DYOR Report Review - Nunet

Summary

In this detailed analysis, the spotlight is on Nunet, a project praised for its robust six-year track record and strong overall score, with no major red flags detected. The review highlights Nunet's transparent development team, boasting significant engineering and development expertise, critical for its mission to power decentralized AI services for SingularityNET. While the project's whitepaper and technical documentation impress, it slightly falters on completing an external audit, a minor hiccup as it transitions to a new auditing partner. The discussion also touches on the community's engagement, tokenomics concerns around insider allocation and minting policy, and the importance of a vesting schedule for team commitment. The script concludes by encouraging viewers to delve deeper into Nunet through the D tool platform, promoting an interactive exploration of the project.

Takeaways

• 🔍 The project, NuNet, has been evaluated and scored well with no major red flags identified.
• 📈 NuNet has been active for six years, indicating stability and longevity in the crypto space.
• 🤝 The development team is not anonymous, they are visible and have a proven track record in the industry.
• 🛠️ The team has a strong background in engineering and development, which is crucial for executing a technical project like NuNet.
• 📝 NuNet aims to create a decentralized framework to provide compute power for decentralized networks, particularly for AI Services like Singularity Nets.
• 📚 The white paper is well-written and comprehensive, although complex, it is designed to be accessible to those with a technical background.
• 🔍 The project has not completed an audit by a third-party service provider, but they are in the process of doing so after partnering with Obsidian.
• 🌐 The community aspect of NuNet is strong, as evidenced by the popularity of staking on platforms like Genius Yield.
• 💹 Tokenomics were analyzed, and the insider allocation is not over-concentrated, which is healthy for decentralization and investor interests.
• 🔗 The minting policy is not locked, which could be a point of concern, but it is assumed to be development-related and will be addressed in the future.
• 🔐 A vesting schedule is in place for the team and early investors, ensuring long-term commitment and alignment of interests.

Q & A

What is the overall score of the NuNet project based on the transcript?

The overall score of the NuNet project is 9 out of 10.

What is the main issue mentioned in the tokenomics of NuNet?

The main issue in the tokenomics is the minting policy, which is not locked and seems to be controlled by a script, raising concerns about its future development and potential impact on the project.

How long has the NuNet project been around?

The NuNet project has been around for six years.

What is the primary purpose of the NuNet decentralized framework?

The primary purpose of the NuNet decentralized framework is to provide compute power for decentralized networks, specifically intended to power Singularity Nets AI Services.

How does the white paper of NuNet contribute to the project's credibility?

The white paper is well-written and provides a lot of documentation, which indicates a high level of professionalism and commitment to transparency, thus enhancing the project's credibility.

What happened with the audit of NuNet by Obsidian?

NuNet was being audited by Obsidian, but they turned into partners, so NuNet will undergo another audit by a different third party.

What does the community's interaction with Genius Yield indicate about NuNet's popularity?

The fact that users can no longer create a staking vault for their new NuNet tokens on Genius Yield suggests that the project has gained significant popularity and interest within the community.

How is the insider allocation in NuNet's token distribution structured?

The insider allocation is distributed with 21% for research and development reserve, 16% for the team and advisors, etc., which is considered healthy as it does not overly concentrate power with insiders.

What is the significance of a vesting schedule for the team and early investors?

A vesting schedule ensures a long-term commitment from the team and early investors, aligning their interests with those of the project and its investors, and preventing potential sell-offs that could negatively impact the token's value.

What action is recommended for those who want to create their own report on NuNet?

They can go to the D tool, create their own report, and enter into the contest to win audit tokens and some Ada.

Outlines

00:00

🔍 Overview and Evaluation of NuNet Project

This paragraph presents an overview of the NuNet project, highlighting its positive aspects and the reasons behind its good score. The speaker clarifies that they are not associated with the project's development team but own some tokens. The project's longevity of six years and lack of significant issues are noted. A minor issue is mentioned regarding tokenomics, but it is not considered a major concern. The development team's visibility, experience, and skills are praised, as well as the project's focus on creating a decentralized framework to provide compute power for decentralized networks, specifically Singularity Nets. The well-written white paper and extensive documentation are commended, and the project's lack of a completed audit by a reputable service provider is discussed, with an explanation of the current situation regarding audits and partnerships.

