It’s also clear other chains recognize this and the smart ones are trying to build bridges to facilitate the growth of the Ethereum ecosystem.
ETH2 is a net positive for decentralized business models in general. While there will be some lost functionality due to sharding, the positive impact over time will significantly outweigh any technical issues like composability loss and change management as dApps move to the new network. We have to realize this will take some time and be patient during the process. Short-term gains from ETH 2 are overstated while the long-term gains are severely underestimated, especially when combined with Ethereum scaling efforts like SKALE and Layer 2 techniques.
This is because ETH2 is not designed to single handedly solve all of the scaling issues of the Ethereum Ecosystem. It is designed to ensure the backbone of Ethereum is in a strategically optimized position to work with Layer 2 and other scaling techniques to handle the volume of hundreds of millions and eventuall 1 billion plus users.
If there was only linear growth, ETH2 would suffice, but for non-linear exponential growth, ETH2 can only fulfill its purpose and role in conjunction with other scaling techniques such as the SKALE Network
Q: There are several lists of the scalability of the block chain. There are systems such as sidechain / plasma / sharding / zero knowledge proof, etc. Why did SKALE Labs choose the side chain? What do you think is the advantage of a sidechain over other systems?
A: To be clear, SKALE is not a sidechain in any traditional sense. SKALE is a decentralized network of nodes that use random assignments of nodes, rotation of nodes, and stake on nodes to create a pooled security model, which is similar to sharding in many ways. You can think of each SKALE chain as a dynamic shard or an elastic blockchain.
One amazing feature is that they can be used in the same manner as a sidechain, which means great user experience, no issues with data availability, good capital efficiency, and high performance --- speed, low cost, fast finality. We selected this model over other models because at the end of the day it is still a blockchain with blockchain security. Other techniques require software to run on a centralized server with human workflow constraints and requirements on them to watch their balances. This impacts user experience and decentralization, and was not worth it in our opinion. It may be good for many use cases, but we are targeting the largest category of growth, which will need amazing UX and true decentralization.
Q: Could Eth 2.0 and polkadot make Skale redundant since scalability has already been solved by them?
A: ETH 2 will still be on a shared public blockchain with a finite number of shards. SKALE is different because each application gets its own version of an ETH blockchain via their SKALE chain. SKALE brings modern architectural database design to Web3.
If there was a big highway that had a major traffic jam, you can imagine that is ETH1. ETH 2 is just a much larger highway with many more lanes, but everyone still shares the same lanes. With SKALE each car has its own fast lane that they alone use. They need to exit on and off the main highway to get there, but once on their lane, their car can go FAST!!
Polkadot and other ETH killers have very little developer traction. They have great awareness, but most developers use Ethereum. With SKALE, developers can get instant access to launch ETH applications. I keep seeing questions about Polkadot which is good. It is showing that awareness is spreading that SKALE is built to power Web3 and the next internet. Polkadot has similar goals. SKALE is far more than just a layer 2 solution.
Stay tuned for more...