How onchain analytics will change business reporting

Transcript

GM GM Welcome Friends back to another episode of web3 Academy a place for entrepreneurs creators and businesses to learn how to use web3 to build thriving communities in sustainable businesses today's episode we're talking about how on-chain analytics will disrupt business reporting forever I believe that on-chain analytics is going to be one of the biggest industries and one of the most important skills and data sources the business world has ever seen it is going to be that big as more and more pieces of data go on chain that is exactly why we have launched web Theory Academy Pro it's to get ahead of this it's to understand on-chain analytics

better than anyone else in the space it's to explore what is happening in web 3 what businesses business models Technologies protocols you name it which ones are winning in the space not by speculating but by looking at the real data and turning that data into something digestible for myself off and for all of you listeners to actually just understand that's the whole point onto analytics is not necessarily the easiest thing in the world not all of us are numbers people but when you can take those numbers and turn it into something digestible that is actionable for a business builder for an investor for a Creator who's diving into web3 it's an unbelievable thing and so we've launched our first report last Thursday

I want you to check that out just go to W3 academy.io and you'll see our newsletters there check out our sub stack and you'll see it all right now it's free it's available to anyone these will be getting paywalled very soon and so if you want to stay on the Forefront of web3 if you want to understand the true data and what's actually happening in the space then it's time that you become a pro member and the good news is you can do that right now for 50 off for life listen I'm telling you this is going to be one of the most important resources for your web3 journey if you want to stay on the Forefront if you want to understand how to invest how to build how to create in this space if you want to know what's winning web3 Academy Pro is going to be and already is the number

one resource for that so make sure to sign up it's 50 off for the first hundred people I'm not sure how much longer it'll last but this comes out on Monday so probably not much longer if it's even still available just head to our sub stack our newsletter you probably have to put your email in first just to log in and then you'll see the option to sign up for pro there thank you all for sure your support I'm super excited to be bringing out this content to you every single week on Pro you get access to a Discord a specific Channel we'll have monthly live q and A's we'll be doing tons of stuff with on-chain analytics so become a pro member and I'll see you in there until then let's talk about how on-chain analytics will disrupt business reporting forever unlock protocol is the

nft membership protocol for web3 Content subscriptions Community Access event tickets are all forms of memberships one of the most common business models for creators and entrepreneurs today building an nft membership opens many new possibilities for your members everything from tailored multi-platform experiences to the ability to sell an unfinished subscription on secondary markets these are things just not possible in web 2. however it in order for this business model to work creators need nfts which are time bound or have built-in recurring payments unlock protocol does this for your nfts better yet with a few simple steps you can

create your own nft contract without code what WordPress has done for websites unlock protocol is doing for membership nfts if you're an nft Creator you can't rely on royalties as they are likely going to zero you need recurring Revenue you need unlocked at web3 Academy We Believe nft memberships are the future of business and community and that's why we decided to build on unlock learn more at unlock Dash protocol.com so on-chain analysis one of the most powerful Tools in web3 it allows us to dive deep into companies projects Dows and more to uncover the trends user

activity Financial Health and overall performance of a particular entity it gives power back to the people where previously most businesses data is locked tightly behind private servers but times are changing in this deep dive we're going to break down what onshine analytics is and what's wrong with current business reporting the main ways on chain analysis will improve data access and how we can leverage on chain analysis to improve our decision making so let's dive in what is on-chain analytics well on chain analytics refers to the process of analyzing transactions and other data that is recorded directly onto a blockchain remember a blockchain is essentially an open permissionless and transparent Ledger everything which uses the blockchain this could be

non-fungible tokens fungible tokens wallets smart contracts Etc they all have a unique ID that can be tracked by anyone at any time this can include analyzing the volume of transactions on a blockchain tracking the movement of tokens between addresses the activity on a specific application or protocol and identifying patterns or Trends across blockchain use cases for example we can view and analyze any of the on-chain data from openc such as its monthly fees generated or nfts sold on-chain analysis also allows us to look at the volume on specific blockchains whether it be Solana ethereum polygon it doesn't matter regardless of what data you decide to dissect onto analysis can provide valuable insights into the usage

and Adoption of a particular protocol application or company and can help to inform business decisions but what's wrong with current business reporting processes in the current state traditional methods such as financial statements and annual reports rely on manual processes and data entry which can lead to errors manipulation delays other things might be lack of transparency right some companies are not transparent they're reporting which makes it difficult for stakeholders to understand the true Financial Health of the business on top of this private companies like Twitter for example or even governments aren't obligated to report their financial metrics bias is another issue right there's potential for bias in business reporting either

