Upcoming EMC（EdgeMatrix Computing） SNS Decentralization Sale

Governance
,
1

EMC is preparing to launch its SNS DAO with a proposal to start the decentralization sale expected soon.
This post is a forum for the IC community to discuss the EMC SNS and ask the founding team any questions.

About EMC
EMC is a decentralized Layer-2 computing power network built on IC (Internet Computer) with the goal of becoming a new entrance to Web3 in the AI era.
Based on decentralized computing power network and computing power trading market, it connects decentralized AI applications with decentralized computing power conveniently, efficiently and at low cost.
With the rapid growth of AI, it makes the large-scale and practical adoption of Web3 possible, and helps people enter the AI era more fairly through Web3 and seize the opportunity of the era.
EMC is a project of Web3 empowered with new AI technology, which is significantly different from traditional blockchain projects, representing the combination of web3 native and innovation, representing new trends and attention, with extraordinary vitality and sustainability.

Market Opportunities
The market which EMC is facing, one is the POW computing power market with wide consensus, and another is rapidly growing demand for AI computing power.
On the computing power supply side, the past 10 years have proven that the fairness and incentivization of the POW mechanism enables the rapid and unbiased aggregation of massive computing power resources. And this mechanism’s effectiveness has been proven repeatedly.
In the AI era, the original most criticized empty energy consumption will become a productive resource that actually generates value because aggregated computing power can be efficiently connected to AI applications.
In Web3, previously criticized energy consumption, which was considered wasteful, will transform into a productive resource of real and useful value. This is made possible as aggregated computing power can be effectively linked to AI applications. Therefore, many idle Etheruem, Filecoin or other mining machines will be able to be reused to generate useful value.
On the computing power demand side, global AI computing power usage has doubled every 3.43 months on average over the past 10 years, and will grow 500 times by 2030 as AI applications explode since 2023.
The combination of computing power and AI applications will be one of the few growth points and huge opportunities in the depressed global economy.
The promising synergy between AI and web3 has only just begun. The native narrative of web3 has always been slightly hollow: only tokens cannot bring the next generation of the Internet.
However, the combined transformative power of AI and Web3 makes it possible to finally realize the vision of Web3, which will empower users and builders to change their destiny in unprecedented ways.
The intersection of AI and web3 is a dynamic, rapidly evolving new frontier with tremendous potential for growth and innovation. This offers a wealth of opportunities for developers and investors.
This is an exciting time to be at the forefront of these cutting-edge technologies. This is the iPhone moment for web3 & AI!

EMC’s Unique Value
EMC is a project that will have a huge impact in the future because it creates many unique values!

• New Narrative:
￮ The first advantage of EMC , which is different from traditional blockchain, comes from IC. The unique value of ICP should belong to the AI era. When we choose to combine AI with Web3, it becomes difficult for other public chains to meet the demands. There is no choice but ICP.
￮ EMC as the Layer-2 of ICP connects decentralized AI applications and decentralized computing power, which has differentiation and uniqueness in the crypto world with stories of homogeneity, repetition and excessive financialization.
￮ EMC’s mechanism is based on POW, aggregating not only AI computing power, but more importantly AI applications and users through computing power. Web3 empowers AI, and AI generates new business models for web3, which is a wealth creation narrative that will last for years.

• New traffic (liquidity):
￮ The current situation of Web3 has proven that simply attracting participants by excessive financialization has hit the ceiling, and the earliest highly speculative players have become bored with the stock game, and there is little innovation in the industry.
￮ All existing Web3 applications or scenarios are not capable of acquiring new users anymore, and the bull market will not arise out of thin air. While AI applications can gather more than 100 million users in a few months and continue to grow rapidly with strong willingness of users to pay.
￮ EMC has the ability to become a super aggregator of AI applications, bringing users who use decentralized AI applications or tools empowered by Web3, and is a new entrance for massive AI users to enter the Web3 world easily.

• New assets:
￮ The development of Web3 in the last 14 years is essentially the development of asset types, and each round of innovation has to discover new forms of assets.
￮ EMC creatively digitalizes computing power resources into assets, bringing new tradable real assets to Web3.
￮ EMC uses edge nodes of the P2P network to intelligently schedule node computing power and task allocation through routing algorithms, expanding performance and efficiency for AI applications and model training.
￮ EMC efficiently improves the performance of decentralized networks for real-world applications. The process of mining can run various AIGC applications as well as provide computing power for model training, which lays a value base for practical mining, which is PoUW (Proof of Useful Work).
￮ For developers or users, the computing power on the EMC network can generate a special NFT by subscribing to a smart contract, which is called “Computing Power Socket”. Users can plug and play through the computing power socket or trade it as a commodity, which will bring a new digital asset to blockchain.
￮ By trading computing power on the market, miners can not only get mining rewards, but also additional income from computing power usage, which makes EMC mining more flexible and scalable. In the computing power trading market, the “Computing Power Socket” will greatly enrich the number of tradable assets in the form of equity NFT and NFT derivatives.

