True Network is a groundbreaking on-chain reputation protocol designed to revolutionize user engagement and retention in Web3 applications. Leveraging advanced blockchain technology, the protocol empowers decentralized applications (dApps) to issue on-chain attestations and create robust reputation models. With compatibility across leading ecosystems like EVM, Solana, and Polkadot, True Network is poised to set a new standard in reputation systems for Web3.
User Retention Challenges in Web3
Web3 consumer applications often face significant challenges with user retention. Data from Token Terminal highlights that only 5% of Uniswap users remain active after a year. This stark contrast to the retention rates of traditional Web2 platforms underscores a critical need for better engagement mechanisms in decentralized applications. In Web2, strategies such as rewards and loyalty programs have proven effective in retaining users. However, Web3 lacks a unified protocol to address this challenge. True Network fills this gap by providing tools to create reputation systems that incentivize meaningful user engagement, rewarding high-quality contributions while minimizing practices like airdrop farming.
The Case for On-Chain Reputation Systems
On-chain reputation systems offer a superior solution for user engagement. Unlike token-based incentives, reputation systems separate signaling value from financial rewards, making it harder to game the system. Reputation scores are composable across protocols, adding long-term value and encouraging users to stay invested in the ecosystem. As outlined in DappRadar and a16z’s reports, reputation systems incentivize quality contributions in areas like content creation, community building, and gameplay. This approach not only boosts user retention but also fosters sustainable growth for Web3 projects.
Introducing True Network
True Network is a Substrate-based parachain that facilitates on-chain attestations and algorithm-based reputation scoring. Developers can use True Network’s TypeScript SDK to create reputation algorithms that run as WebAssembly (WASM) modules on the network’s nodes. This innovative approach simplifies the process of building reputation models, enabling applications to identify and reward power users efficiently.
Key features of True Network include:
- Reputation Staking: Allows users to stake their reputation scores, offering a low-barrier alternative to asset staking.
- Reputation Aging: Encourages continuous contributions by gradually reducing scores for inactive users.
- Customizable Algorithms: Developers can design algorithms tailored to their community’s unique value system.
Technical Architecture of True Network
True Network’s architecture is built on three core components:
- Issuer Pallet: Manages reputation issuers and their credentials.
- Credential Pallet: Facilitates the creation of schemas and attestations using the TypeScript SDK.
- Reputation Pallet: Processes attestations through WASM modules to compute reputation scores.
The protocol also features an Algorithm Compute Module (ACM) for transparent execution of reputation logic and a Reputation Utility Module (RUM) to enhance usability. Together, these components provide a robust foundation for building and scaling reputation systems.
Applications of True Network
True Network’s versatility opens doors to numerous use cases across Web3:
- Gaming: Reputation scores can drive tournaments and reward systems.
- DeFi: Enhances lending protocols by assessing user trustworthiness.
- Social dApps: Improves user retention through rewards and recognition systems.
The protocol’s ability to adapt to diverse community needs ensures its relevance across various domains, making it a universal solution for reputation management.
Raman Network: The Testnet for Innovation
True Network’s private testnet, the Raman Network, serves as a sandbox for developers to explore its capabilities. With early versions of core pallets—Issuer, Credential, and Algorithm—the testnet enables rapid prototyping and deployment. Developers can leverage tools like the Reputation CLI, TypeScript SDK, and Blockchain Explorer to streamline their workflow.
Conclusion: A Vision for the Future
True Network aims to become the “Reputation Layer of the Internet,” bringing accountability and meritocracy to Web3. By enabling dApps to build customizable reputation systems, it addresses critical challenges in user retention and engagement. With its focus on permissionless, transparent, and persistent systems, True Network is not just a protocol but a foundation for the next generation of decentralized applications. As Web3 continues to evolve, True Network’s innovative approach positions it as a cornerstone for building impactful, reputation-driven ecosystems. By turning reputation into an asset, the protocol aligns with the core values of blockchain technology, paving the way for a more equitable and engaging digital future.
🎮 Introducing @DotCadeFun - On-chain arcade games for the Web3 era! 🚀
— Polkadot Now (@PolkadotNow) December 23, 2024
🔗 https://t.co/sdUGnfouau
Built during @Polkadot What the Hack by @prathamesh_io.
DotCade brings:
✅ Unified gaming identity
🌐 Decentralized & transparent gameplay
🔧 Powered by @TrueNetworkIO,… pic.twitter.com/tG50TihmFe
We sponsored our first hackathon this year @ETHIndiaco 2024, that concluded earlier this month, and the results are amazing.
— True Network (@truenetworkio) December 22, 2024
⭐️ 2 out Top 10 finalists are built on True Network
⚡️ 18 out of 260 projects leveraged True Network's SDK for on-chain reputation systems.
1/n 🧵