<p><em>Welcome to our series exploring various use cases, technologies, and solutions within the realm of cryptocurrencies. Throughout this series, we delve into different applications, user cases, and the underlying technologies behind crypto innovations. It's essential to note that this series aims to provide informative insights and analysis, remaining neutral without endorsing any specific solution or technology. Our goal is to present diverse perspectives within the crypto space, showcasing the potential and possibilities while offering a comprehensive understanding of the evolving landscape.</em></p><p>What is SPACE ID</p><p>SPACE ID offering a comprehensive suite of services designed to streamline the management of digital identities and domains in the decentralized landscape. At its core, SPACE ID operates as a universal name service network coupled with a one-stop identity platform, offering solutions for individuals and communities navigating the digital realm.</p><p>SPACE ID aims to simplify and democratize the process of discovering, registering, trading, and managing Web3 domains. In the rapidly evolving digital landscape, decentralized identities have gained prominence, and traditional domain name providers may fall short. With SPACE ID, users gain access to an ecosystem where they can navigate Web3 complexities from a single, intuitive platform.</p><p><p>Thanks for reading Crypto Njal’s Substack! Subscribe for free to receive new posts and support my work.</p></p><p>Unique selling point</p><p>While both aspects of SPACE ID offer interesting features, the unique selling points depend on which one you're considering.</p><p>For the platform, SPACE ID offers unified, cross-chain domain management, unlike many competitors focused on specific chains. This allows users to manage domains across multiple blockchains with one platform, offering broader application compatibility. Additionally, the seamless integration with developer tools provided by the Web3 Name SDK & API simplifies integrating Web3 domains into applications, making it easier for developers to build on the platform. Moreover, SPACE ID's focus on decentralized identity sets it apart, as it aims to build a comprehensive Web3 identity management system that empowers users and fosters a more self-sovereign online experience.</p><p>Regarding the ID token, SPACE ID offers direct governance participation to ID token holders, unlike platforms with indirect governance models. This means that ID token holders have direct voting power on crucial decisions shaping the platform's future. Furthermore, ID tokens serve various purposes beyond governance, including fee payments and staking for rewards, creating a more active token economy. Additionally, the growth potential of the platform directly impacts the value of the ID token, offering potential for growth alongside platform usage.</p><p>However, it's important to consider potential shortcomings too. SPACE ID is still relatively new compared to established solutions, which may result in less widespread adoption and development progress. Additionally, both the universal name service and Web3 identity space have numerous competitors, each with its own strengths and weaknesses. </p><p>Ultimately, the unique selling point of SPACE ID depends on your specific needs and priorities. If you value cross-chain compatibility, easy developer integration, and decentralized identity management, the platform might be a strong contender.</p><p>The Token ID</p><p>The token is launched as an ERC-20 token on Ethereum in March 2023. Later it is launched as a BEP-20 token on the Binance Smart Chain. The token ID serves several critical purposes within the ecosystem.</p><p>Firstly, ID tokens grant holders direct governance rights, enabling them to participate in the decision-making process that shapes the platform's future. This means that holders have the power to vote on proposals, changes, and updates to the SPACE ID protocol, ensuring that the community has a say in its development trajectory.</p><p>Secondly, ID tokens are used as a form of payment for various transactions within the SPACE ID platform. Users pay fees for registering and managing Web3 domains using ID tokens. These fees contribute to the sustainability and operation of the platform, incentivizing token holders to actively engage with the ecosystem.</p><p>Furthermore, ID tokens offer staking opportunities. Users can lock up their ID tokens in staking contracts to earn rewards and participate in governance. Staking provides an additional layer of security to the network and rewards participants for their contribution to the platform's stability and growth.</p><p>Lastly, the value proposition of ID tokens is closely tied to the success and adoption of the SPACE ID platform. As the platform grows and becomes more widely used, the demand for ID tokens may increase, potentially leading to an appreciation in their value. This creates an incentive for investors and users to hold ID tokens as they anticipate the platform's continued success.</p><p>In summary, ID tokens within the SPACE ID ecosystem play a multifaceted role, encompassing governance participation, transactional utility, staking opportunities, and value appreciation potential.</p><p>Legal structure</p><p>SPACE ID DAO operates under the governance of ID token holders, who oversee the funds held in the DAO Treasury. Fifty percent of the total net revenue generated on the SPACE ID platform is allocated for the purchase and burning of ID tokens, while the remaining 50% is added to the DAO Treasury and governed by all eligible ID token holders.</p><p>Proposals undergo a two-step process within the DAO. Initially, a draft proposal is submitted to the SPACE ID governance forum. Following community review and discussion, if the proposal meets readiness criteria, it proceeds to a snapshot vote. To pass, a proposal requires a minimum of 50% passing votes from wallet addresses holding a total of at least 5,000,000 ID tokens. Upon approval, the core team executes the proposal, with funding distribution authorized by multi-sig signers elected by the DAO.</p><p>Principles of the Austrian school</p><p>Space ID aligns closely with the principles of the Austrian school of economics, emphasizing decentralization and minimizing government intervention. By operating as a decentralized autonomous organization (DAO), Space ID avoids central authority and relies on community governance through ID token holders. This model fosters autonomy in transactions without central control, promoting a free market environment where natural market mechanisms determine stability.</p><p>Furthermore, SPACE ID's reliance on cryptographic protocols and consensus mechanisms for supply determination ensures transparency and immutability, in line with Austrian principles of natural order in free market mechanisms. The value of SPACE ID tokens depends on market perception and individual actors' actions, reflecting the Austrian school's emphasis on subjective value theory.</p><p>For more information about the relation between crypto and the Austrian school, see my newsletter: <a target="_blank" href="https://open.substack.com/pub/cryptonjal/p/the-economic-paradox-cryptos-rebellion?r=uhu1v&utm_campaign=post&utm_medium=web">The Economic Paradox: Crypto's Rebellion Against Fiat's Rule</a>.</p><p>Competition</p><p>Several crypto coins and tokens compete with SPACE ID in various aspects of decentralized identity, domain management, and governance. Some notable competitors include:</p><p>* Ethereum Name Service (ENS): ENS provides a decentralized domain name system on the Ethereum blockchain, allowing users to register and manage human-readable domain names for Ethereum addresses.</p><p>* Unstoppable Domains: Unstoppable Domains offers decentralized domain names on blockchain networks like Ethereum and Zilliqa, enabling censorship-resistant websites and payments.</p><p>* Handshake (HNS): Handshake is a decentralized naming protocol that aims to replace the traditional Domain Name System (DNS) with a blockchain-based alternative, allowing users to register and manage top-level domains (TLDs) without relying on centralized authorities.</p><p>* Urbit: Urbit is a decentralized computing platform that includes identity management features, enabling users to create and manage their digital identities and personal servers.</p><p>* Namecoin (NMC): Namecoin is one of the earliest blockchain projects that introduced a decentralized domain name system, allowing users to register .bit domain names and manage them through a blockchain-based system.</p><p>These competitors offer similar features and functionalities to SPACE ID, such as decentralized domain management, digital identity solutions, and governance mechanisms. However, each project may have its unique value propositions, target audiences, and technical implementations, leading to competition and differentiation within the decentralized identity space.</p><p><p>Thanks for reading Crypto Njal’s Substack! Subscribe for free to receive new posts and support my work.</p></p><p></p> <br/><br/>This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit <a href="https://cryptonjal.substack.com?utm_medium=podcast&utm_campaign=CTA_1">cryptonjal.substack.com</a>
