What is the Ocean Marketplace and what does trading data mean?
The contemporary world’s economy is mainly driven by the exchange of goods and services but has only been shifted to a different development through monetizing data and exchanging them as digital tokens, which is exactly what Ocean Protocol has managed to achieve.
Prepare to journey into the world of data exchange on the Ocean Marketplace with Bitkub Academy!
What is the Ocean Marketplace?
The Ocean Marketplace is a data exchange platform in the digital world, wherein users can store and encrypt data to further distribute them to other interested users, wherein the particular data can be pre-set to allow certain users the right access to the data, as well as the duration of access and indicated price, too.
In short, when data is stored on a platform, users can pay with the OCEAN token, the platform’s utility token, to be provided the right to access said data.
You may be wondering, how is encrypted data kept private and secure? Well, that’s the OceanDAO’s job. The platform’s DAO (Decentralized Autonomous Organization) is responsible for managing, developing, and altering certain operation aspects through the collective voice of OCEAN holders.
What’s more is users aren’t required to know or trust one another, as the platform is also run by smart contracts that allow secure and transparent functions on its own, whilst enabling verification of the procedures as well.
What are Datasets (Datatokens)?
Datasets are a form of digitally-stored data that cannot be seen by the naked eye, but it is rather encrypted and stored as private data that can be from personal to business-related information that can be potentially beneficial for others on the market.
Datatokens are ERC-20 standard tokens that maintain data on the Ocean Protocol platform through encryption. One data file is comparable to one token, which can be labeled differently according to its utility and purpose.
Data files accessed by other users can be a means of raising funds through IDOs as well (Initial Data Offering), wherein the data’s initial owner would record the datatoken, much like minting an actual token of their own, for other users to purchase it as a representation of the data of interest.
More interestingly, the file and dataset still display historical data regarding the alterations made to it in the case that other users want to benefit from new and fresh data for analytic purposes.
Furthermore, users can download example files to verify the authenticity of datatokens, as well as confirm the actual presence of the stated data, proving as a well-set precaution for buyers.
Ocean Marketplace offers more
Other than enabling users to exchange data with the OCEAN token, the Ocean Marketplace also functions through the platform’s AMM (Automated Market Maker), facilitating immediate exchanges without the need for order matching.
In order to function as such, a liquidity pool is required, wherein users can lock their OCEAN token to provide liquidity. Though it’s called staking, in practicality, it is rather allowing users to be liquidity providers (LPs) that are rewarded gradual returns for their contributions and data sales.
The liquidity pool enforces technology much like the Balancer platform, which allows liquidity provision with OCEAN tokens. LPs can provide liquidity in a flexible proportion or don’t even need to pair their tokens.
By being an ERC-20 standard token, users can draw their newly-acquired datatokens to other projects on the Ethereum network, such as DeFi protocols (Decentralized Finance). Tokens can be stored on MetaMask wallets as well.
For contribution to their purpose, Ocean Protocol supports users to create their own data marketplaces by building on Ocean’s initial framework and coding, further pushing forward the cause and widespread share of transparent data access.
With the provided information taken into account, one can summarize that in the age of ever-evolving technology for convenience and meeting needs, the world is driven by data and statistics. Such conveniences can even help analysts to employ the use of traded data on Ocean for business model enhancements.
It has become apparent now that whether it's tangible or stored as digital forms, data is valuable, and everyone has varying needs for it. Sharing data and information can create a transparently coherent ecosystem that pushes the boundaries of previous limitations out of the way, allowing the progression into an open-access economy where digital data is accessible by everyone.