My name is Frankie and I am the founder of Alter, a streetwear brand that is utilising the ICON blockchain, we launched in July and have already progressed a lot in terms of connecting physical products to the ICON blockchain. All of our physical products come pegged with an NFT which is used to verify and authenticate the product along side some other benefits.
We have now started to move onto the next stage in connecting physicals to the blockchain, this is with our mint and redeem streetwear collections. We have partnered up with many projects within the ICON ecosystem to kickstart this. People will be able to mint an NFT which is backed by physical streetwear/merchandise, they are then able to trade, gift or redeem it for the physical product, upon redemption we send out the physical and a claimed version of the NFT which acts like a receipt to verify and authenticate the product.
With each wave/ cycle we get a step closer to mass adoption and I genuinely believe redeemable NFTs will be a major part of the next wave, pushing us even closer to mass adoption with the general public. We are already seeing big brands take a leap into the blockchain space and experiment with NFTs.
Tying physical products to an NFT make sense for a number of reasons, verification, authentication, IP use cases and speed of transferring ownership of a physical product are a few to name and we want to position The Redemption as the go to platform for redeemable NFTs.
So, what is The Redemption? The Redemption is a project tailored to redeemable NFTs, it will be a platform and marketplace where people can use to Mint, Trade, Gift and Redeem NFTs for physical products and also use our merchandise services.
Mint (Projects/brands/Artists)- Will be able to apply to list redeemable NFTs, this process will require certain verification steps to try safeguard users, along with this we will also have an emergency fund being built from a % of sales/ trading fees.
When applying, they will have the choice to either use their own products they have sourced or they can choose to let “The Redemption” source the products for them (If it is one of our available products). They will then be required to include certain information such as expected delivery time and details regarding the product in question etc.
This opens up another revenue stream for projects and artists, also giving the community another way to support the project/ artists and in return having a physical backed NFT.
By using our services, projects and artists will be able to offer high quality merchandise to their community without the having to go through costly and time consuming sampling process, The Redemption services make it much more convenient and cost effective due to some services having zero upfront costs involved.
Trade- I personally like and am looking forward to this part, initially you may think “why would anyone trade an NFT backed by a physical product such as streetwear etc” but we see it all the time in the real world, an item will go on sale and sell out in which it will then be traded on the secondary market for a profit or years go by and a certain shoe, item of clothing or product will be in fashion/trending so it begins being sold for more than initial retail or more than previously purchased.
The good thing about having it on chain is that the unclaimed versions will be seen as the most pristine version, even more pristine than having all packaging, receipt and un-opened due to it still being stored with the brand/project but you still own it. This also creates a physical trading system that is faster than traditional means, If you (the holder) want to sell an NFT that is backed by a physical cap or canvas, as soon as it is sold thats it done, no need to send out the physical package even though you have theoretically sold a physical item.
We also have plans to implement an NFT trading desk in the future, for example you could have 1x limited edition redeemable NFT canvas and trade it for 2x other redeemable NFTs that you may be after.
Gift- What better way to introduce someone to the blockchain space, a gift is a great incentive to peek interest into exploring something.
People will be able to mint an NFT which is backed by a physical product and head on over to the gift page, where you will be able to enter someones ICX address and send the NFT. (we will also explore other options such as redemption codes to claim gifts via email etc).
Redeem- This is the final stage, this is when the holder decides they want to claim the physical product. The user (holder) will go to the redemption page where they can view all their NFTs which are available for redemption, they will select which one they wish to redeem, fill in the delivery details and click redeem which will burn the unclaimed version out of circulation, they will then receive a claimed version of the NFT which will be used for the verification and authentication process, acting like a receipt.
We also have plans on implementing a separate page for people to view their NFT “receipts”, these won’t be seen on the tradable page as it would just cause confusion in which is claimed/unclaimed.
Once fully operational, we plan to expand out to include an all in one IP service, this service will give people a way to profit from having full IP rights of their NFTs.
People/projects would need to apply for this service.
- We would then check the NFT they have applied for allows their owners the correct IP rights. (we will work on building a database to automate this process)
- They will then be able to choose from a range of streetwear products, canvas or digital display screens. (More products will be added as we grow)
- Send us the design which we will check is appropriate.
- (Potentially) they would then need to send us the NFT in question, we would then hold it until all the redeemable NFTs are sold. This is to try prevent watering down an NFTs IP value. So if they have asked to mint 100 of which only 50 sell and they want the NFT back, we will burn the remaining 50. (We are still undecided on this mechanic and may tweak).
- We would then list the redeemable NFTs for people to mint, once sold the owner of the NFT will receive their profits, minus production and fee costs.
- We then deal with the redemption of the NFTs via our already established connections in the mentioned physical industries and with our base of operations already set up with Alter, this positions us perfectly for this.