intentionally or unintentionally for example a company may be more likely to highlight positive information and downplay negative information in its reports timelines Financial reports may not be published in a timely manner which can make it difficult for stakeholders to make informed decisions and the final issue is lack of standardization there's a lack of standardization the way that companies actually report their financial information which makes it difficult to compare the performance of different businesses however blockchains offer a solution to these issues by providing a tamper-proof record of real-time activity that can be easily tracked and analyzed so how on-chain analysis will change business reporting will on-chain transactions give us an Insider's view

of companies protocols NFC Collections and even blockchains themselves this benefits users and entrepreneurs as they can easily analyze an entity of their choice at any time helping them make Better Business decisions such as choosing the right social platform to build their following on in the case of creators some other reasons might include increased transparency and accountability right one of the primary benefits of online analytics is increased transparency and accountability by analyzing data that is recorded directly under the chain it is possible to see the performance of an entity government company whatever that may be at any time we choose for example we can see the number of users interacting with the business through product purchases membership programs

Etc the financial data for online entities such as their treasuries their balance sheets transaction history this level of visibility is important for building trust in the business and for ensuring that the company is operating as it should without this transparency we'll continue to experience situations such as the one with FTX where everyone simply had to gauge spf's authenticity based on his Persona however if FTX was on chain it would have been much easier to realize that the exchange was operating in a risky manner rather than relying on his tweets or a bankless podcast episode right more accurate and up-to-date data is another benefit of on chain analysis so it's changing business

partner but providing more accurate up-to-date data you can even head to Dune right now and browse real-time dashboards that were created by fellow web3 doers such as the one below in this video which is a chart of Bach and you can see the latest meme currency to hit web 3 and how many users are buying the token on a daily basis weekly basis whatever you want now I don't care about Bach so don't take that as Financial advice just saying you can look at that if you'd like by analyzing data record on the blockchain in real time businesses can get a more accurate picture of their operations and make more informed decisions this is particularly valuable in Industries where information changes rapidly such as the financial and Technology sectors however this is also important information for creators

entrepreneurs and investors for example investors can spot Trends before they reach crypto Twitter which is when the trends usually is about to die on the other hand creators entrepreneurs can use this information to build new products or for its Partnerships with projects that are gaining steam improved efficiency and cost Effectiveness by automating the process of collecting and analyzing data on-chain analytics can help businesses save time and reduce their Reliance on manual labor one day we may even see the death of a company reporting As We Know It with company data being available at all times rather than only during official releases instead on-chain reporting can free up resources that can be used for other tasks such as strategy and innovation on top of this transacting a blockchain

can improve the standardization of reporting since pulling data on each respective chain is literally the same while reducing the cost of maintaining proprietary databases so how can we leverage onto analytics to improve our decision making well one of the biggest unlocks about genealytics is that it allows us to dive deeper into Data from large entities that would otherwise be locked behind closed doors this allows us to make accurate and timely decisions about our businesses or Investments where we previously had to rely on occasional reports and oftentimes those reports don't even have what we need in particular there are three areas where on chain analytics can help us improve our decision making one on-demand financial reporting two marketing and customer analytics this

one is massive and three Supply Chain management which is actually quite interesting so let's break them down further on-demand financial reporting if a company transacts on chain anyone can access this data anytime this means stakeholders can enjoy a clear picture of the company's Financial Health helping to build trust and confidence on top of this we're free to analyze any piece of data on chain whereas official reports only include information that the issuing entity deems important it also prevents entities from hiding negative information such as a lack of financial reserves or declining revenues and so on and so forth in 2022 we saw that real implications some we still are unraveling we still haven't seen them

all yet but of opaque Finance reporting right FTX arguably the largest culprit use Shady tactics to pump its native tokens valuation and then use it as collateral on top of this The Exchange had back doors built in which SPF and others use to siphon funds from the company not to mention the numerous donations to multiple entities Celsius another one and now these are just crypto industry but this is across all Industries but Celsius it's a lending platform promise users an almost 20 apy on stablecoin such as UST the now defunct Terra USD stablecoin consequently The Firm was forced to take risky bets to ensure they could live up to the outrageous yields they promised but since we couldn't see their Investments on chain many investors are now stuck in a bankruptcy battle however

if these and other centralized firms were operating solely on a blockchain users in on-chain sluice would have caught wind of these poor tactics limiting their downside marketing and customer analytics right now the actions people take whether that be posting on social media or buying a product are hidden and stored in private company servers right Facebook Google Etc they have all that data but as web theorem folds all this will be fully transparent for anyone unlocking an unbelievable amount of data not only will be able to analyze the Financial Health of companies but will also be able to do an in-depth analysis of who customers are and what else they hold in their wallets think about how important that is when people start to hold certifications

degrees concert tickets event tickets and more all in the same wallet we will know so much more about the people who are interacting with different protocols companies Dows Etc this is a massive win for Builders so they can gain a greater understanding of Their audience and Community allowing them to create experiences in Forge Partnerships that their customers benefit from for example on Dune you can find on-chain analysis of board at Yacht Club holders and the other nft collections that they're buying and selling you can do that right now while this is good investment information if you would to believe that board Yacht Club holders are good investors because you can literally analyze purchase in real time it can also be used by you the labs the company that owns border Yacht Club because Yuga can easily see what Board of Yacht Club holders are interested in

in partnering with other projects for experiences giveaways and so much more it's pretty amazing and that's just touch the tip of the iceberg what's possible here when looking into other customers and what they're holding in their wallets and things like that this is just going to be a massive unlock and we're going to really lead the charge in that because this is kind of our wheelhouse so Supply Chain management is the third one there are several problems with current supply chain reporting that can be addressed through the use of on-chain analysis one problem is a lack of transparency it can be difficult for businesses to get a complete and accurate picture of their supply chain operations particularly if they rely on a manual process and data entry this can lead to inefficiencies and errors as well as a lack of trust from stakeholders not to mention the amount

of inflation we have right now due to Supply Chain management issues this could be a massive unlock and make things more deflationary as well another problem is the potential for fraud and Corruption without a tamper-proof record of activity it can be difficult to detect and prevent fraudulent activity within the supply chain a third problem is the inability to track and analyze real-time data traditional supply chain reporting relies on periodic updates which can be outdated by the time they are presented this can make it difficult for businesses to make timely and informed decisions on-chain analysis can help to address these problems by providing a tamper-proof record of activity that can be easily tracked and analyzed this gives businesses a more accurate and up-to-date picture of their operations making it easier to identify

inefficiencies in areas for improvement and you can see it all in real time which is incredible the question here and maybe this has come up for you as I'm speaking is should this data actually be publicly available there's no denying that on-chain transactions provide Insight Rich data that we could have only dreamed of accessing before blockchain technology now while it's extremely beneficial to those outside of public and private corporations since we can decide for ourselves whether they're acting in our best interest or not what about user privacy you might be asking one of the big reasons that people came to web3 is because corporations don't control or use our data however if everything is publicly available doesn't it negate one of the benefits of web3 well some people

may believe so but with tools and Technology such as zero knowledge cryptography technically what's going to happen here is no one will be able to tie pieces of data to a particular personal identity ensuring user privacy now that Tech is still coming along I think that's going to be one of the bigger texts to come out in 2023 is your knowledge proofs but that's going to do an amazing thing that will allow us to use this data but not connect it to a specific person and that's going to be really really interesting so outside of that on chain analytics is poised to change the power dynamics of business reporting no longer will companies be able to serve the information they deem important instead people themselves be able to decide what data they want to glean from an organization

and that's exactly what we're doing with web3 Academy Pro our newest resource for anti-analysis where I am going to dive into the businesses the business models and the tactics that are winning in web 3 and so if you haven't already make sure to check out the reports that are still free okay the latest one is on the future of social media lens protocol basically doing a quarterly earnings report not earnings report but about activity and growth eventually we'll get to the earnings side of things it's just still too new but we dive deep into the social graph of lens and give you a nice insight there and show you what's possible here so that's it for now friends I'll see you next time but don't forget you can be one of the first 100 viewers to go pro and if you do that you'll receive 50

lifetime discount on web3 Academy Pro so do not wait until it is too late because it will be too late very soon and you're going to want this resource don't get it at full price get it when it's 50 get it early being early always wins in web 3 we all know that we've all learned that so that is your opportunity today friends thank you so much for listening to this podcast I would very much appreciate it if you could give us a share you know give us a follow or a subscribe on Spotify podcast YouTube wherever you are listening to this it helps us grow it helps us get this information out to more people so that we can make web3 bigger and more broad for everybody we need growth we need

adoption and it's media platforms like this that help bring in new people into the space and it's people like you who help us grow so thank you for being a supporter of web3 Academy I'm Kyle reedhead I love to be here I love to chat on this podcast so thanks so much for listening and I wish you all the best my friends thank you for listening to web3 Academy we hope this helps you along your web 3 journey and if it does please share this episode And subscribe so you don't miss the next one nothing in this podcast was Financial advice crypto and web 3 can be risky you can literally lose it all in fact if you invest on account of what we say you probably will lose it all so don't do that in all honesty the point of this podcast is to remove the noise of

markets and price and focus on utility and implementation anyway so you should not take any of this as Financial advice thank you friends and see you in the next one