EMC & ICP Program
EMC has new plans for AI computing power growth, AI developers, AI application growth, and AI user growth, all of which are happening in the fast-growing and ever-changing AI era. So in order to seize the opportunity, we must act faster and get better results.
In short, these plans and actions will include but are not limited to the following construction of thousands of computing power nodes, large Web3 & AI Hackathons, thousands of AI applications, ten million AI application users, university research with computing power donations, etc.
Some regions will first realize the cooperation of AI applications for live e-commerce tools, game NPC tools, and social. In particular, EMC & ICP has important value to attract AI developers. They no longer develop in the traditional way of Web2 development, but enter quickly with lower start-up threshold, lighter products and shorter development cycles within the environment of scenario, model, computing power, funding and user integration for quick realization.
AI developers do not need to rely on the platform, publish on the shelf and review. Directly to the users aggregated by EMC and ICP, the development is low-cost with faster and more direct to get rewarded.

SNS Plan and Usage
-We plan to complete 1,000,000ICP~2,000,000ICP at the rate of 1 ICP = 100 EMC
-We are seeking 33% of the total sale (660,000 ICP) from the Community Fund
-It will be used for computing power network construction, computing power trading market development, AI developer and application aggregation, global community building and business expansion

Next Steps
For more detailed information about the above and the latest information about EMC, you are welcome to refer to the whitepaper and visit our Twitter, and you are also welcome to talk with us on Telegram and Discord.
White Paper: From The Origin - WhitePaper of EMC
Twitter: https://twitter.com/EMCprotocol
Telegram: Telegram: Join Group Chat
Discord: Discord

EMC is a POW-based project, so we must establish the SNS DAO as soon as possible, so that it can be built, governed and shared by the contributors, AI developers and AI application users in a fairer and more open way. We will reward those who help EMC find vulnerabilities and cheating behavior. Once EMC DAO receives enough feedback and comments, an SNS proposal will start.
We sincerely hope to create more true value for the ICP community, and with your help to make a better EMC and build a better ICP ecosystem. We sincerely hope to build together with all ICP community members, developers, and contributors!

17 Likes
3

What is the advantages of doing an SNS sale at this point in the development? I know funding can be huge but are there other scenarios where it’s better to do it now than later?

4 Likes
4

From the white paper:

In summary, EMC protocol is a Layer-2 scaling solution for IC that focuses on scheduling edge computing and task allocation to improve the practical performance of decentralized networks.

And

EMC DAO will adopt a decentralized governance mechanism, allowing members of the EMC community to influence the development direction and decisions of the EMC ecosystem through voting and proposals.

After looking at the team page (which appears to have a lot of experience), and the very focused goal you have summarized by your white paper, I’m not understanding why you would need a large group of people to vote on the development direction? As @Gekctek said, I’m curious as to the advantages of an SNS over a grant request since you already have a detailed end product defined?

3 Likes
5

I plan to make a more detailed post regarding my opinion on this, however I haven’t completed my due diligence - just wanted to add this here though;

What holds them to follow the direction outlined by the DAO? DFINITY has shown that the foundation & community perception of priority frequently deviate (namely , followee resets, and any other proposal suggesting code based change by the community). If it is an experienced team with a focused direction, should there not already be a detailed roadmap that they’re following, independently of the DAO?

2 Likes
7

Isn’t the whole purpose of an SNS to force the direction the community wants? This is where I as a newcomer to the ICP community get confused.

I’m under the impression that an SNS is a very advanced version of a DAO with more features than just being able to vote. With an SNS, proposals are made and executed with code in the canisters. Voters don’t just vote and “hope” the proposal is done afterwards by whoever writes code for the DAO, the proposal itself has the changes embedded inside of it and are executed or not based on the vote. So if the company keeps making proposals the community doesn’t like, they get rejected and never implemented. And if the community writes a proposal, with code, and it gets adopted, then the changes are implemented.

In my mind, the purpose of an SNS is to drive the direction and provide benefits to users of an already functional product that is looking for a tighter market fit, or to improve feature sets based on community feedback (voting). Maybe I’m wrong here? Also, there may be benefits here that I don’t see or understand yet that hopefully the team can shed light on.

6 Likes
8

Curious about this. Just started my due diligence here so I will voice my concerns here when I am done.

1 Like
9

Not really, the point of the SNS in theory is to ensure true decentralization of the DAO. Meaning the DAO canister doesn’t have a centralized controller. The SNS then leverages its framework within the NNS to do a decentralization sale; to which they set the valuation, the token allocation, etc etc.

@infu recently highlighted it’d cost less than 500k$ to assert a 51% attack on an SNS by the team, assuming recent “foundation” allocations. It’d cost even less if negative sentiment was asserted by the team, to lower token costs, and then acquire the tokens (and i’ve heard it utilizes the followee system, so, might not even be necessary to invest $).

So while the DAO only executes code based proposals, typically they come from few parties. Take ICP as our largest scale example.

It shares many of the downsides of a typical DAO, the main benefit is the fact that the smart contract itself is truly decentralized, not necessarily that the DAO distribution is.

