A guardian of the NFT ecosystem

A guardian of the NFT ecosystem

Vijay Pravin Maharajan, Founder & CEO at bitsCrunch, presents an exciting world of NFTs for our readers.

How do you think, will wash trading affect the NFT market in future or maybe there will be some mechanisms to prevent such process?

V: Wash trading and insider trading have become some of the core issues that NFT investors and marketplaces are dealing with. Consequently, the marketplaces no longer have reliable metrics to learn about their platform’s growth and audience reach. In addition, investors and the wider web3 community are forced to rely on weak metrics that do not provide accurate value of their potential NFT investments.

In the future, the problem may hinder future investments in the NFT space and make the ecosystem seem less reliable. Recognizing the issue, bitsCrunch has developed a mechanism that identifies 15+ unique wash trading patterns. Our wash trading detection tool identifies wash trading patterns by tracing and organizing huge volumes of data. It, thus, creates a knowledge graph that scans the history of all transfers, wallet addresses, and reward token distribution of NFT-related transactions through our intelligent algorithms curated by our data scientists.

How will the program of Unleash NFTs work? Who could use this option and what kind of NFTs could be checked there?

V: Unleash NFTs (www.unleashnfts.com) is our AI-powered analytics platform that exclusively provides in-depth analysis, research, and statistics into the NFT ecosystem with detailed breakdowns of popular and emerging NFT collections.

We have several metrics and key performance indicators (KPIs) that offer updates on sales history, charts, mints, and transactions of NFT collections minted on Ethereum, Polygon, and Avalanche. Both B2C customers, such as NFT enthusiasts and collectors, and B2B clients, including marketplaces and lending protocols, can use Unleash NFTs to get accurate data on NFTs. 

In what way are you going to fight against forgeries? How reliable will Product Forgery Detection be and what chance is to get the forged NFT after using this product?

V: bitsCrunch has built an AI-powered tool that detects partial or total counterfeit NFTs, forged logos and brand identities of established brands, and newly minted or existing NFTs to prevent users from squandering their funds on fraud investments.

Our model acts as a layer that scours through new NFTs minting on marketplaces and across three major blockchains: Ethereum, Polygon, and Avalanche. As of now, our AI engine can detect close to 100,000 copycats against 850,000 NFTs. Forgery detection has become crucial to make the NFT ecosystem more transparent. Around 4.49M USD has been lost due to these forgeries from a single marketplace, even if we compare just the top 40 collections on the Ethereum chain. The figure will be comparatively larger if we accumulate the data from different marketplaces across more blockchains.

What criteria will be used to estimate the price for NFTs: in accordance with the amount of available NFTs, or the popularity of the company or something else?

V: Broadly, there are three types of data available:

• Transactional data - the historical sale transactions of NFTs recorded on-chain

• Buy/Sell Intent- bidding/listing price information available off-chain across different marketplaces 

• Traits - characteristics of the NFT defined during minting (for each NFT)

At bitsCrunch, we have engineered various features from the above classes of data to build our Machine Learning model. These drivers (of price) can be broadly categorized into three parts:

• Collection Drivers

Features that have been engineered with signals aggregated at the collection level - the NFT collection of interest and collections which look similar to the collection of interest.

• NFT Sales Drivers

Features that have been extracted from historical sales information of the NFT of interest

• NFT Rarity Drivers

Features that have been derived from the traits that the NFT of interest possesses.

To summarise, bitsCrunch’s price detection model uses artificial intelligence and machine learning to accurately measure the value of 30M NFTs by determining key parameters, including sales history, metadata, and external factors such as social media hype, that drive the growth of NFT projects.

To start using all your products, will it be necessary for a user to hold or stake some amount of BCUT token?

V: At the moment, no, since our TGE has not happened yet. Going forward, as we look to decentralize our platform, there will be an option to stake BCUT tokens to avail our offerings.

When a consumer could use all the products of bitsCrunch to check a particular NFT – before or after its buying?

V: Imagine a scenario where a consumer named John Doe wants to buy an NFT. He wants to buy a token (#BAYC 1029) belonging to the renowned NFT collection Bored Ape Yacht Club.

Below will be the typical journey of John Doe who uses all the offerings available at bitsCrunch:

1. Navigate to unleashnfts.com

2. Search for the Bored Ape Yacht Club NFT collection.

3. Explore the various metrics for BAYC collection like market capitalization, average price, volume, and more.

4. Select the token ID (in this case token ID: 1029)

5. Copy that token ID, and use our forgery detection tool to authenticate whether it is original or not.

6. If it is original, then use the same token ID and head to our wash trading detection tool to check if that NFT has been involved in wash trading or not.

7. If not, then use our price estimation tool to get the estimated value of the token along with price intervals (lower bound & upper bound)

8. That’s it. John Doe can make an informed decision on whether to purchase the BAYC #1029 NFT or not based on the insights they obtain from the above analysis. 

What do you offer for your consumers in the Community Program and how to get there?

V: bitsCrunch’s community members have the opportunity to learn more about the NFT ecosystem, interact with industry experts and leaders, and engage in cross-community activities. Not only this, community members who complete the quests under the community program will receive various incentives and rewards in the form of NFTs, tokens, early access to events, and more. 

With its community program, bitsCrunch seeks to create ways for people to get involved in the web3 space meaningfully. It is intended to create a transparent and reliable NFT ecosystem, one that is free from illicit activities like wash trading, NFT forgeries, and price inflation.

Are you going to make your own NFTs and if yes what will they be like? 

V: We have no plans to launch our NFTs at the moment.