Version: 1.0 | Last update: September 30, 2019 | cosmochain.io
Vision of Cosmochain: Reorganize information within the beauty industry to create 'consumer-centric' database, and thereby develop a new ecosystem that connects consumers with suppliers.
There are various contact points between consumers and suppliers within the beauty industry, ranging from traditional media to various social media, online communities, and on/off-line distribution channels. However, information incurred in each contact point is scattered rather than connected, because each marketing and distribution channels have sole ownership of the information which is not shared. This is why 'consumers' face difficulties finding meaningful information for themselves amidst a myriad of information, and 'suppliers' fail to understand their consumers fully. Cosmochain aims to reorganize information within the beauty industry to a 'consumer-centric' database and create new values by connecting consumers to suppliers.
To realize its vision, Cosmochain will build an ecosystem whose structure facilitates smooth value exchanges between consumers and suppliers, who initially lacked points of contact. In this process, Cosmochain implements a model that utilizes tokens to secure liquidity of funds, and use minted tokens to accelerate the reorganization of information into a consumer-centric database.
When designing a token economy, the first and foremost consideration is to ensure that the token is actually used in transactions.
The flow of funds within the beauty industry occurs in marketing and distribution channels which connect consumers and beauty brands, who are the key market players, and extends into the manufacturing sector, connecting beauty brands to OEM(Original Equipment Manufacturing)/ODM(Original Development Manufacturing) manufacturers.
Cosmochain's priority lies in building a structure of virtuous cycle by realizing the flow of funds between the two key players of the beauty industry, from the flows which already exist to others yet to be materialized.
In realizing Cosmochain's vision, it is essential to utilize blockchain for areas involving token and data, but this goal cannot be achieved if the participation of market players is frustrated by technological barriers. To ensure sufficient accessibility, Cosmochain aims to remove or minimize these entry barriers by complementing features that are difficult to access with service level features.
In the process of realizing the ecosystem, sensitive information of individual players or information with data values should not be publicly disclosed. Personal data consumers submit through DApp, the amount of tokens consumers acquire, and details of marketing fee payment that brands make will be managed internally for privacy and preservation of data value. At the same time, Cosmochain will increase the credibility of fund inflow, outflow, and circulation by designing a structure that can transparently disclose the fund flow of the overall ecosystem.
As can be seen in the real economy, hyperinflation causes price levels to soar, while deflation leads to economic recession. On the other hand, an acceptable level of inflation is rather encouraged as it can drive economic growth. However, inflation through minting implemented by numerous other DApp projects has resulted in hyperinflation, and thus significant depreciation in token value, as they failed to accompany an increase in demand. To prevent this, Cosmochain will address both demand creation and supply control, and stimulate the ecosystem by implementing an acceptable level of inflation.
Historically, various monetary policies have been attempted, and conflicting theories and concepts exist. Monetary economy is complex, and even a small change can result in unexpected side effects. Even the Federal Reserve of the United States, which has substantial influence over the global economy, has experienced a history of repeated successes and failures over the past 100 years since its establishment. Therefore, rather than aiming for the perfect solution at once, Cosmochain aims to continuously improve its token model through adjustments in accordance with the changes in the scale of its ecosystem.