As the Litentry Crowdloan campaign for the Polkadot slot auction is more than halfway through, it is now a good time to look back at our journey so far.
Table of Contents
- Pre-summary of Litentry Crowdloan in the Polkadot Batch 1 auction
- What happens to your DOT in case of our success or failure in the Polkadot Batch 1 auction?
- What is coming next for Litentry Crowdloan in the Polkadot Batch 2 auction?
- [Poll] Do you want to see Litentry as a Kusama Parachain?
Pre-summary of Litentry Crowdloan in the Polkadot Batch 1 auction
Decentralized Identity applications are progressively being recognized as public attention switches from mere speculation to Web3‘s penetration of our URL and IRL experiences and its robust, long-term development. In fact, we have seen a 4.5+% growth in our community base for the past month, and, to our surprise, witnessed an explosive growth in the LIT market at the end of November 2021, which highly reflects the boost of community confidence in the future of decentralized identity.
As for the Crowdloan, we have so far raised 1.25 M DOT, where around 76% of the contributions were made before November 11, 2021, according to data provided by Web3Go. Through this crowdloan campaign, we have gained broad support from 5308 contributors who have made a total of 7814 contributions (P.S. the exact contribution amount from third-party crowdloan platforms or exchanges is not counted in, thus the actual number will be more than what is currently shown.) Besides, the mean DOT contributed is 59.39 DOT and median DOT contributed is 10 DOT, among a total of 348,939 DOT contributed through decentralized platforms.
From a contribution size perspective(as seen in the graph below), 62.84% of the number of contributions comes from those who staked 0–10 DOT and 26.75% from those staked 10–50 DOT. In the first graph, we have deliberately eliminated the contributions from Binance, Parallel and Bifrost to enhance accuracy, so the size of individual contribution through third parties(which accounts for 72.69% of the total value) is not indexed/visualized. This data indicates that to a good extent our crowdloan is driven by the general community. Moving next, we intend to engage even broader participation from DOT holders such that the vision of Litentry Crowdloan will be strongly aligned with the general participants.
We’ve established three ongoing partnerships with an exchange and auction loan platforms: Binance has brought us 59.04% of the total contributions through their Slot Auction product, Parallel has brought 11.74%, and Bifrost 1.91%. All of these platforms provide good liquidity of DOT derivatives, security and introduce even more extra rewards for our supporters. It has been demonstrated that auction loan products serve a critical role in helping us reach broader participation and thus gain an edge in the auction.
We, however, are treating the impostors of triumph and frustration just the same. Just as impermanent successes do not define us, we will not be pushed back by temporary setbacks. Given the status quo of crowdloans and rankings, we believe that it’s necessary to re-strategize and consider entrance into the Batch 2 auction. Therefore, here is a detailed explanation of what will happen if we bid for Batch 2.
What happens to your DOT in case of our success or failure in the Polkadot Batch 1 auction?
If we successfully win a slot, your DOT will be locked for a period of 96 weeks and automatically returned to your wallet when the leasing period ends. Your LIT rewards will be distributed linearly during this period in each block.
In case that Litentry fails to secure a slot during the Batch 1 auction, we will continue to bid on the Batch 2 auction starting on December 23, 2021. By then, all DOT contributions in Batch 1 will be automatically refunded to your accounts on December 17, 2021.
We anticipate starting a new Crowdloan on December 18th, and users who choose to continue supporting us will need to re-participate in the Batch 2 Crowdloan Campaign. Then you can contribute to our Crowdloan Campaign through our Webapp, Polkadot.js, Parallel or Bifrost.
Your previous contributions will be recorded, and there will be compensations if you re-enter our Batch 2 Crowdloan Campaign until we win the auction.
The compensation ratio is DOT: LIT = 1: 0.12, the compensation will be distributed once Litentry becomes a parachain. Rewards for Litentry Crowdloan in the Polkadot auction Batch 1 will automatically be expired by then, unless otherwise specified (Binance LIT reward pool, PNS domain name, etc. will not be canceled.)
What is coming next for Litentry Crowdloan in the Polkadot Batch 2 auction?
Litentry Crowdloan in Batch 2 will not only retain Batch 1’s existing reward pool of 20,000,000 LIT (20% of total supply) but will also bring in:
- Referral Program to grow our contributor base. Everyone is eligible for getting their own referral link/code in the Litentry Crowdloan #2. By sharing with one’s friends, both the referrer and referee can earn extra rewards, which will be in proportion to the basic reward of that referee. Besides our Crowdloan Webapp and Polkadot.js, participation through our partner crowdloan channels(Parallel, Bifrost) is also eligible for referral rewards.
- Early bird bonus is retained to show some love to our early contributors: contributions made before December 30th, 2021 will be rewarded with a 10% extra bonus. As aforementioned, around 75.9% of contributions in the Litentry Crowdloan during the Polkadot Batch 1 auction were made pre November 11, 2021. Contributing early can keep up morale in the community, boost the confidence of potential participants, and more importantly, help us build an absolute advantage in the candle auction early.
- Identity tasks with up to 10% extra bonuses, details to be announced. All contributors in the Litentry Crowdloan during the Polkadot Batch 1 auction and Batch 2 auction will be eligible to participate in fulfilling identity tasks and receiving corresponding bonuses.
Meanwhile, do you want to see Litentry as a Kusama Parachain?
👉 Let us know in this Poll on Twitter!
We’ve mentioned that Litentry’s main focus in the near future will be more in Polkadot, but Litentry will participate in the Kusama auction when the timing is right.
Joining Kusama brings earlier adoption and broader usage of our technology and to-be-launched products such as Drop3 (TaskFi) and MyCryptoProfile (NFT Social). Because Kusama is an experimental chain, if a Kusama Slot is obtained, Litentry’s new functionalities will be tested out in Kusama and moved to Polkadot after full stabilization.
The Kusama parachain will be fully community-owned using a DAO. However, we have not fully decided on whether we should create a new token in the Kusama parachain or not, so more to be discussed.
And that’s a wrap! Thank you for reading and supporting us in the journey of becoming a parachain. Until next time.
Further reading:
- Litentry Crowdloan and Polkadot Parachain Auctions by Litentry
- Polkadot vs Kusama | Explaining Litentry Parachain Auction (I) by Hanwen Cheng
- Reward Schema, Cost And Advantage | Explaining the Litentry Parachain Auction (II) by Hanwen Cheng
- Use Cases and dApp | Explaining the Litentry Parachain Auction (III) by Hanwen Cheng
About Litentry
Litentry is a Decentralized Identity Aggregator that enables linking user identities across multiple networks. Featuring a DID indexing protocol and a Substrate-built distributed DID validation blockchain, Litentry provides a decentralized, interoperable identity aggregation service that mitigates the difficulty of resolving agnostic DID mechanisms. Litentry provides a secure vehicle through which users manage their identities and dApps obtain real-time DID data of an identity owner across different blockchains.
