Article contributed by Kadeem Clarke, Head of Labs at Momentum 6
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MetisDAO is a Layer 2 Ethereum Rollup scaling solution building a highly scalable protocol for next-generation decentralized apps. On top of providing cheaper and faster transactions, MetisDAO is also facilitating the creation of a multipurpose and scalable framework for businesses and apps transitioning from Web 2 to Web 3.
The Metis team wants to make the creation of Decentralized Autonomous Companies (DACs) and decentralized apps (dApps) on its platform straightforward and easy for blockchain novices. Some of the issues facing the current DAO structure are technical and organizational issues such as heavy dependence on smart contracts, low transaction management, the centralized design of the standard L2 protocols, and high gas fees that bring about a poor user experience. MetisDAO adopts the Optimistic Rollup framework to address these challenges.
How Metis addresses the Organizational Gap
There are a lot of meaningful infrastructure features that differentiate Metis from other L2s. However, the two primary value propositions are centered around the DAC framework and Polis products.
The DAC Framework supports the DAC business model. The DAC framework is like a global company registrar with tools that facilitate the management and creation of DACs. These Decentralized Autonomous Organizations exist and operate on Layer 2, which means on-chain transactions are fast and cheap.
The framework does not have a lot of tools at the moment. In the future, the team will leverage open-source software to bring products such as messaging, accounting, payroll, and hiring platforms. These tools will be added as templates to make it easy for businesses to customize them based on needs.
The team also intends to add a ‘Reputation System,’ a continuous programmable NFT-based system that keeps track of users’ actions. It will act as business credentials that summarize every DAC’s business dealings and conduct.
POLIS is a middleware layer focused on usability. Users can register using an email address or MetaMask at the moment, but the team will introduce more 3rd party registration methods. Some of the notable features at the moment are a dashboard showing all transactions on all dApps across Metis, allowing users to transact through integrated apps and the built-in digital wallet, and allowing developers to manage smart contracts, domains, APIs, and user authentication. POLIS can also be described as a user-friendly Etherscan.
POLIS embeds smart contract templates into the system. Changing a smart contract is as easy as making a few clicks instead of changing the code. Users do not have to worry about how the blockchain works.
Ecosystem Development Program
The Metis Ecosystem Development Program is designed to help project new ideas & innovations, existing blockchain projects, and non-blockchain projects. The fund will help projects launched on Metis L2 enjoy the high efficiency, low cost, high functionality, ease of use of the chain, and high scalability while making their businesses sustainable. A team of experienced, well-connected, industry-savvy partners and investors has been assembled to make this a reality. The following are some of the notable ones:
BinaryDAO is a decentralized finance primitive that helps users gain exposure to decentralized finance yields and deals through the BYTE token. The DAO grows its treasury by investing and providing liquidity in the Metis ecosystem. BinaryDAO allows users to mint BYTE tokens by locking up stablecoins. Once users stake BYTE, they get access to the yield generation that its experts constantly manage and optimize.
Read our article to learn more about BinaryDAO:
A yield DAO that uses its treasury to bootstrap and invest in early-stage crypto projects, bringing premium DeFi yield…
Netswap, the first-ever native DEX on the Metis Andromeda Layer 2 network, launched in December 2021. It uses a similar AMM model as Uniswap. Netswap’s competitive advantage is that it is on an L2 resulting in high transaction speeds, low gas fees, and high scalability.
Netswap supports various tokens, whether they are bridged from other chains or native L2 tokens issued by dApps. Netswap is a community-driven decentralized exchange with $NETT as the native governance token.
Read our article to learn more about Netswap:
Neptune is a gaming platform that combines NFTs, DeFi, and DAO governance. The dream is to create a gaming community that holds to decentralization. Neptune entered into a strategic partnership with Metis and Netswap to make this a reality.
Players encounter Nepers, NFT characters, in the Neptune underwater world and can battle in this world to earn NFTs and governance. Each Neper has unique traits and skills that help players advance levels. Neptunians get priority access to new games and also benefit from future collaborations that Neptune makes.
Read our article to learn more about Neptune.
Many blockchain fanatics from the United States, Canada, China, and Israel met in Toronto in 2018 and founded the Token Economy Institute (TEI). TEI was tasked with practicing and studying Complex Collaborations with the help of blockchain and token economics.
TEI had a great business model. However, the founders Kevin, Elena, and Yuan noted that it failed to capture an important aspect: how to govern the distributed collaboration relationship and manage the implementation of these collaborations.
The team decided to work on a framework for distributed collaborations. As the group embarked on the complex collaboration framework journey, TEI was no longer a suitable name. One of the co-founders proposed to name the new project after the Greek goddess of wisdom, prudence, and deep thought, Metis. The company has had two financing rounds; Cryptomeria Capital, Waterdrip Capital, and Momentum 6 are a few of the investors.