Note: all of these products go through Alters sampling process, we only allow top quality products which has already been demonstrated with the Alter caps, so buyers can have peace of mind knowing this is not going to be low quality merchandise. We want to stand out and we believe people should receive a product which quality represents the price they paid.
IRL physical artists?
Not only will this platform benefit already established NFT artist/projects, it can also be used by IRL physical artists, by minting their physical work as an NFT and pegging it with the physical copy which can be redeemed at a later date. We already have a few big IRL artist that we could potentially on board with this model.
To start we will be listing redeemable NFTs from Alter and partners/collaborations of Alter. By hosting Alter+partners as the initial redeemable NFTs on the platform, it will be easier to manage testing while it is live and fine tune before we launch the application form and start on boarding other projects/artists.
Well, Alter is already based on ICON so it makes sense to use the same chain but more importantly ICON makes sense due to a variety of reasons such as low cost and fast transactions along side BTP once it is developed, we see ICON being a true secure hub of interoperability, we aim to connect “The Redemption” to multiple chains so BTP is important for our vision. Also ICON has had no major issues in the past few years, compared to other chains, the foundation and ecosystem looks stronger and stronger each day.
Benefits to ICON and current market conditions-
I fully understand some may feel this is not the right time for this kind of project given current market, however we want to position ourselves to be fully operational and established for when the market picks up, but we also want to be ready for when ICON bridge has more connected chains and BTP releases, so based on this I personally feel it is the perfect time to build The Redemption.
But what are the benefits to ICON?
Gained awareness and transactions:
We want The Redemption to become a hub and known by all chains for redeemable NFTs and with a large part of our marketing plan being targeted at projects outside of the ICON ecosystem, this will help result in gained awareness and transactions for the ICON network. Trading sales of the redeemable NFTs is also another on-chain benefit.
It not only offers something unique to ICON but something unique to the whole NFT space in general, The Redemption will be the first platform and marketplace that focus on redeemable NFTs alongside offering all in one merchandise services pegged to NFTs.
We will also have incentives for the ICON community, we have already demonstrated this with Alter by giving away 10% of our main collection, airdropped over 200 NFTs which play a major role in phase 2 of Alter and act as a free mint for the phase 2 collection, along side many other ICX gift card competitions and sponsoring events. We will carry this forward with “The Redemption”.
For marketing, we are going the incentive route for the community to participate in. We will be doing a referral system, this system is designed to create community engagement and to start interacting with other blockchain projects, we feel this is more beneficial to the ICON blockchain as it starts merging communities rather than just focusing on the already established community within ICON which would not result in new network users.
How will the program work?
We will be offering $200 for every project that successfully partners up with “The redemption” to offer redeemable NFTs on the ICON blockchain, we will be targeting projects on chains that are integrated with the ICON bridge.
We will of course be doing standard marketing and community events along side the referral system and partnering with projects within the ICON ecosystem.
Once up and running we will be using platform fees to cover maintenance costs, along side building up an emergency fund and exploring the option to set up a node to help cover these costs and to support and secure the ICON blockchain.
Will it have demand?
Thats the big question, personally I believe so but not just based on my biased opinion, based on a few factors.
- Alter alone have 9 collaborations/ partnerships that can be on boarded and utilise the platform.
- Since releasing the pre-proposal we have had a few discussions and people reach out interested in using it (from artists looking at being able to offer physical prints, 3D models and even hand crafted items).
- Community members eager and interested in using the platform for the all in one IP service, giving the community a way to utilise and profit from their NFTs.
- A few IRL physical/ traditional artists I know that have been looking for a way to enter the space that does not require them to transition over to digital art style, they are keen to use something like this.
- Merchandise is also relatively sought after for NFT projects, there is a huge market that not many are focusing on, especially the way we plan on executing it.
Funding total $20500, Breakdown-
- Smart contract developer ($3000/ month for 2 months = $6000)
- UI designer/ creation ( $1750/month for 2 months = $3500)
- 1x full time project manager (including marketing management and business analyst)- $1500/month for 2 months = $3000
- Marketing budget- $2000 ($1000 reserved for 5 project referrals and $1000 on marketing materials, giveaways etc)
- We are pleased to announce we will be using FRAMD for the Full stack and smart contract development services.
- The project manager funding will also be used as a buffer incase more backend development or other costs need covering such as initial hosting fees etc.
We are aware that certain aspects of the project are centralised and this is due to the nature of the project, however we want to assure you that we will be working on making the project/ platform as automated and decentralised as possible, as we grow and expand this should become easier to do.
We would like to thank you all for taking your time and reading our proposal, we would also like to thank our amazing sponsor FRAMD for giving us the opportunity to present this proposal.
If anyone has any questions please reach out to me: