SORA AMA | Most Burning Questions

Recorded: April 24, 2023 Duration: 0:35:49

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Hello everyone, it's 5.01. I think we can get started. Can everyone hear me? Can someone throw a thumbs up or some other acknowledgement that heard loud and clear grades?
Thanks for hosting this in Prom2AVA. I am Katsur.hats as many of you know me. I'm a contributor to the Sora Network, Sora community member.
happy to be here answering your burning questions, your most burning questions. So today we have about seven questions that we'll go through from the community and then from there I will go ahead
And let you ask any questions if you have, if the audience has anything they would like to know. So, with that said, I think we can get started.
So the very first question that we have received is what makes
Sora, a suitable economic system for nations. Well, that is a very interesting question. And I think
What makes it a very suitable economic system is the fact that it's supply is managed. Well, the fact that it does not have a fixed supply first, the fact that it's a player is managed by talking wanting curve.
And I think most importantly is the fact that different communities or different organizations or users can propose
funding to the
So our parliament to then uses for productive purposes. So this is much better than let's say using
I don't know something like Bitcoin where the supply is fixed and basically what you're doing is
adding another means of payment or another legal tender or another currency that does not have any control from the users.
And that is quite difficult to actually introduce some sort of policy that can foster economic growth. So yeah, the big difference, I guess, or the answer to that question would be that
So, right, it's a suitable economic system for nations because nations can adopt it to support their economic growth through what is known as
quantitative easing. There is a lot of theory on this in the Sora Weeki and there's a really good explanation about it as well that the Sora community has provided. So second question.
How can Zor help countries like Argentina and what are the advantages against dollarization?
I guess it means de-dollarization. But I think this is very tied into the first answer. Why is it a suitable economic system for nations?
it can help countries like Argentina because it can support productive growth in the economy and it can also help with the different
means of inflation. In fact, I was just discussing something similar with the founder.
and CEO of Sora Mitsu Makoto Takamiya, who is also a contributor to the Sora ecosystem about
how so can help countries like Argentina. In fact, he is in the audience. I don't know if we can get him on to also help us.
answer some of these questions.
[Clock ticking]
Yes, so we've invited Marco Tusson also to join us and answer some of these questions.
[knocking]
And while that happens, I will go ahead and answer the third question, which I think resonates a lot with a lot of the people listening. So
The question says, the whole concept is much too complicated for, is much too complicated. No one I talk to does get it. Simplicity is an art. My recommendation would be to act accordingly. I am sure adoption and interest would rise.
By the way, you once had the reasonable plan in place to not mint any Zor until the $800 price.
Yes, indeed. So, I guess I will address that in parts. So the whole concept is much too complicated. Basically, if you want
very simple terms. So our aims to be blockchain based money. This means that not only does it not have
Tokenomics in the sense of a circulating supply of tokens, but rather Economics in the sense that it has a financial economic policy that
or OK, questions can also implement. Yeah, the aim is for then goods and services to be produced using, so using the sort token as a base.
Yeah, I think this is a pretty simplistic way of putting it. Then, a reasonable plan in place to not mint any Zor, well, no Zor is being minted so far. The only currency being minted or the only token being minted is a TBCD, which is used
to fund production on the SOAR network. I see Makoto-san is speaker now. Thank you for joining us. Makoto-san, could you help us address the question of how SOAR can help countries like Argentina and what are the advantages against dollarization?
Oh, that's a good question. I mean, you can still have deolarization and have a sore based economy. Like you can use both. There's several examples of countries that use dual currencies. Even China uses two currencies. They have a CNM
which both are typically called the Chinese yuan, but there are actually different currencies, different markets and exchange rates and capital can fold. So yeah, what you could do in Argentina is you could fix the peso by
paying it to the dollar using a currency board and then that would stop the high inflation. But at the same time you still have to have economic growth. And to have economic growth, you have to have expansion of the money supply for productive output.
Just a requirement if you want to expand output you have to pay for the output and you can't just rely on private investment because that Actually just crowds out other uses of the money and so you have a
strong limits is to how fast the economy can grow. So if you want to have reliable economic growth, what I mean is the nominal GDP growth, you need to pay for it with new the minted, or new the expanded purchasing power. So what you can do is you can have
You can have the pay-so-peg to the dollar using a currency board and then Zor would be actually kind of used to fund a productive output investment domestically.
You would want to have some kind of plan too. So it's not enough to just randomly distribute money to people to build things. You have to have a plan that explains what they should be building using the principle the best, the right activity in the right place. So not every
country has the same natural or human resources and so you need to take that into account in order to have a rationalized output plan so that you can maximize output and maximize economic growth.
So Argentina could stop their high inflation within one week if they turned the peso into a currency board and then adopted Zor as the legal tender currency as well in order to allocate to producers to grow nominal GDP.
that concise. And I think it ties very much with the questions that we get about to consupply increasing the whole issue of inflation. I think it's very misunderstood by a lot of people, a lot of users.
Yeah, pretty much anyone using money who is found themselves using purchasing power definitely is subject to the bad kind of inflation. So that is I guess a
Almost a taboo for people when they're talking about money. And this also now ties into the crypto aspect of it when we have questions like, why is the token supply increasing like hell? I think this can very much be--
another aspect of not understanding inflation fully. In fact, to address this question of why the token supply is increasing like hell, the Sora ambassadors through, sort of daily prepared a very interesting thread where the explain if it's possible to create money without inflation and unfurlable.
Well, fortunately, or unfortunately, you can create money. And if the inflation is of a good kind, meaning that it goes for real economic activity and production, then yes, you can increase these
supplies and not damage economies? Would you like to add something on that? It's important to really be precise when you're talking about economics. So inflation doesn't just mean increase in token supply. Inflation is meant
to be well CPI or consumer price inflation, which is related to purchasing power. And purchasing power is a function of many variables, not just a token supply. An important variable, of course, is velocity. And so the token velocity is quite important, especially in small economies like
So there's different, not all the tokens are really actively circulating in the economy. So Pokuswap is a big sink for a large amount of Zor and also things like staking both on tomato farm and validators also lock up Zor, effectively taking them out of circulation even though they're still counted.
the supply. So it's important to kind of think about the different variables. So what are the uses of Zor and what is the velocity meaning how many times is the same Zor used in transactions in the economy?
So, you know, it's still really small crypto economic system. It doesn't really have the ability to stand on its own feet really because it's so small. And so, that means there's very little real economic activity going on, a lot of its speculation. That's why we have so many, I think,
is say cycles of volatility that are heavily market-based and actually highly correlated with other altcoins. So it's not so much a function of the token supply. It's more of the lack of real economic activity currently that is leading to volatility.
And we won't see as much volatility if we can see more real economic transactions going on the store network. So that means producers creating new things and selling them for sore. An example being, well, noir. But it can also be digital goods or services like NFTs or other types of things.
Yes, thank you for that great explanation. And moving on, from this we have another question, well, a subset of the why is the token supply increasing? Why you lied about the SOR card? I think there are two questions regarding
source card, which the other one being why is the progress of source card always at 95% and the relative tokens have been continuously declining. So yeah, the ecosystem updates that were published last week, I think really
So it's a purpose to exemplify what exactly is going on with the delays within the these sort of card. So when it comes to these aspects, banks have to be really, really secure and really, really safe to make sure that every all the money
that is going to be circulating on it is supple for users. I mean, they cannot, I think no one can afford any losses out of negligence. And the delays are more of the fact that a lot of due diligence has to be put into making sure that everything, every line is
But it proves that there's no way that any exploit can happen, that everything is safe. And so if unfortunately the release is taking a little bit longer than intended, I think on the upside this means that a lot of effort and a lot of care
and a lot of attention is going into making sure that the people who end up using SoraCard will be able to rest assured that their funds are safe and there will not be any major risks.
Okay, so then the next question is quite interesting. What is TBCD? So TBCD is a token within the Sauron network. It is
slightly below the value of $1 and it is used to fund the many builders and partners in the store network. It can only be allocated by on-chain governance.
token holders have to token holders as well as the council have to approve the minting of this currency for necessary or productive purposes. And it is also integrated to the token bonding curve. So then
store increases to the ideal value, which is between $600, $800, the closer the value will be to $1. Am I explaining this on?
Right, as well as -- A little bit confusing explanation. Sorry for coughing. I don't have the COVID. Just choking on some food. But the idea really is that TBCD is used to pay for builders in the
ecosystem and you don't want builders to dump, to put it bluntly when the system is in this nascency if they don't have to. So you have an incentive for holding by giving a discount to the value of TBCD when the store price is low and then when the store price gets higher then the discount goes down.
and eventually at around $100 or the discount becomes pretty negligible. So what that means is holders don't have to just sell their TPCD. They can hold on to it. I mean, builders can hold on to it with the expectation that
the price of Zor goes up in the future, it will be worth more if they don't have to just sell. So that's kind of the thinking behind it. Also, sorry, just to against food. Because the
token bonding curve accepts TBCD as a reserve asset. There's a large amount of TBCD and the reserve reserves that are token bonding curve. And in the future, as a TBCD goes up in value with the value of these reserves also will go up, so it's kind of good for the ecosystem as well.
Yes, thank you for that concise explanation as well if your curious on more insight regarding TBCD there is a very interesting article written by a community member your starry called simply Sora source table coins that discusses the TBCD
in very interesting terms as well as using some really nice diagrams that can explain these different mechanisms that Makoto-san was just mentioning. There is also an article in the Sora Medium called Introducing T.
TBCD that has a good explanation on the fundamentals of this token. So yeah, there are lots of other really cool guides that you can check out if you want some more details about how TBCD works. Great. So moving on to the next question.
And when substrate bridge want to swap KSM and dot on Pogoswap ASAP. Yes, you are not the only one. I think the answer I can give you right now is soon. Hopefully this can happen really, really quickly as
Yeah, a lot of work has been put into making sure that the bridges are ready soon. The latest ecosystem update, we revealed that there is work going on on the documentation for the front end of the bridge.
So I think, yeah, we can expect a lot of very interesting progress with the substrate bridge coming very soon. Okay, so I think we have covered now the different questions that were submitted before.
the space started. I can see that some people also asked some questions. In the meantime, we have one from Ergen Edith. Is there a problem with your supply? Brenn a little please.
I think we've spoken a bit about the different mechanisms there available with supply and inflation. So what we need is more users on the network so that we can get
the value up. We'll sort of be using Hyperledger Erochow when sort of version 3 launches. That is a secret, so unfortunately we cannot give you an answer right now. Sorry about that. What bridges coming
expect this year example BSE polygon kusana. Yeah well usually giving timeframes is not very very good practice so as I mentioned just now
Now the subsurbitch is undergoing very good progress. The front end is coming soon. The trust list multi-evm bridge is also getting some very interesting progress there.
We hope that they will be ready very soon so that everyone can access them with Southern Freedom through Pokerswap. I think we'll be able to support BSC
Fairly soon, I'm not going to say what soon means, but I would say that probably this summer we would have some exciting announcements in that direction.
Nice, you heard it here, and you heard it first. We're looking forward to a good summer then.
in terms of bridges. So another question from the same Mr. Shyshul. When can we expect the loop between funding and product services being released, titan stabilizing the economy?
That is...
an interesting one.
Yeah, there's a delay between funding production and the actual production coming out because you have to build things. And in a large economy like a country, this wouldn't
matter as much because it would be so big and there would be so many different producers in the economy. But with a small economy, it matters more. But as the economy grows, this gap between
funding and production won't matter as much. So we just have to keep steady build and work hard and then I think there's a lot of value
you to humanity in what we're building and because of that I think it's pretty obvious that you know hundreds of millions of people can take advantage of the technology we're making so I'm not really worried about it.
Definitely, I think in terms of the technology, we're really working hard to make sure that all of the very stable foundation is set. But we definitely will encourage you, dear listeners, to use the network, to share the network.
and share the benefits of Zor and PokerSwap and other parts of the Zor ecosystem with your friends and family and relatives, etc. so that we can grow the system and indeed narrow the gap between
products and services and the economy growth. I think it would be a good way to make the loop smaller. So another one is Pokerswap compatible with Hyperledger Eroheng. I think
At the moment it's not.
but that is all I will say because I don't want to spoil it. Let's move on. What does a long-term vision of Pokerswap and ALT look like?