05:01

📊 Tokenomics Analysis and Community Insights

The focus of this paragraph is on the tokenomics of the NuNet project and the community's response to it. The speaker delves into the insider allocation, emphasizing the importance of a balanced distribution to maintain decentralization and prevent potential sell pressure. The token distribution is detailed, with specific percentages allocated to research, development, team, and advisors. A concern is raised about the minting policy, which is not locked and may be related to the project's development. The vesting schedule is discussed as a crucial factor for ensuring long-term commitment from the team and early investors. The paragraph concludes with a brief mention of the community's popularity, as evidenced by the staking vault creation on Genius Yield, and an invitation for viewers to create their own reports and participate in a monthly contest.

Keywords

💡Nunet

Nunet is the main subject of the video, a decentralized framework designed to provide compute power for decentralized networks, particularly to power Singularity Nets AI Services. It is mentioned as a project that has been around for six years and has scored well in the evaluation, indicating its stability and potential.

💡Tokenomics

Tokenomics refers to the economic system of a cryptocurrency or token-based project, including its issuance, distribution, and management. In the context of the video, it is a key area of analysis where the project's minting policy and insider allocation are discussed, highlighting the importance of a well-structured token economy for long-term success and decentralization.

💡Decentralized

Decentralized systems are those in which no single entity has control over the entire network. They are typically designed to be more resilient and democratic. In the video, Nunet is described as creating a decentralized framework to support decentralized networks, emphasizing the importance of decentralization in modern technology projects.

💡White Paper

A white paper is a document that outlines the technical aspects, goals, and other relevant information about a project, often used for initial coin offerings (ICOs) or token sales. In the video, Nunet's white paper is praised for being well-written, indicating the project's transparency and clarity in its objectives and technical details.

💡Audit

An audit in the context of cryptocurrency projects refers to the examination of the project's code, financials, and other aspects by a third-party service provider to ensure security, transparency, and compliance. The video discusses Nunet's approach to undergoing an audit, which is a critical step in gaining trust and credibility within the crypto community.

💡Community

In the context of the video, community refers to the group of users, supporters, and investors who engage with and support the Nunet project. The video highlights the importance of community engagement and its impact on the project's popularity and success.

💡Insider Allocation

Insider allocation refers to the distribution of tokens within a project to the team members, developers, and advisors. A balanced allocation is crucial to prevent concentration of power and maintain decentralization. The video discusses the insider allocation of Nunet, emphasizing that it is not over-allocated, which is a positive sign for the project's governance structure.

💡Vesting Schedule

A vesting schedule is a predetermined timeline over which a party's rights to certain assets, such as tokens, are gradually realized. It is used to align the interests of the team and early investors with the long-term success of the project. In the video, it is mentioned that Nunet has a vesting schedule, which is a positive aspect as it ensures the team's commitment to the project over time.

💡Engineering and Development Skills

Engineering and development skills refer to the technical expertise and abilities required to build and maintain complex systems or projects. In the context of the video, it is noted that the Nunet team has a significant concentration of these skills, which is a good sign for the successful execution and development of the project.

💡Staking

Staking is the process of participating in the proof-of-stake (PoS) consensus mechanism of a cryptocurrency by locking up a certain amount of the currency in a wallet to support the network's operations and earn rewards. In the video, the inability to stake new net tokens on Genius Yield is mentioned, which could be an indicator of the project's popularity or changes in its tokenomics.

Highlights

Nunet receives a good score in the overview with no red flags identified.

The project has been operational for six years, indicating stability and maturity.

Minor issue noted in tokenomics regarding the ISS issue, which will be further explored.

The reviewer discloses owning some of the project's tokens but is not associated with the development team.

Nunet's development team is not anonymous, adding a layer of trust and transparency.

The team is noted for its strong engineering and development skills, crucial for the project's technical demands.

Nunet is developing a decentralized framework to provide compute power for AI services.

The project's white paper is well-written, providing extensive documentation and technical details.

An audit was not completed, but an ethical decision led to a partnership with the initial auditor and plans for a future third-party audit.

