OpenChat: Decentralized Chat Platform Revolution

OpenChat: The Future of Decentralized Communication

As the blockchain space is growing, new applications are constantly emerging, seeking to revolutionize how we interact online. One such innovative application is OpenChat, a decentralized chat platform built on the Internet Computer blockchain. Similar to popular messaging apps like WhatsApp, Signal, and Telegram, OpenChat is set to introduce a significant new feature called “communities,” akin to Slack workspaces or Discord servers. This blog will explore the unique features of OpenChat, the purpose of its utility token CHAT, and its tokenomics.

What is OpenChat?

OpenChat is a fully-featured chat application running on the Internet Computer blockchain. As a responsive progressive web application (PWA), it seamlessly scales to fit any screen size and integrates with devices much like native apps, offering notifications on desktop and Android devices, with iOS support expected next year. OpenChat is open-source, running as a collection of canister smart contracts, making it possible to view and verify the code running on any canister at any time.

Each user of OpenChat has a dedicated canister that stores their direct chat data, links to groups they belong to, and acts as a wallet for managing tokens. Groups and the soon-to-be-launched "communities" are also implemented as individual canisters. This architecture allows OpenChat to scale globally, supporting users worldwide. OpenChat users can send messages containing tokens like ICP and ckBTC, making it a potential tool for global remittance.

A groundbreaking feature of OpenChat is its impending transition to governance as a DAO (Decentralized Autonomous Organization) with its own token called CHAT, similar to ICP on the Internet Computer. This DAO will be managed by the Service Nervous System (SNS), analogous to the Network Nervous System (NNS) on the Internet Computer.

Features of OpenChat

OpenChat is a versatile chat application designed for community building and seamless communication. It offers a mobile-first interface, ensuring a smooth experience on any device, from mobile to desktop. Users can create both private and public groups, with full control over group membership. 

Communities can be organized using roles, permissions, and channels, offering a decentralized alternative to Discord and Slack. Key features include customizable user profiles, favorites for easy access, pinned chats, and detailed personal stats. OpenChat also supports robust search capabilities across communities, groups, users, and messages. Additionally, it enables direct voting on NNS and SNS proposals, enhancing community engagement and governance.

Purpose of the CHAT Utility Token

The CHAT utility token serves multiple purposes within the OpenChat ecosystem:

1. Governance: CHAT can be staked as neurons, allowing token holders to participate in OpenChat governance by voting on SNS proposals. By doing so, they earn voting rewards, which increase with the length of time the tokens are staked, incentivizing long-term commitment to OpenChat's success.

2. Premium Features: Users can use CHAT tokens to pay for premium features within the app. These include storage for files, on-demand message translation, increased group creation limits, and future features like custom reactions, themes, stickers, NFTs, voice and video chat, and more.

3. Rewards: CHAT tokens will be used to reward contributions to the growth and evolution of OpenChat through automated user rewards or by SNS proposals.

Tokenomics

OpenChat’s tokenomics are designed to balance growth and sustainability. At Genesis, the total supply of CHAT tokens will be 100 million. The supply can increase through minting or decrease through burning. The SNS will generate 2.5% of the total supply annually to pay voting rewards. These rewards accumulate as maturity in participating neurons and are burned upon disbursement, with corresponding CHAT tokens minted to an account.

The SNS will manage a treasury funded by ICP from the decentralization sale and 52 million CHAT tokens. It will earn income from premium features, transaction fees, third-party integrations, and ICP from NNS voting rewards. The initial years will see outgoings outstripping income, with the CHAT treasury funding user rewards and community bounties. As income grows, it will eventually balance outgoings, allowing the DAO to burn tokens, reducing total supply and potentially increasing the token price.

Listing of OpenChat 

The token $CHAT is set to be listed on LBank Exchange and Bitrue Official on August 1st. This marks a significant step for CHAT, as it becomes available on these major exchanges. Additionally, there are plans for $CHAT to be listed on more exchanges in the near future, further expanding its accessibility and reach within the cryptocurrency market.

Conclusion

OpenChat stands poised to revolutionize the chat application landscape with its decentralized, blockchain-based approach. Its comprehensive features, including canister smart contracts, user-centric design, and the introduction of communities, make it a formidable competitor to traditional messaging apps. The CHAT utility token plays a crucial role in governance, premium features, and rewards, driving the platform's growth and sustainability. With a well-thought-out tokenomics strategy, OpenChat is set to become a significant player in the blockchain ecosystem, offering a decentralized alternative to monopolistic big-tech incumbents.