It is “a sustainable project that realizes continuous assistance by supporters for creators, who challenge problem-solving, through crypto-economics”.
It is a technology designed for continuous support for creators. Anyone can build decentralized systems with Dev Protocol by developing applications called “Dapps”.
Dev Protocol is “a completely decentralized on-chain governance middleware protocol”. It has a potential of bringing rewards for both creators and patrons through the staking of Dapps that are developed with Dev Protocol. The very first Dapp of Dev Protocol is Stakes.social(*), which allows people to support Open Source Software (OSS).
The blockchain based financial system that doesn’t rely on third parties, which generates a series of transactions, composed mainly of Dapps, is called “De-Fi (Decentralized Finance)”.
How Dev Protocol works
Dev Protocol is based on a blockchain platform called “Ethereum”. More specifically, it is developed on the basis of “ERC-20”, a token standard for Ethereum blockchain.
“Token” is a kind of original cryptocurrency or crypto-asset minted by blockchain technology. The most famous tokens are Bitcoin and Ether (a token of Ethereum). Unlike Bitcoin, Ether is equipped with smart contract function. Tokens on Dev Protocol also have smart contract function, and they are called “Dev token”.
At stakes.social, which targets OSS projects, rewards will be distributed to both OSS developers and supporters. The thing is, staking OSS projects by supporters’ Dev tokens contributes to the blockchain network, and stakers will be unable to use the tokens temporarily.
The reason why Dev Protocol decided to make use of a platform that is equipped with a smart contract function is “making it possible to realize trustworthy transaction without a third party”.
Notes for the use of Dev Protocol
Since Dev Protocol is an ERC-20 token that operates on Ethereum, it is necessary for you to consider “gas fees”, a commission for Ethereum, when we start operating Dapps or obtaining Dev tokens.
When we transfer cryptocurrency by blockchain, we pay a commission for miners of the currency. Dev Protocol is developed on the basis of Ethereum, so we are obliged to make a payment for it in return for the transaction, which is called “gas fees”. The payment of fees is always generated on the Ethereum platform.
Transactions in Dev Protocol are also subject to the payment of gas fees. We should keep in mind that there is always an opportunity for paying the fees in the process and think of a way to transact with fewer gas fees as possible. In addition, those who are not developers of Dapps will also be asked to pay gas fees when they buy Dev tokens to support.
In stakes.social (https://stakes.social/), staking a reward that is produced by OSS supporters’ staking is allocated to both developers and supporters. Developers can start monetizing their projects without changing their OSS that has been public so far.
Dev Protocol’s goal
Dev Protocol is willing to support creators, who tackle and solve social issues, through crypto-economics. However, we think this feat has three major challenges: (1) Economic value, (2)Sustainability of projects, and (3) Project management.
In this section, we’d like to briefly explain the goal of Dev Protocol by citing open source projects as an example.
(1) Economic value
Open source projects and their source codes are open to the public under certain terms and conditions in expectation of being widely used for solving social issues. We aren’t required to pay for it most of the time when using them, because they are open source. This situation makes it more difficult for OSS projects to convert their value into the market currency, which we use every day to evaluate the value of items.
A third party could review and give an external evaluation to calculate the value of creators and their works. However, in Dev Protocol, we can visualize as well as value economic evaluations in real-time in a more natural and objective way by “social tokens”(*).
As a result, creators can eventually get the value of their works as an index, and at the same time, they get to know of another index that tells them what kind of open source products with the economical value that they can develop.
Those who use open source projects can check the condition of their support by social tokens, so that they can make use of evaluation by the number of stars, reviews by text, the number of downloads, etc as an index to know whether the quality and the activities of projects are beneficial for solving issues.
Social tokens are tokens issued by an individual or by a community. They are linked to the individual or the community that issued the tokens. “DEV” is a token associated with Dev Protocol.
(2) Sustainability of projects
In many cases, creators have to keep providing their time, dev environment, networks, server resources, and so on at their own cost in order to continue their OSS projects.
Do they really have to sacrifice themselves too much for continuing beneficial activities that will solve social issues? In Dev Protocol, supporters (patrons) can provide funds for creators by staking(*) social tokens, and at the same time, supporters can get profit through their long-term staking.
Staking is a way to continuously get profit by holding cryptocurrency, not by selling or buying it. The system works only with cryptocurrencies that you are allowed to stake. You can get rewards in the end by holding tokens, since it contributes to the maintenance of the network. In Dev Protocol, staking is done by DEV.
(3) Project management
Creators of OSS projects are needed to play other crucial roles, not only as the creator of the project, but also an owner. Whenever they get commits from contributors, they sometimes find it difficult to decide whether they should accept the pull request or not. Hence, their authority is centralized.
The use of social tokens enables creators to manage projects through staking. This will make it possible for them to convert centralized project management into a more decentralized one, so that an owner and their supporters can manage projects under the common governance.
In addition, thanks to the unique Web3.0 technology, social tokens can be integrated in a flexible way to various web platforms as well as decentralized services to accelerate the growth of their projects.
*Dev token and property token
As previously mentioned, Dev tokens enable you to stake projects. Property tokens are like stocks or shares for creators. By using property tokens, creator rewards will be allocated to creators, while staking rewards will be allocated to supporters. Those who are involved in the project can participate in the project management by giving them property tokens. Dev Protocol is providing the system of such tokens to alleviate creators’ burdens and to realize sustainable support by supporters.