Elena Sinelnikova, Co-Founder & CEO
Elena is a software development guru and entrepreneur. Elena has a Master of Computer Science degree, and her specialties are in blockchain, cybersecurity, and full-stack programming. Her contribution to the blockchain industry led to Globe and Mail, CBC Radio, and Global News features. Elena is also the founder and leads the CryptoChicks organization.
Kevin Liu, Co-Founder & Product Lead
Kevin is a serial startup entrepreneur. He is a researcher and practitioner of the Token Economy, DAOs, and governance protocols. Before co-founding Metis, Kevin had worked with StarChina Ltd. as a VP of Strategic Management.
Yuan Su, Co-Founder & Tech Lead
Yuan is a veteran Ethereum developer and Optimistic Rollup expert. Yuan was highly involved in the framework design of the IBM Hyperledger.
2021 was a great year for Metis with the launch of Metis Dragonfire testnet, followed by the Andromeda Mainnet. 2022 will be action-packed:
- Memolabs-based decentralized storage Q1 2022. Distributed storage will be used to roll up data and fraud-proof challenge processes. There will be a significant reduction in costs as more transactions can be rolled out. The effect will reduce transaction costs from $2 -$3 to just cents.
- Peer Network. The overcrowding of blockchains such as Ethereum has led to high gas fees. Network failures have been experienced on networks such as Arbitrum and Solana. The Peer Network mitigates these challenges with a Peer Node that acts like a real node and handles both read and write functions.
- Ranger System in Q2 2022. The verification process is single-layered, and the Metis Ranger System will eventually decentralize the process. Rangers will work for peers by staking and making themselves available for on-chain verification jobs.
- NFT bridge. Metis is developing an NFT bridge that will enable users to transfer NFTs from Ethereum Mainnet to Metis Layer 2 and back.
- Polis Middleware. The bridge between end-users, those without blockchain experience, and the Web 2 developers with the Web 3 world.
- DAC framework. Metis will continue building DACs with Ethereum founder Vitalik Buterin’s vision in mind.
- Metisverse — The Metis Ecosystem and Metis Family. Metis will continue forming strategic partnerships with like-minded players in the blockchain space.
- Decentralization. Metis already has a decentralization roadmap. In Q2 2022, Verifiers will be able to conduct real-time verifications, and the Metis Sequencer Pool will open for community participation.
NFTs are meant to be universal and not reside on a single blockchain forever. Users can now move NFTs back and forth from the Metis Andromeda and Ethereum networks and display them outside the Ethereum network.
Andromeda offers a platform with lower gas fees. As of March 2022, minting NFTs on Metis Andromeda costs just $1 and is expected to go down to cents in the months to come. This is unlike Ethereum, where users have to pay even hundreds of dollars in gas fees to mint.
Metis Andromeda also offers some extra benefits not available on other networks. A perfect example is BinaryDAO NFT holders that stand to benefit from boosted APY after staking BYTE tokens. On the other hand, StarLedger NFT holders will, starting April 2022, benefit from a profit-sharing model. There are several other NFT collections on Andromeda that airdrop their tokens directly to your wallet for simply holding.
How to move NFTs from Ethereum to Andromeda
- Mint non-fungible tokens on Ethereum.
- Use the user guide at https://nftbridge.metis.io to move the minted NFTs from Ethereum to Andromeda.
- Create “Wrapped NFT” on the new chain.
- You can now list NFTs on Metis marketplaces such as TofuNFT.com and Metacraft.Pro. You can also bridge these NFTs back to Ethereum at a cost of just one $METIS.
How to move your NFTs from Andromeda to Ethereum
- Mint your Non-fungible tokens on TofuNFT.com or Metacraft.Pro (other marketplaces will be announced soon).
- Bridge the newly created NFTs from Andromeda to Ethereum through https://nftbridge.metis.io by utilizing the user guide at the bottom of the page.
- Create your ‘Wrapped NFT’ on Ethereum.
- You can now list your NFTs on Ethereum marketplaces or even bridge back to Andromeda, which takes about 10 minutes and at the moment costs just one $METIS.
The MetisVerse will not be created by the Metis team alone, as the ecosystem partners are also an essential part of this journey. In the past, we have seen developers that are just interested in the money they make and not the end product.
Metis, through the Metis Builder Mining program, intends to incentivize builders to build and remain active on the platform. Transaction fees and volume of transactions are key features that determine an ecosystem’s viability.
The program is meant to reward every participant. The higher the number of transactions, the higher the rewards. Every transaction is charged using $METIS on the current Andromeda network. 30% of all the transaction fees on the Metis ecosystem will be shared with partners. Projects that utilize POLIS when building their Dapps automatically qualify for this program.
The Layer 2 Wars are not ending anytime soon. The end goal is to scale Ethereum and not compete with it. Metis is different from the other scaling solutions as it is creating a Web 3 economy hub. With this infrastructure, both Web 2 and blockchain companies will build decentralized communities with all the real-world functionalities needed while still providing the security and decentralization of Ethereum.
Research (M6 Labs)
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