What should be the next big hit on the market? — and what will happen to Krakin’t co-founder token.

There was an announcement that Krakin’t will do a co-founder token airdrop. However, we have not obtained enough people to distribute the token equally. Instead, we will make a token that functions on an Honour system where users can claim their tokens, as many times as they need. However, there is a new barrier, and that is the transfer price. We want everyone to be able to claim the tokens and become a co-founder.

We will try Cardano, just for fun, although it doesn’t look as complete as Ethereum when it comes to working with the smart-contracts.

We have done a quick poll asking people about the current GAS prices on Ethereum network. The problem is, since Ethereum price correlates the GAS price, we can never have the investors and developers working together. The only thing that developers can do is develop a code and pray for the price decrease. We have already developed a native token that is also a decentralized micro-framework, however, given the GAS prices, the token cannot be used… Briefly, we are waiting for the GAS prices to go down to bearable levels to be able to continue working with a native token.

To confirm whether this is just a biased opinion, we made a quick Twitter poll

Although there was a 50–50 split between Absurd and Fine, the problem was that there is no middle-ground. In other words, we don’t know whether the prices are Fine or Absurd, but we do know that they are not Bearable.

Enough of this ERC20 nonsense!

Unfortunately, we have encountered a barrier after a barrier while developing with Ethereum. Missing decimals, no negative numbers, restricted math, no privacy, expensive GET calls, no POST calls, expensive contract interactions, and now expensive contract deployments as well as the unbearable transfer prices.

Let us stop thinking about the prices and the math for a moment. Assume that money is not an issue, and that all the math, REST calls, and computations can be done off-chain. Unfortunately, having some minimum privacy and a encrypt/decrypt algorithm working on a smart contract is a minimum requirement for a working and a functional DApp. Without it, all development is focused on smart-contract(s) and we cannot offload heavy computations off the block-chain. The problem is, Ethereum smart contracts simply do not allow heavy-lifting (we are back to the math issue). Therefore, any serious application development on Ethereum is far-fetched and it cannot be used to accomplish a product worth of an established company. This is not a scalability issue, this is a design issue.

Instead, what we need is a contract where we can control what is private and what is not private. Without it, there is no data-transfer safety and no offloading of the heavy computations. We can have multiple contracts calling each-other where some of the contracts are verified, and some of the contracts are not verified. However, we are now stuck with the price issue, since it costs too much to make the calls between the contracts.

Solutions

  1. Stay on ERC20 and:
  • Make everything centralized to users do not own the private keys. Problem: if you don’t own the keys, you don’t own the money.
  • Make designated accounts that work with centralized components, which are taken off the system when user unlocks a private key (current solution Krakin’t is using for asset deposits). Problem: usability issue, it is too complicated to use and work with.
  • Make a second contract that is unverified, in hope that it cannot be decompiled while risking the GAS price. Problem: security issue, also, no encryption and data transfer is not safe.

2. Search for other currencies that support the smart contracts, and are more affordable when it comes to transfers and contract interactions.

3. Make your own F@$%! ERC standard! or change the ETH source code and make a new currency.

Conclusion

There is a rumour that privacy currencies are going to be a next big hit. We don’t know which one, but it can be assumed that it could be Ethereum-based while having the following:

  • Contract interaction state updates are free or ridiculously cheap.
  • We can decide which parts of a contract to keep undisclosed
  • We can transfer encrypted data in and out of a contract.
  • Contracts can decrypt/encrypt data without a risk of uncovering the private keys.