DIRT (Decentralized Incentive Registry Token), a startup that wants to develop a protocol for “decentralized information curation”, has successfully concluded a USD 3 million seed funding round.
In total, 26 prominent investors were involved, including Coinbase co-founder Fred Ehrsam, Pantera Capital, and Digital Currency Group. The final split was between 15 venture firms and 11 angel investors.
Yin Wu, DIRT’s founder, has announced the platform will be released within the next quarter, as well as an accompanying token based on the Ethereum ERC-20 standard.
In an age of accessible information, anyone can post information on the internet. For the most part, people assume what they read is true if it sounds reasonable, as there is no real method that information is verified.
DIRT’s protocol could change all this or even transform how existing information sources work. Wikipedia could potentially become an academically-sound source if the DIRT protocol were implemented.
Another potential application could be a decentralized Better Business Bureau or a “token curated registry” (TRC) for reputable ICO projects. Other TRCs for reviews of restaurants, music, video, and much more could be other use cases.
The platform works by using the DIRT protocol, with third-party Dapp developers to create TRCs.
The TRCs are lists that encompass specific topics, and users can either submit or validate information that should be on each list. Users then back up their claims with tokens, “putting their money where their mouth is”.
Wu said, “If anyone in the network finds misinformation, they can also challenge the dataset and say this is incorrect. In order to initiate a challenge, you need a stake token. The challenge then begins with a vote. Anyone in the network can vote with tokens… Whoever wins the vote, wins the tokens; if you lose the vote or voted for the wrong side, then you are penalized.”
This makes sure users don’t submit wrong information intentionally. The financial requirement and incentives make sure users don’t spam information either, as it becomes economically unfeasible to spread rumors or false info about a certain topic or person.
DIRT is still not sure on how tokens will be distributed but may follow suit like many other blockchain startups and announce a token generation event in the following months.
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