- The ‘world’s
cryptobank’ Aave’s CEO wants to build an alternative version of blockchainnetwork.
- According to Stani Kulechov, users will be able to monetise their posts and frame their own rules.
- The Ethereum blockchain has proven to be an excellent platform for experimenting with tokenisation and incorporating new ideas — like non-fungible tokens (NFTs).
The founder and CEO of Aave, Stani Kulechov, wants to build a new blockchain version of Twitter. And on this new version, users can earn money from their interactions on the social microblogging platform.
Since @jack is going to build Aave on Bitcoin, Aave should build Twitter on Ethereum
— stani.eth rAAVE =(⬤_⬤)= (@StaniKulechov) 1626527696000
Aave is a decentralised money lending platform built on
Ethereum and considered to be the ‘world’s bank’ by crypto enthusiasts. The company is a leader in the space with a market cap of $4 billion. And, its total value locked (TVL), which represents the number of assets that the blockchain has secured, is $16.4 billion.
Considering Aave’s expertise in the domain, Kulechov wants to try and build the Twitter-like network using the Ethereum blockchain as well to leverage smart contracts.
Users will make the rules and be able to monetise their posts
“We believe that content creators should own their audiences in a permissionless fashion, where anyone can build new user experiences by using the same on-chain social graph and data,” Kulechov told
He explained that, currently, Twitter’s revenue comes through its users but the platform functions in a centralised manner. This means that Twitter decides what content or which users get traction through its innate algorithm.
And, while alternatives to Twitter exist, all of them are still centralised in nature. “Nowadays, if you tweet or retweet, there is no monetisation, and you also do not own your own audience,” said Kulechov.
If Twitter is built on Ethereum, Kulechov claims that users would be able to monetise their posts and frame the rules that’ll govern the network.
While the concept may sound far-fetched, the Ethereum blockchain has proven to be an excellent platform for experimenting with tokenisation and incorporating new ideas — like non-fungible tokens (NFTs).
Twitter is adopting crypto while crypto is adopting Twitter.
The proclamation was sparked by Twitter CEO Jack Dorsey when he
announced plans to create a new business division via his payment firm, Square. It aims to build an open developer platform that makes it easier for developers to develop non-custodial and decentralised finance on
Bitcoin. Kulechov implied that Dorsey’s business idea is similar to Aave, as it’s also an open-source, non-custodial DeFi protocol that makes it easier for users to borrow assets and earn interest.
It’s worth noting that DeFi-based social networks already exist but haven’t managed to take off. Steemit tried to bring a Reddit-like experience but could barely stay afloat. Founded in July 2016, Steemit was an early blockchain project that showed promise. However, these blockchain-based solutions are yet to go mainstream.
From a moderation point of view, the idea has potential as regulators and governments globally are concerned about the rise of Big Tech and its looming hazards. Twitter as a centralised network has been in stormy waters in multiple countries like India, and Nigeria has entirely banned it. However, it’s also safe to assume that Aave’s plans are still nascent and untested. If it’s able to launch a platform that can challenge the traditional internet, it’ll have to be user-friendly, easy to understand, and straightforward.
Blockchain has a vast range of applications in real life, but most of them haven’t been explored yet. Every company is trying to incorporate the concept in their regular operations, including conventional banks, energy companies, and more. The next frontier for crypto is often said to be decentralised finance since it helps counter traditional limitations like borders, regulations, and more. And, companies are focusing on getting a head start since it could potentially change how the world works.
For a more in-depth discussion, come on over to Business Insider Cryptosphere — a forum where users can deep dive into all things crypto, engage in interesting discussions and stay ahead of the curve.
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