Rabbithole: How it works & How to Dive in - Ben Schecter

I'm Ben, um, the head of operations at Rabbit Hole. Um, Rabbit Hole is a platform that helps users, how should I put it, dive into the " dive into the " rabbit hole" of cryptocurrencies, and helps them learn how to use various crypto applications, while earning, uh, cryptocurrency for it. Um, I'm here today to talk to you about how we're creating, um, the future of work. So future of work. So , right now, um, interest in cryptocurrencies is just exploding.

Um, it's gaining more and more mass popularity mass popularity , publicity, media coverage, um, and that's really great. Um, but if you look deeper and start to dig into the details, only a tiny fraction of people actually use, uh, crypto products and, in particular, DeFi. Um, if we look at this chart, we see almost 150 million Ethereum addresses. A little less than 50 million of them actually, um, own Ethereum. And then, um, an even smaller percentage of that, um, actually uses those crypto products and DeFi products, um, that are so important to the ecosystem.

Um, if you look at Etherscan, they say there are only about 200-300 thousand active daily users right now. Um, and this users right now. Um, and this , this is a problem. Um, you know, if we want cryptocurrency to reach its full potential, um, we need people to use these products, for people to learn to engage, to contribute, um, and for them to truly become crypto- become crypto- neutral users. Now, even for people who want to use crypto products, um, it's very difficult to do so.

Every week, dozens of projects are launched, um, millions of dollars are poured into the ecosystem, whether it's, um, through venture capital, or through speculative, um, investments, um, and it creates a lot of noise. Um, and as a result, projects can't find the users they're looking for, and users get confused and don't know where to start. And if we look at why this is happening, um, the current system is not conducive to, uh, people using it and getting involved. Um, memes and all the attention is focused on speculation. Um, it reinforces, uh, a certain reinforces, uh, a certain , certain narrative, and unfortunately, people don't realize that a lot of people don't even realize that there are apps that you can use.

If you ask the average person, they will think that cryptocurrency is synonymous with currency. They don't realize that there are actually applications like Uniswap that can be used and that are at the heart of all these hopes for the future of Web3. Plus , even if you want to get involved, the onboarding process is intimidating. The crypto world creates many difficult situations for new users. You need to figure out how to set up your wallet and how to make sure you are using the right platforms.

How do you know if you can trust this smart trust this smart contract at all? This is a big step, as the user must take full responsibility for what the cryptocurrency provides, and this can be difficult for beginners. On the project side, attracting users, especially the right ones, is extremely ineffective. Most of our engagement channels are generally not crypto- are generally not crypto- focused. Take, for example, advertising or Twitter.

All of this is based on the outdated Web2 system. This is very expensive, and there are no guarantees that it will bring positive results for your project. So RabbitHole is trying to fix that. We create quests that users can complete. Quests complete.

Quests are essentially time-limited tasks: if a user performs a certain action or several actions, we reward them with a project token. This solves the problems we mentioned from two sides. For projects, we help increase activity on their platforms and find the right participants. For individual users, we help them learn, use, and join crypto networks. And all the while, they're earning cryptocurrency.

This is extremely exciting, and we are already seeing great results. Especially because we do it in a crypto-native way. Cryptocurrencies and Web3 in general open up many new paradigms and opportunities. And we use these new capabilities for our solution. So, people earn by learning and joining networks using the projects' native tokens.

We use Gnosis Safe. We actually check whether people actually perform the tasks they claim to do . To do this, we use subgraphs on The Graph. We also have the issue of protection against Sibyl attacks. One question that often comes up is: how do you stop someone from constantly completing tasks and collecting all the rewards?

We use BrightID to verify user uniqueness so that we know that all rewards are received by truly unique people. We launched only six or seven months ago, in December, but since then we have achieved impressive results for some of the largest crypto projects. Over 10,000 individual addresses completed the task on RabbitHole. We distributed over $100,000 in rewards. To better explain what exactly we can do for the project, I will highlight a recent quest with PoolTogether, which ended about two weeks ago.

So, PoolTogether, for those who don't know, is a win-win lottery platform. This means you make a deposit into PoolTogether pools, which essentially works like a savings account, but you participate in a lottery where every week or two someone wins a large sum. PoolTogether had a pool that, you know, wasn't as big as some of their other pools on Polygon their other pools on Polygon , a second- tier solution for Ethereum. So they wanted to attract new users to deposit into their USDT pool on Polygon. We worked with PoolTogether to develop a quest for this and achieved an increase in the number of unique contributors to this pool of over 300%, which is a very significant achievement.

This, in turn, as users were rewarded for completing this quest, increased the number of PoolTogether token holders by over 12%, which we believe will have a strong impact on their community in the long term. So, these are the things we are happy to provide to both projects and users, and hope to do more of in the future. Of course, we are at the Uniswap Summit. So I wanted to give everyone a peek at the quest we'll be launching over the next week or two. We're not sure of the exact date yet, so follow our Twitter or join our Discord for updates on this quest, but we will be partnering with Uniswap to host a quest where we will encourage users to complete two tasks.

First, exchange any token on the Uniswap platform any token on the Uniswap platform . . Second, provide liquidity in liquidity in any token pair on the Uniswap platform. We are very excited to collaborate with Uniswap in this direction. And we see this as the beginning of a much longer partnership.

As the RabbitHole platform grows and evolves, and Uniswap’s needs change over time, we look forward to working together and driving a number of different actions, which we will discuss in a bit . So, this is just the beginning. We are currently using Quest We are currently using Quest to incentivize users to participate and contribute to the crypto network at early stages. But soon RabbitHole will become your on-chain will become your on-chain resume. So, if we take a step back and think about what quests essentially do, we take an on-chain action, verify that it happened, reward people for it, certify it, and record the very fact of completion.

When you think about the quest in this way, it becomes clear that there are many more possibilities for using such a process. What we're really talking about is creating a fundamental level of reputation where we can verify actions that have taken place, attest to them, make them understandable and composable across the entire ecosystem, which is incredibly ambitious and something that's never been done before, but it's a testament to the amazing possibilities amazing possibilities that Web3 offers. So as a first step in this direction, we will soon be launching skills on our platform. So our platform. So what are skills: if you think about quests, quests are time-limited tasks where users come to our platform and have a certain amount of time to complete a task and get rewarded for it.

Skills will be ongoing tasks that users can complete on RabbitHole to earn an on-chain to earn an on-chain certificate that confirms that they know how to do something, have mastered a certain action, and can use this to prove their knowledge to the outside world. This is really cool, not necessarily in a vacuum, but specifically because of what you can do with it. This will open up unique opportunities that inspire us greatly. For example, if we take token distribution: when a project is new, it tries to distribute tokens among its user base, or more precisely, among those they consider to be their base. And right now they don't have a good way to do it.

Most projects use retroactive airdrops, but they are not targeted enough. They reach too broad an audience, and there is no way to know if these tokens are reaching the right people. We believe that they mostly go to those who are much more interested in speculation interested in speculation than the communities themselves. We see a way RabbitHole can help token distribution projects: they will distribute tokens to users after confirming that they have benefited the platform, network, or community. On the other hand, the quests we continue to create will be able to expand their capabilities and functionality as our platform develops.

If we consider how skills can be integrated into quests, they can only be opened to those users who have certain qualifications. For example, for Uniswap, you can only hire experienced liquidity providers to filter and find the right people for your platform. Learn more about what exactly can be implemented with an on-chain with an on-chain resume on the platform built by RabbitHole. If you are a platform looking to distribute tokens, you can filter candidates both by personality type and based on their actions. You can open token distribution only to experienced yield farming participants who have already contributed assets and staked them on your platform.

This helps ensure that these are the people you want to see and that they have truly provided value and therefore deserve to be rewarded with your tokens. Second, let's say your platform or community has become less active recently and you want to revitalize your management processes. You can use the RabbitHole quest to recruit proven “ proven “ protocol politicians”—people who we have verified have created and adopted governance proposals in other communities. Thus, RabbitHole and the system we are building are poised to become a talent and reward distribution mechanism for the entire Web3 ecosystem. However, this is an extremely complex vision, and also a fundamental one, which creates many dependencies for other ecosystem participants.

We believe that such a vision is best realized through decentralization. We need to answer many questions before we can do this. We need to figure out how to move our current manual work into smart contracts. We need to figure out how to maintain the quality and proper level of performance of the quest system that our core team currently provides. We are very excited as we have just announced the first step in the decentralization process.

We call it the Pathfinder program. So Pathfinder program. So , through the Pathfinder program, we are starting to bring external participants into our core task creation and execution activities. There are four ways to participate in our Pathfinder program. You can become a steward—a person who visits communities, creates proposals, and participates in the entire governance process for approving proposals and approving Rabbit Hole quests.

You can become a navigator who expands subgraphs in The Graph, allowing Rabbit Hole to query the data. A subgraph is a way to verify that users have performed certain actions, and we cannot verify an action without it. Therefore, this is an extremely important role that allows us to create new quests. We have a role of a master—this is a person who develops NFTs that are given out as rewards to users who complete quests. We are very excited about the introduction of the master role as it can improve rewards for users and strengthen our community.

Let There are also pioneers who will create content to help users complete quests. If we recall the beginning of this conversation, the first steps in using crypto products and applications are a rather intimidating process. We want to provide the necessary content and advice so that people can use new apps with confidence. The overall vision is that this also reinforces our main goal—to bring more users and contributors into the web3 world. So, if you think about what we do: first we create quests for which we receive a commission in project management tokens.

This allows us to become governance delegates in various communities across the crypto ecosystem. We want to use this voice in governance to advocate for the interests of the users and contributors for whom we build the product. It is difficult for users and contributors to have a significant voice because it requires holding a large number of governance tokens. And this is not easy for an ordinary person. RabbitHole hopes that by completing more quests and accumulating more governance tokens, we can become a voice for users and contributors in the wider community.

Eventually, as we decentralize into the DAO, this power will shift to the Rabbit Hole Network administrators, who are the actual users and participants of the network. This will allow them to participate more actively in governance, better advocate for their interests, and help create the Web3 world they want to be a part of, which is incredibly inspiring to us. So, thank you for your participation and attention. If you are interested in joining the quest, earning crypto for learning, creating your on-chain creating your on-chain resume, or contributing, please visit our website rabbithole.gg, join our Discord, or reach out to me personally—Ben Schachter on Telegram and Twitter.

Thank you, friends. Very grateful.