OceanONDA V4 Is Now Live With Data NFTs, Solving Rug Pulls

Ocean Protocol, the open-source, decentralized data exchange protocol to unlock data for AI, announces the launch of OceanONDA V4.

The upgrade caters to data publishers, data consumers, and data marketplace operators with data NFTs for more flexible data management, one-sided staking to solve rug pulls, and better monetization via fee setting.

Bruce Pon, Ocean founder, said:

“The OceanONDA V4 release is the most important milestone to date to fulfill our vision: Ocean Protocol as the orchestration layer for data services and AI, as the general-purpose data sharing and monetization infrastructure that brings data providers and data consumers together.’’

OceanONDA introduces three key new features: data NFTs for more flexible data IP management, one-sided staking to solve rug pulls, and better community monetization.

It builds on Ocean V3 datatokens for data access control, automated data pricing, Compute-to-Data to retain privacy & control of data, and the Ocean Market dapp to publish, swap, stake, and consume data assets.

Data NFTs

Ocean V3 ERC20 data tokens, where one datatoken is a license to consume the related dataset. Ocean V4 adds ERC721 data NFTs to model the copyright or exclusive license for a data asset. Data NFTs maximize flexibility in data IP management.

Data NFTs allow arbitrary key-value metadata fields (via ERC725y), on-chain data availability, and GDPR compliance (via on-chain encryption).

They provide interoperability & composability within the wider NFT, DeFi, and DAO ecosystems. Data NFTs have many uses beyond the “base IP” use case, including comments & ratings, verifiable claims, identity credentials, user profile data, and social media posts.

Solving rug pulls

Rug pulls occurred in Ocean V3 when datatoken whales would pull out of their large liquidity position in data pools, negatively affecting other stakers. OceanONDA V4 solves this through one-sided staking: when OCEAN is staked in a pool, datatokens are minted while keeping the price stable; when OCEAN is unstaked, datatokens are burned.

This, in turn, increases staking safety since whales cannot manipulate the price of staking or unstaking. This increases the potential for providing more liquidity while also eliminating price slippage.

Better community monetization

OceanONDA V4 smart contracts enable marketplace operators to collect a fee not only in consumption but also in a pool-based swap. We expect this to greatly aid business for data marketplace operators, as we’ve observed 100x the volume on swap compared to consume.

Furthermore, OceanONDA V4 enables third-party Providers to provide computing for a fee. This enables a marketplace of Providers to emerge.

This will work for centralized trusted providers (that the data publisher and consume must trust) but also trustless providers (via decentralization or other privacy-preserving mechanisms).

Ocean Market Updates

OceanONDA V4 introduces updates to the Ocean Market, including an easier-to-use publishing flow, one-sided staking in pools, updates to the asset detail page, and an NFT image generator.

The customizable fees for marketplace operators to collect commissions on usage and on fixed-rate exchange and pool-based swap open up for new business models within the ecosystem as marketplace stakeholders can set their own pricing strategy and earn from usage but also from fixed price exchange and AMM swaps.

OceanONDA V4 was tested through a Public Testing program on Immunefi to identify critical security issues. Further stabilization and refinement in the coming weeks and months are expected.

For more information, visit here.

About Ocean Protocol

Ocean Protocol is a decentralized data exchange platform spearheading the movement to unlock a new Data Economy, break down data silos, and open access to quality data.

Ocean’s intuitive marketplace technology allows data to be published, discovered, and consumed in a secure, privacy-preserving manner. By giving power back to data owners, Ocean resolves the tradeoff between using private data and its public exposure.