Right. So with the bridges that are coming in, the long term vision here is for focus swap to be the liquidity hub of not only the substrate ecosystem, but also
So beyond with all of the innovative technology and all of the different features that Pokerswap has, it's very well
Well, set up to be the one stop shop for all things decentralized finance, I believe is.
part of it. I don't know.
I am not very versed in ALT, so my question is, would you like to add something, some alpha information here?
Yeah, so there will be an article about FocusWag ALT coming out, I guess, next week, next Friday. So look out for that.
Great, so unfortunately the answer for that question would be left on the cliffhanger, but yeah, we hope you look forward to and read the article coming next
week. Okay, I think we still have a couple of minutes. Is there any burning question that anyone would like to add before we sign off?
There was a question that these Sora ambassadors
asked me earlier, which I think is quite interesting to add to this particular talk. So they mentioned there's always a huge push for marketing within the crypto space. Do you see this as a priority for projects? Does development come first or is there a good equilibrium
is having a priority in marketing sustainable. Yeah, so I think this is a really good question. And when it comes to marketing in this space, there are two major issues. So the first one is that privacy is a priority. And so
harvesting user data and using it to sell services is not really congruent to the privacy aspect. On the other hand, paid shillers aren't trustworthy and most of the time they don't understand the sort of
the mentors. So the focus really is on educating users about the power that Swarbrings and the very hard work being put into building steady foundations for the network. So with that said,
I definitely have to say that the Sora ambassadors are doing a great job at
Yeah, advocating the values of the network.
Okay, I think to general wants to talk
Yes, can we get the general on as a speaker please?
Do you hear me? Yeah, yeah. Great. Thank you that I can ask a live question here. It's great that you're hosting that kind of live AMAs. It's really cool that that Makoto
is also here, William is also great to be here and thanks for the host that opened the maker for me. I would like to ask a simple question to Makoto, William. What is one topic about Zora that you
want always to talk about but never had the chance because people always asking only about the supply increase. So can you can you answer me what's burning burning topic that you guys would want to talk about but never had the chance for that. Thank you.
Oh geez, I would say that people are surprisingly uncurious about sword version 3. So I wish people would ask more questions sometimes about that instead of just about the supply.
Great. Thank you. Yeah, I think my topic would be people talk more questions about how cryptocop
Currencies can be used as money or legal tender or as means of exchange or stores of value instead of speculated assets, I think.
But with that said though, Makoto-san, there was a question, will Sora be using Hyperledger Iroha V3 when it launches? Maybe we can, yeah, leapfrog onto talking about Iroha V3 with this.
Well, it's either a bit too, but yeah, so like Williams said we can't talk about the specific technologies yet, but I mean we can talk more about the features. So, SOAR of V3 should have some really cool features like an integrated Oracle network.
networks, you don't have to maybe have all this potential security implications of using an external Oracle provider. You want Oracle data to be secured with the same level of consensus. That's one exciting feature I think we're
working on also easier smart contract deployment capabilities and event driven smart contracts are going to be really exciting. So I don't know what to say other than you can wait.
But yeah, feel free to ask questions in the chat and if it's something we can talk about we'll talk about I think we will have a preview article in the coming weeks maybe in a month or so Talking a little bit about Like an overview of what the features are that are targeted for the V3 release of Sora
Nice, I really look forward to the upcoming articles that the Sora Network will be publishing soon. Especially the one on ALT, I think it's very interesting how this technology can really benefit.
with finding liquidity sources far and wide. So, right, I don't know if there are any new questions, but with that, thank you very much, Makoto-san, for joining us.
I hope that the community has resolved some of the several doubts that they had. If you do have any questions, you can find my koto-san and myself in the different Sora community chats on Telegram and you will also
find the very helpful sorambassadors who will try to answer any other burning questions that you have. If you liked this format of AMA, please let us know and hopefully we can have a repeat in the future.
Let's get back to work. Yes. I got this on. Is there anything you'd like to add? No, I think that's perfect. Let's get back to work. There's a lot to do.
Great, with that, thank you very much for joining us, and let's get back to work.