The inability to stake Nunet tokens on Genius Yield is highlighted, potentially indicating high demand or technical changes.

Insider allocation in tokenomics is reasonable, preventing excessive sell pressure and centralization risks.

The token minting policy is not locked, which may relate to ongoing development needs.

Nunet implements a vesting schedule for the team and early investors to ensure long-term commitment.

Community engagement is briefly mentioned, with a call to action to create reports and participate in a contest.

Overall, Nunet is portrayed as a robust and ethically-driven project in the blockchain and AI space.

Transcripts

hello everyone today net goes under the

microscope let's check it

out so here's our overview of nunet they

scored well this is this is a good score

I didn't find any red flags this is a

project that's been around uh for six

years so um I I didn't really expect to

find a whole lot of of big problems um

there was there's a little bit of an ISS

isue in the tokenomics so we'll go over

that but this is this is a good

score first thing we do when we're

creating one of these reports is we

answer are you associated with the the

project or do you own any of the tokens

well I own some of the tokens but I'm

not associated with the

project development team nine out of 10

that's a that's a really good score so

where' we lose a point here what's going

on

is the development team Anonymous no no

they're not they they've been around for

for a while and they're pretty visible

um and they have the skills to to get it

done it's a big team and um I have

listed here under um the does the team

have the proper experience to execute

this project uh they have a big

concentration of engineering and

development skills which which is good

sign it's it's a good sign because if

you don't already know net is creating a

decentralized framework um to provide

compute power for decentralized uh

networks

specifically uh intended to power

Singularity Nets um AI Services the the

white paper was really well written uh

they they provide a lot of documentation

and and a gitlab that I can't

even begin to understand this is uh

coming from a technical background this

is still pretty pretty tough to um to

understand at least I assume so so I'm

not sure if I understood it all but it

seems like it's written in a way that I

should be able to do that so well done

with the with the white

paper has the project successfully

completed an audit by reputable

service provider this is the the area

where they lost one point in the first

first section and it's really not even a

big deal um no they didn't complete an

uh audit um but this is the answer I got

when I when I did ask about it they were

being audited by obsidian but they

turned into partners and um so now

they're going to have another audit done

by another third party so um this is an

ethical decision and uh breath of fresh

air in the crypto bace for

sure now let's jump down to community

real quick we'll come back to tokenomics

so something real quick I want to say

about Community I noticed on genius

yield when you if you come over here to

this is on genius yield decks um if you

go to create a staking Vault for your

new net

tokens that is no longer able to do

check out the lower left is it going to

there it

is check that out can't even um stake

any more uh of your new net tokens on on

genius yield there's I can't say I've

seen this kind of thing happen too often

so I think this speaks to the popularity

of it and I just wanted to show

everybody so

toomics what's going on here let me

explain

first thing we look at when looking at

tokenomics is Insider

allocation you can see here that res

research and development Reserve is uh

21% of the tokens um the team and

advisor 16% and so on so why is this

important come over here to our our

little

icon it tells

you undesirable

tokenomics can can hurt and one of the

ways that uh that it is could be

undesirable is if if there's too much of

an allocation to the the team or or

private investors because that can

create uh cell pressure that will hurt

you as an

investor is there an over allocation to

insiders and and the team no not not in

this case um but it is important to to

pay attention to that because that is a

threat to decentralization as well um

when when the team or or insiders own

too much of the uh of the token then

then especially if there's any kind of

governance involved it's very

centralized and and you don't want that

not the case here with with nunet

you can see here in the uh finished

report the token uh distributions and

and and you know how I answered the

questions but how they really uh lost

some points here in the uh toonomic

section is the minting policy um is the

token minting policy locked no it's not

I'm would be willing to bet that that

has something to do with

development here you can see the uh

token policy is controlled by a script

I've not seen that before but I assume

that this has something to do with

development and will be locked at a

later date but I don't know I should

take that as a question to new net

vesting schedule does the team have a

vesting schedule or early investors have

this is important because it ensures a a

long-term commitment from the team and

and net does have one this is something

you definitely want to look out for as

well so good on you

net that's it for our report on net go

over to D tool. and and create your

own create a report and enter into our

contest each month win yourself some

audit tokens and some

Ada