1. The document discusses the need for a "Web3 Data Economy" using blockchain and tokens to open up data access and incentivize data sharing, similar to how cryptocurrencies have opened up and incentivized money transfers. 2. It proposes that Ocean Protocol can serve as the foundational platform and token for this new data economy, fulfilling similar roles that Ethereum plays in the cryptocurrency economy like being the unit of exchange and hosting applications. 3. The goal is to connect data owners with AI companies and researchers to provide more open access to data and tools while protecting privacy and properly incentivizing all parties, helping to shift power away from current large data platforms.

1. @oceanprotocol
Trent McConaghy
The Web3 Data Economy
Ocean Protocol

2. “Don’t be evil”
died a long time ago

3. Facebook’s data
honeypot tipped the
scales in the 2016 US
Presidential election
“…an infamous Russian ‘troll farm’ ...
used Facebook … to influence the U.S.
voting public, mostly through thousands
of fake ‘bot’ accounts and misleading
advertising…” [politico.com]

4. Data is money.

5. Inspiration

6. 2008. “Not your keys,
not your money”

8. Token
Economy
BTC, ETH
Money
Transparent,
Permissionless
Shadow Money
Economy
The Fed, Banks
Opaque, Power
Concentrated
The Token Economy Is Opening Up Money

9. Just as We Opened Money, Let’s Open Data
Shadow Data
Economy
FB, GOOG
Token
Economy
BTC, ETH
Web3 Data
Economy
Ocean
Money
Transparent,
Permissionless
Shadow Money
Economy
The Fed, Banks
Data
Opaque, Power
Concentrated

10. Towards a
solution

11. Have both:
Goog, FB, a handful
$$
Have ++ data
(1000 enterprises)
Have ++ AI expertise
(1000 AI startups)
AI is the linchpin

12. Connect 1000+ enterprises
With 1000+ AI startups
All get lotsa data & AI
Connecting substrate
Connect them!

13. Connect data owners with data scientists
Data market DM
AI commons
Data science tools
(sklearn, Tensorflow, ..)
DM DM DM
Data scientists
With problems to solve
Enterprises, govts, NGOs
With data & compute
Connecting substrate: Web3 data incentivization

14. Block rewards to incentivize data supply
Add to data commons, make $

15. Web3 data incentives
Avoid data escapes: bring compute to the data
f(x)
private
data
modeling
algorithm
privately train
model
private
model
model
predictions
Data stays
behind firewall

16. Framings

17. “SABRE for data”
SABRE is metadata/substrate for airline tickets. Ocean, for data itself.
Consume data:
Data scientists,
Biz analysts
Supply data:
Biz’s, NGOs,
Governments
Data
market
DM AC DM
AI
common
s
DM DM AC
Web3 data
Consume tickets:
Consumer
travelers, biz ppl
Supply tickets:
Airlines
Expedia Kayak 3rd party
reseller
Easyjet
website
Travel
agent
Hip
munk
BA
website
Travel
agent
SABRE

18. “AI Compute Pipeline”
f(x)
data
provider
algorithm
compute
provider
storage
provider
analytics
further
processing
curation

19. “Inter-Service Network”
Algorithm Tribe
Storage Tribe
analytics
further
processing
curation
Compute Tribe
Data Tribe
curation
curation
curation

20. “Network of Networks, for AI Stack”
Crypto perspective:
Ocean is L2 on L1 AI perspective:
Ocean is L1

21. User
Experience

22. Keep Data Science Tooling, Add Crypto
*

23. New powers for data scientists
•Way more data. Data commons. Enterprise data
without data escapes via on-premise compute.
•Provenance in data & AI training. Goodbye data
honeypots.
•More $. For generating data. For cleaning, labeling,
feature engineering data. For algs. For curation.

24. Manage Datasets

25. Curation of Datasets & Algs Via Bonding Curves

26. Applications

27. Q: For autonomous vehicles, need 500G driven miles. How?
A: Together. MOBI: 70% of auto production. Toyota, BMW, ..

28. ConnectedLife:
Way more data for Parkinson’s research

29. Grow Asia (WEF Spinoff):
Help small farmers manage their plots & protect biodiversity

30. Govt of Singapore Data Authorities (IMDA):
Give policymakers optionality to better address privacy,
yet benefit from AI data

31. MusicMap : Curation

32. AI Commons:
40+ UN Agencies,
AI XPRIZE Using Web3
Data Substrate
in #AIforGood

33. What does a data
economy look like?

34. Inspiration: The Token Economy
Base Layer
Economic
Last Mile
Reserve
currency,
store of
value
BTC
App
funding
platform
Ethereum
App
platform,
unit of
exchange
Ethereum
Custodians
/ Wallets
Coinbase,
Trezor,
Metamask
Mining
Bitmain
Token
Exchanges
GDAX,
Binance
Utility Last
Mile (Dapps)

35. Q: What will the Web3 data economy look like?
A: ≈ The Token Economy
Reserve
currency,
store of
value
Data/asset
funding
platform
Data/asset
platform,
unit of
exchange
Custodians
/ Wallets
Mining:
Service
networks
Data
Exchanges
Data Economy
Base Layer
Economic
Last Mile
Reserve
currency,
store of
value
BTC
App
funding
platform
Ethereum
App
platform,
unit of
exchange
Ethereum/
ETH
Custodians
/ Wallets
Coinbase,
Trezor,
Metamask
Mining
Bitmain
Token
Exchanges
GDAX,
Binance
Utility Last
Mile (Dapps)
Token Economy

36. How do we instantiate a data economy?
What does
each of these
look like?
Reserve
currency,
store of
value
Data/asset
funding
platform
Data/asset
platform,
unit of
exchange
Custodians
/ Wallets
Mining:
Service
networks
Data
Exchanges
Data Economy

37. Reward making relevant data available
Via staking assets as a signal of relevance
More stake = more block reward
when serving data asset X
A bonding curve sets price of an
asset’s token
Ö / ḌX
= # Ocean
tokens per
drop
(stake) in
asset X
Supply of ḌX
= # drops of X minted

38. Easy “mini ICOs” of each data asset
Bootstrap
liquidity
Ö / ḌX
= # Ocean tokens
per drop (stake) in
dataset X
Supply of ḌX
= # drops of X minted
Start

39. Reserve currency for data assets
Ö / ḌX
= # Ocean tokens
per drop (stake)
in dataset X
Supply of ḌX
= # drops of X minted
Area =
Amount of Ö
staked,
in reserve

40. Connect AI data & compute networks.
Paid services are purchased with tokens.
Algorithms
Storage
Analytics
further
processing
Compute
Data
Unit of exchange for
AI data & compute

41. Together, fulfill base layer of the data economy
Reserve
currency,
store of
value
Ocean
tokens
Data/asset
funding
platform
Ocean
Data/asset
platform,
unit of
exchange
Ocean
Area =
reserve
Liquidity+

42. Catalyze the last utility mile & last financial mile
Custodians /
Wallets
Mining:
Service
networks
Data
Exchanges
AI apps …
++ user acquisition channels, ++
capabilities for users
Existing data exchanges:
++ data to sell
Crypto exchanges:
++tokens to sell
++ tokens to
manage
++capabilities for users:
data science superpowers
& buy/sell services via wallets

43. The Web3 Data Economy Will Look
A Lot Like The Token Economy!
Reserve
currency,
store of
value
Data/asset
platform,
unit of
exchange
Data/asset
funding
platform
Custodians
/ Wallets
Mining:
Service
networks
Data
Exchanges
Data Economy
Base Layer
Economic
Last Mile
Reserve
currency,
store of
value
BTC
App
funding
platform
Ethereum
App
platform,
unit of
exchange
Ethereum
Custodians
/ Wallets
Coinbase,
Trezor,
Metamask
Mining
Bitmain
Token
Exchanges
GDAX,
Binance
Utility Last
Mile (Dapps)
Token Economy

44. Roadmap
Alpha Aug ‘18, Mainnet Mar ‘19
Conclusion

45. Shadow Data
Economy
FB, GOOG
Token
Economy
BTC, ETH
Data
Economy
Ocean
Money
Transparent,
Permissionless
Shadow Money
Economy
The Fed, Banks
Data
Opaque, Power
Concentrated
Data is Money. Let’s Open It in Web3.
@oceanprotocol