What is Ocean Protocol? – Purpose, System, Tokens, and More
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What is Ocean Protocol?
Ocean Protocol is an ecosystem sharing data and services. It sets determined tests on availability and integrity that serve as verifiable service agreements. Besides, Ocean Protocol seeks to take control of the tech giants from the actual data providers or people.
And also, one of the challenges for Internet users today is how to protect their privacy and personal data better. We live in an era where businesses want to access this data from small to large corporations. So here comes the Ocean Protocol (OCEAN), which gives data owners control and consumers the opportunity to access data in the most ethical way possible.
Ocean Protocol is an Ethereum (ETH) based protocol that allows data owners to monetize their data while allowing users to access data simply by paying for it. Further, The protocol uses data tokens that the user needs to access the data sets. These are ERC20 tokens fungible with Ocean’s intelligent contracts and libraries for users who want to publish their data services.
Purpose of Ocean Protocol
- The purpose of the platform is basically to facilitate the exchange of data. And in return, those providing data are rewarded with the native OCEAN cryptocurrency.
- There is Ocean Market, an open-source data marketplace. Currently, it runs on the Ethereummainnet. However, the developers plan to roll out the platform on other networks as time goes on. Ocean Market has Automated Market Maker (AMM) and makes automatic pricing possible. So, there is also a pool of AMMs for each data token with low gas rates.
- Its compatibility with Ethereum allows crypto wallets to serve as data wallets, crypto exchanges as data exchanges, etc. In addition, Ocean Protocol’s mission is to unlock data, spread wealth and power, stay within ethical and legal limits, and resist censorship and untrustworthiness. These goals are critical to its high-level goal of spreading the benefit by allowing everyone to access and monetize data.
Ocean Protocol System
Ocean Protocol System describes the overall design of the protocol with its ecosystem, tools, and various stakeholders connected. Besides, Developers are at the core of the entire system, as it is their job that leads to growth and revenue generation for the data ecosystem.
Various tools power the ecosystem; all have their unique selling points. They include Oceans Market, where you earn rewards in the form of OCEAN tokens by selling data or betting on data to make a percentage of transactions. It is possible to convert data assets to crypto quickly. As a result, cryptocurrency wallets are used as data wallets and for data management. The same goes for data exchanges, data cooperatives, and much more.
Ocean Protocol Tokens
This token launched in 2017 is an ERC20 token that serves multiple purposes on the Ocean network. These include buying and selling data assets, investing in data, and community governance. The token supply amounts to 1.41 billion tokens. 51% of this volume distribute based on a similar schedule to the Bitcoin funding neighborhood project.
There are 347 million ocean tokens in circulation. Users can also create their decentralized marketplace. There, they can exchange assets and data services. In the market, data providers and consumers connect. Consumers buy an encrypted reference to the data. Therefore, data owners will always have complete control of their data.
Advantages and Disadvantages of the Ocean Protocol
- The Ocean protocol offers a balance between data commercialization and privacy protection.
- Ocean protocol offers several products that make it possible. First of all, it is a data ecosystem platform allowing users to upload, store and control access to their data even while monetizing it.
- The second product is the data market. It facilitates the exchange of data assets and connects buyers and sellers.
- Whether you are a business organization, a government, or an individual, you can buy or sell data assets on the platform.
- Speaking of disadvantages, it runs only on Ethereum means that users on other networks will not have access.
- Ethereum’s scalability issue affects the platform as well.
How do you mine the Ocean protocol?
Mining Ocean Protocol on Android is straightforward. You need to install an application called MinerGate. After installing it from Google Play Store, create an account, and you are ready to mine Ocean Protocol on your Android.
Ocean Protocol has demonstrated its potential and obtained several partnerships, which puts it in a good position for the future. Its target is high, and the implementation so far shows that it is pretty achievable. Ocean protocol unlocks the actual value of the data. At the same time, it is trying to control the tech giants from existing data providers. Knowing that the ownership and privacy of data are secure, people will have the confidence to share it easily, opens up access to data, connecting supply with demand.
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