This is the first of a series of Elastos DApp Reviews. In my hunt for interesting blockchain use cases, substantive projects, and promising tokens; as it appears that Elastos is attracting quality worthy of attention.
FRESCO caught my attention with their announcement last month to launch an Initial Coin Distribution (ICD). What a novel, wise, and refreshing approach. Breaking free from the models that many utility tokens are exhausting, FRESCO intends to create an awareness and understanding of a world many are ignorant and unexposed … art.
FRESCO is utilizing blockchain technology to elevate and reconnect the existing art ecosystem. The FRESCO ecosystem is positioned to connect the disjointed participants, recognizing the value of diversity and forming a network to fuse strengths.
High barriers to entry permeate the current art market whether an artist, attempting to establish presence; a gallery, selecting a valuation method to determine worth; a museum, competing for donors and maintaining value to attract visitors; or a collector, conveying level of interest and purchasing power.
FRESCO is positioned to redefine how art is valued, authenticated, and shared with their network comprised of the following:
FRES Cash – the token – token holders may nominate FRES Cash to specific artwork on the platform.
FRES Trust – a transparent, accessible, anonymous, immutable sum of the total value of FRES Cash allocated by users on FRESCO platform.
FRES Edition – allows owners to create a digital asset on the FRESCO platform with a unique blockchain ID. Owners may enjoy the appreciation of the increase in FRES Trust and realize profits by trading for FRES Cash.
This system is independent of ownership or any transfer that occurs outside of the FRESCO ecosystem; individuals can explore and invest in art without actually possessing the physical asset.
FRES database – As the system grows, the index has the potential to create a new indicator of trust, as it broadens and expands the audience of consumers and contributors by giving smaller, new participants an entry vehicle and providing technological advances to the experienced.
The ERC20 token is held in the FRES Wallet, comprised of a wallet address, FRES Cash Balance, Trust Value, and FRES art transactions.
The whitepaper provides countless examples of use cases for each participant. The FRES Token shows promise of successful growth through gamification. Owners are able to experiment with their own perceptions of potential value and determine the number of FRES Editions to offer.
Price of FRES Edition = Total FRES Trust / Quantity of FRES Edition
In order for a FRES Edition to be considered successful, all the FRES Editions must be sold within a 24-hour window. If unsuccessful, the owner may adjust the model accordingly until arriving at a successful issuance.
Once issued, owners may promote artwork and FRES cash added to the FRES Edition (from owner and other token holders) will increase the FRES Trust of all FRES Editions.
A combined example from the whitepaper:
Owner has artwork “The Eagle” with 200,000 FRES trust, and successfully creates and issues 100 FRES Editions. The price of the issuance = 2,000 FRES Cash (200,000/100). If the holder of one FRES Edition “The Eagle” allocates 10,000 FRES cash to his/her edition, all other 99 FRES Editions will enjoy the appreciated value to 2,100 FRES Cash [(200,000 FT + 10,000 FC) / 100 FE].1
Owners of FRES Edition are able to resell FRES Editions, transfer ownership and recognize FRES Cash. With increased user adoption, the project will release a peer-to-peer exchange for buying and selling FRES Editions.
Token Supply and Distribution
Token supply is fixed at 500,000,0002
300,000,000 – ICD
100,000,000 – FRESCO Foundation
100,000,000 – FRESCO Team, Advisors, and Early Seed Investors
My reservations surrounding the absence of a vesting or lock-up period are mitigated by the quality of members of the core team, the unique and thoughtful design of gamification (fiscal policy/incentive to use) and clear commitment to the vision.
The team. Co-Founders Roy Huang and Ting Liu, bring combined experience in creation, financing, appreciation, curating, and technology. They are recognized as exhibitors and speakers in several well-known academic and art institutions. Roy Huang will be a featured speaker at the upcoming Basel Arttech Blockchain Connect next month. They have attracted top talent in engineering, curation, research, and business. Their advisory board includes multiple specialists in the areas of technology, art, finance and social media. I can personally attest to their commitment to creating awareness and dedication to educating users, as they managed to pick up one of my tweets, create engagement, and spark interest in multiple works of art.
I believe, at the time of writing, it is not too late to support this project and participate in the ICD. Unlike “Free Airdrops,” one must demonstrate their commitment to the field, project, and FRESCO vision by taking a 100-question quiz. Following the Proof-of-Work model, the degree of difficulty of the quiz has increased each week. The questions involve art history and the whitepaper.
Currently, the plans include securing strategic partnerships within the art field, launching the Alpha version in September 2018, and integrating with the Elastos platform in early 2019.
This post is for informational purposes only, nothing herein shall constitute legal advice.
1, 2 Fresco Whitepaper, (accessed 5_30_2018), p. 33, 84