A Multi-layer Protocol for a sustainable system
XPOP project is a blockchain system that supports transactions and sales of digital assets (music, webtoon, game items, etc.) on their own blockchain which constitutes various token ecosystems.
NFT (Non-Fungible Token)1 is issued as an ERC-1155 token to apply music copyright and game item information on a secure and transparent blockchain. XPOP's goal is to create a marketplace with high liquidity for users to trade digital assets.
The vision of the project is to create a fair profit share system to contribute to the development of the entertainment industry by providing a platform where transactions are transparent to all the stakeholders such as creators, publishers, producers, investors, planners, etc. Each participant can take part in the token economy and governance within the blockchain system they have created.
The transparency that the XPOP blockchain ecosystem provides yields efficient and effective copyright protection and compensation distribution. The platform also enables smooth communication between creators and users of all digital content around the world to take the entertainment market to a new level.
XPOP Blockchain is composed of Blockchain Layer, Interface Layer, and Service Layer. Blockchain Layer is composed of Polkadot parachain technology based on Substrate-EVM.
- Blockchain Layer: Substrate-EVM based Polkadot Parachain
- Interface Layer: XDP(XPOP Decentralized Protocol), XPOP Wallet
- Service Layer: NFT Ownership, Copyright, Proof of Neighboring Rights, Secondary Copyright Management, Payment Payment, Fees, Compensation, Digital Contents DeFi Service
1 ERC-1155: ERC-1155 token enables combined trading of Fungible Items (ERC-20 token) with Non-Fungible Items (ERC-721 token). The ERC-1155 standard was developed by Witek Radomski, CTO of Enjin in Jun. 20182 Non-Fungible Token (NFT): NFT refers to a cryptocurrency that cannot be replaced by another token. An NFT token contains identifying information for something unique.
- Application of Polkadot Technology
Polkadot3 is an interchain project that connects different blockchains to enable smooth data transmission between the chains. Polkadot consists of a relay chain and a parachain. The relay chain serves as a central manager that decides whether to make transactions. The parachain serves as an auxiliary chain that collects and processes transactions. Polkadot has a balanced structure of roles among participants (collector, validator, nominee, and auditor) and connects other blockchains. The characteristics of the Polkadot blockchain include interoperability, scalability, easy blockchain configuration, proof of a forkless future, full security, and user regulation network.
XPOP is built as a parachain of the Polkadot blockchain with consideration for transparency, stability, security, and scalability of the technology, Polkadot allows specialized blockchains to interoperate with each other and increases the scalability of transactions in a safe and reliable environment. XPOP as a parachain can be compiled with WASM through a parallel Polkadot model to connect to the Polkadot network.
Polkadot's relay chain does not implement smart contracts by default. However, parachain enables the function of the smart contract to benefit from Polkadot's security and interoperability features. Polkadot's relay chain provides high security and cross-chain connection while reflecting the runtime logic of XPOP. Thus it was decided that building XPOP as a parachain would be most ideal. With a high degree of flexibility and customization, XPOP will have more freedom to make changes to the chain in accordance with the needs of partners in the network.
XPOP will be developed using the Substrate Core (a key element), which gives it the ability to design and implement the entire runtime from scratch.
The most important element of the XPOP Platform Services is stability. In this scenario, the validator puts the utmost effort into node operations to maintain the stability of the business.In the early stages of the blockchain, the token economy will not be thriving yet, and business opportunities will be limited. The platform plans to recruit members of the committee who can establish a stable blockchain network for an appropriate level of compensation as a solution. The first members of the committee will receive a 5% annual trust deposit compensation for the period necessary to stabilize the business. This compensation plan will remain in effect until 101 companies are registered as validators. The members of the committee also act as managers of the XPOP blockchain and will have voting rights on major decisions related to the XPOP blockchain, such as platform fees.3 The Polkadot project is led by Gavin Wood, the co-founder of Ethereum. Gavin Wood was born in Lancaster, England in 1980. After graduating from the University of York with master’s and doctoral degrees in computer science, Wood consulted for Microsoft Research. He is noted for designing most of the world's first C++ language workbench, and building a Smart Contract Editor, OxLegal. The co-founders of Polkadot include Robert Habermeier and Alistair Stewart.Initially, there must be two validators managed by the XPOP Foundation. As the blockchain expands, the number of validators will increase to 500. With 500 validators, the number of seats can be further expanded in the future as the management structure changes. Each validator will have a 12-month term. When the term is over, all validators including the initial two seats controlled by the foundation will be voted into place by the network users. This ensures a true decentralization of the network.In the long run, DAOs (decentralized organizations) can be set up on the XPOP blockchain for large-scale decisions in addition to the initial validator setup. These DAOs can be managed by a variety of decision-making processes, such as a simple one-vote-per-person, delegate vote, one-vote-per-token, or other complex mechanisms.
- A Sustainable Model of Revenue Distribution via Blockchain
Validator SelectionUsers must exhibit their intention to vote by locking up their XPOP tokens for a certain period of time. The locked token will ensure the right to vote on decisions regarding the governance of the XPOP blockchain. These tokens will be held, then returned to the voters after a certain period of time.
- Reward System and Sustainable Modelling via Blockchain
Delegation & Verifcation Structure
- NFT Copyright and Proof-of-Ownership
DApp operators can conduct business on the XPOP blockchain by verifying the ownership and copyright of digital content such as music, webtoon, and game items. Each digital content registers the copyright holders in the form of NFT (Non-Fungible Token). When the users trade digital content such as sound sources, webtoons, graphic designs, game items, and game characters through the DApp service on the XPOP blockchain, the rights of the owners are recorded on the smart contract.
The ownership process is related to the user's KYC, and the user implements the ownership process while developing their content on the DApp service. When registering the user’s copyright, the user pays a fee with XPOP. The XPOP blockchain then provides proof-of-ownership such as KYC through a special identity verification called XDI (XPOP Digital Identity), innovatively reducing the management risk that the existing management service companies have complicated.
- Neighboring Rights and Derivative Works Management Service
Investors and distributors who have invested in digital content copyright holders and developers of music, webtoon, and games, possess neighboring rights to the digital content. In the existing model, the owner of the adjacent rights may be excluded during the settlement of digital content sales. The XPOP Blockchain provides clear information on settlement for neighboring rights in the process of distribution and sales of digital content of Dapp service providers. The digital content distribution contract requires an extended smart contract at the initiation or termination of an agreement.
- Payment, Fee, and Reward
XPOP project can set up special copyright compensation to promote the sale of digital content and profit share for the copyright holders. XPOP DApp service providers and users can register their works and set copyright fees, while distribution service providers can receive additional copyright fees. The artists and fans can contribute to the ecosystem by purchasing tokens.
- Digital Contents NFT
Staking value mechanism is necessary to maintain the network on Polkadot. Token holders are rewarded with Polkadot for their participation on the network. Similar to the concept of Proof-of-Stake (PoS), Polkadot tokens must be staked to generate new parachains. The staked tokens can be used to stake on NFT tokens. During the initial stage, NFT will exist as an ERC-1155 token. When a new ERC standard is implemented to be compatible with ERC-1155 tokens, it is interoperable with all the blockchains in the XPOP network. the ERC-1155 token is selected because it can manage various types of tokens within one contract. For example, the ERC-1155 token enables the combination of Fungible (FT), Non-Fungible (NFT), and even Semi Fungible (Semi-FT) tokens.
As users expect an increase in the value of game items, artworks, and other forms as assets in NFT, token stakeholders can receive additional rewards for participating on the Polkadot network.