In brief
- Blockchain protocol Swag.Finance is issuing its own tokens on Thursday to turn Swag.live, an Asia-focused porn site, into a truly decentralized community.
- 625 million governance tokens will be issued, of which 25 million will be used for its DAO and 60 million will be distributed to community and influencers.
Liquidity mining meets the porn industry? Welcome to the future, baby: On Thursday, blockchain protocol Swag.Finance plans to turn Swag.live, an Asia-focused porn site, into a truly decentralized community—complete with its own DAO, governance token and yield farming.
Swag appears to be based in Taiwan and claims to be the largest adult chat site in Asia. It has some 4 million users and tens of thousands of content providers. On October 15, the platform will launch its native governance token, SWAG. A total 625 million governance tokens will be issued, of which 25 million will be used for its DAO and 60 million will be distributed to community and influencers. The rest will be distributed to the public through two events: a First Swap Event (FSE) and a Subsequent Swap Events (SSEs).
SQUIRT and CREAM
What are these swaps and who is swapping with whom? The swaps are trading pairs on a decentralized exchange that permit users to do good old-fashioned yield farming. For instance, users can swap SWAG with USDC, or C.R.E.A.M on cream.finance while also earning extra SWAG tokens as rewards.
C.R.E.A.M ? Yeah. SWAG’s founder is believed to be the founder of cream.finance: Jeffery Huang, who is not only a crypto OG, but also brother of a famous Taiwanese singer Stanley Huang. Indeed, it’s possible that the SWAG project will help breathe a little life back into cream.finance, which has been on a downward trajectory of late.
Coins with benefits
To encourage community participation, SWAG investors will have the perk of watching swag.live for free. It designed an incentive program called SQUIRT: Users who actively contribute to the platform through proposals, building, staking and problem-solving, are rewarded with either stablecoins or SWAG tokens based on rules set in the SQUIRT smart contract.
“I was watching porn on swag.live anyway. Investing in the token seems logical to me,” one anonymous investor told Decrypt. “ What’s the worst case? The worst case is that the token goes to zero, but I still get the chance to enjoy the platform.”
This is not the first time that the adult industry has used crypto, of course.
From early public blockchain pioneers such as Spankchain to Pornhub, which accepts crypto as a payment method, crypto has always had a love/love relationship with the adult industry. Its unique characteristics help the industry tackle issues such as privacy, payment and censorship.
But SWAG.Finance could be the first to DeFi-ify the adult entertainment industry. Whether it ultimately works though is still uncertain. Despite swag.live having been profitable since 2017, it has largely functioned as a centralized entity. To decentralize it through token distribution is the first baby step. Crypto and the adult industry’s love affair continues.