2 Likes
11

I understand no system will be perfect, and everything you said makes total sense. But my question still stands as to why EMC is proposing an SNS Decentralization sale now? Even if it wasn’t an SNS sale and I saw them post this in a press release totally unrelated to me or ICP. I would be asking this same question.

I’m not trying to be a jerk, or confrontational. I’m really trying to understand from a business perspective, how is it going to benefit them as a business and how will it benefit existing users or customers? Are existing users itching to provide them development directions and they want to organize that feedback in a better way? I have no idea. I have never met one entrepreneur who has argued to have MORE people involved in the decision making process during development of any product. And this is what it sounds like EMC is asking for? Again, I could be wrong.

They can obviously ask and put up the proposal whenever. I’m wondering why now, and why here instead of using some other DAO or direction? In my mind, there is no wrong answer to the question.

2 Likes
12

The next step on their roadmap is to elect 13 validators and get them running. So from my view it seems the SNS sale is to get interested parties on board so that voting may begin on these validators utilizing the SNS. Since validators are required to stake 1m EMC a decentralization sale helps ensure all validators are not part of the team and its supporters.

2 Likes
13

In fact the first phase of EMC development has been completed, testNET has been released on 5.10, because the token is ICRC-1 protocol and can only be generated through SNS, both the nodes and the developers buying the computing power need the token for the next step, so we choose to do SNS at this point in time, it is not a temporary decision, we have been working with IC for the previous month This is not an impromptu decision, we have been negotiating with IC and Dfinity fund for the previous month.

1 Like
14

EMC is an ecology, although it is still early stage, has gathered 60K-70K AI developers, after the infrastructure is up and running, 12% of the token is for developers, which will provide help for developers through grant or other ways, so the development direction referred to here refers to the AI applications developed on EMC, and the infra resources provided for more valuable applications We want to focus the group’s intelligence on applying resources in a more efficient direction and keep the flow of money involved decentralized, which is less easy to quantify with contracts.

15

EMC has already signed MOU with some big mining pools in filecoin ecosystem, they participated in presale and bought enough pledged token, will set up 1-3 validation nodes and some routing nodes of testNET this week, these nodes information will be public on twitter and community. IC’s nodes in Hong Kong and Australia are also communicating with EMC team to join the nodes. The situation of Ethernet miners is slightly more complicated. Professional ETH miners cannot access EMC network, and graphics miners have to make some hardware upgrades (CPU, RAM, hard disk, etc.) to match the performance of GPU. All these work is being done one after another.

16

EMC is layer2 of ICP, the token is ICRC-1 standard and can only be generated through SNS, why do you think there is no relationship with ICP community?

17

The EMC project, combined with AI and ICP, has huge potential. I am thrilled to see such a capable team driving the development of IC.

I am very interested in the roadmap described in the white paper, but currently, the roadmap does not have a timeline. Could you provide a more detailed update so that we can better understand your plan?

image
image2244×1698 381 KB

4 Likes
18

Oh I completely agree, was only trying to add to your original point ahah. But like I said, haven’t completed my due diligence, so it didn’t feel right going to deep yet.

19

Why is it that you can only create an ICRC1 via the SNS? This certainly isn’t the only way to create a token, a DAO, or to go about tokenizing - so what makes the SNS a good option for you?

20

What?? Your justifying lack of relationship with community for lack of knowledge in our ecosystem? This isn’t even how creating an ICRC works.

21

60k-70k developers on-boarded? Your layer 2 is 150x bigger than DFINITY? How are you aggregating these metrics? Are you insinuating this is an inflow for ICP? Why have we not seen these developers?

1 Like
23

It is not a comparable number when you count the total of web3 developer vs total developer (more or less Web2 developer globally). The priority and focus should be on business model itself and how to expand web3 ecosystem to attract web2 developer. just quoting some number from statista there are ~28M professional developer WW, >2M in China. 12% token allocation will be developer Grant Reserve which aim to provide early support for the community of AIGC developer in web2 (60-70k) of which we are already actively participate and collaborate in China, and expanding our community foot print into South East Asia. For example, an INDI studio or small AIGC developer, can now utilize EMC on-chain AI computing to train stable-diffusion model with their own ART assets (store on IC canister) and developing their DApp frontend to deploy on IC canister and provide their version of “Mid-journey” and generate income through SaaS model. EMC already working with a start-up team who build this and accumulated 160K paying user over 6months. What is all matter is Real business that gerenate Revenue, and for them to pay for ICP+EMC services as paying for AWS.

1 Like
24

To provider a clarification, launching an SNS decentralization sales serve few key purposes, EMC on-chain AI computing node is rewarded based on POW (behind all the ideology and tech, what EMC really do is recycling ETH miners or FIL block miners (GPU pool) and converting the GPU into proof of useful work (AI model training). POW mining require consensus, open and fair mechanism. Result of SNS sales will be a DAO, ICRC-1 token will be minted before the mainnet launch and to used for staking of validator node and routing node in EMC network.

1 Like