How will content creation platform Orb Land maximize creator earnings through its unique business model?
Can Orb Land’s 600% Harberger Tax Achieve Sustainable On-Chain Content Creation Services?
Introduction
This interesting experimental project aims to fill the market gap for high-quality creators.
This article is compiled and translated by Chain News. Please refer to the original text if you have any doubts.
Table of Contents
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Introduction to Orb Land
Consulting Services
Supplement: Harberger Tax
Orb Land Ensures Creator Income through High Tax Harberger Tax System
Creating a Good Monetization Environment for Creators
High-Quality Content Positioning
Key Activity: Finding High-Quality Creators
Eric Wall, the founder of Taproot Wizards, has launched an experimental encrypted economic project called “Orb Land,” which aims to tokenize personal consulting services into NFTs.
Orb Land provides a decentralized platform where users can browse each creator’s Orb on the Orb Land page. Different Orbs have different functions, and currently, the main MVP tested in the market is the Q&A type Orb.
Holders who purchase Orbs will have the right to ask questions to the creator of that Orb and the right to resell this right. The creator is required to submit a written reply within a certain period of time, and holders can also label the quality of the questions. All processes will be recorded on the chain.
Currently, the platform has not been opened to the public for everyone to become creators. In order to test the market, the team has only opened four creators, including Nic Carter, a general partner at Castle Island Ventures, Eric Wall, the founder of Taproot Wizards, Zaki Manian, the founder of on-chain investment protocol Sommelier Finance, and Tarun Chitra, the founder of DeFi risk management protocol Gauntlet.
How much ETH are you willing to pay to consult Eric Wall, the founder of Taproot Wizards?
In order to promote the circulation of Orbs and reduce speculation, the trading and ownership of Orbs are designed with special considerations. First, it is necessary to understand what Harberger Tax is.
Harberger Tax is a radical economic policy proposed by Arnold Harberger that changes the definition of ownership. It mainly includes two cores:
Asset prices are evaluated and set by asset owners themselves and are taxed based on this price.
Anyone can purchase the asset at the price set by the owner at any time and obtain ownership of the asset, making all assets always available for sale.
Therefore, under the Harberger Tax system, asset owners need to consider how to set the most appropriate price. Setting it too high will require a higher tax rate, while setting it too low will result in the asset being sold at a lower price. This can reduce speculation in the market.
On the other hand, the Harberger Tax system can promote the circulation of assets. If the holder does not have a need for the asset at the moment, holding it will only incur additional costs. For Orb Land, this ensures that the protocol operates without interruption even if someone holds an Orb without using it.
Technically, an Orb is a modified ERC-721. Although Orbs can be displayed on OpenSea, they cannot be listed for sale on NFT trading markets such as OpenSea, Sudoswap, or Blur. Orbs can only be managed through auctions and the Harberger Tax system.
In the protocol design of Orb Land, after the holder sets the price of an Orb, they need to deposit a certain amount of money to pay the tax rate for holding the Orb. Of course, the Orb can also be bought at the set price by someone else at any time. Additionally, when the funds run out, the holder will lose ownership of the Orb, and the Orb will enter the auction process.
Orbs are always in an auction state.
Interestingly, Orb Land currently sets tax rates not at 3% or 5%, but from 150% to 600%. This encourages holders to ask and answer questions quickly and facilitates quick turnover, increasing creator income:
Nic’s Orb: Priced at 6 ETH, with a Harberger Tax rate of 150% per year and a cooldown period of 7 days.
Eric’s Orb: Priced at 4 ETH, with a Harberger Tax rate of 600% per year and a cooldown period of 7 days.
Zaki’s Orb: Priced at 2 ETH, with a Harberger Tax rate of 600% per year and a cooldown period of 14 days.
Tarun’s Orb: Priced at 2 ETH, with a Harberger Tax rate of 150% per year and a cooldown period of 10 days. Additionally, all of Tarun Chitra’s answers are in a hidden state.
Through the Harberger Tax system, Orb Land ensures that creators receive continuous income. If the Orbs are made available for public viewing, other users can also give tips to earn additional income.
Orb Land charges transaction fees during the trading process.
From the tax rates and prices of Orbs in Orb Land, as well as the mechanism of using the Harberger Tax system, it can be seen that the team’s target creators are relatively experienced industry professionals, differentiating themselves from competitors such as Mirror or Matter.
Orb Land introduces a new business model through the Harberger Tax system, attempting to provide creators with more income and power, allowing valuable content and knowledge to be monetized quickly.
However, even with innovative business models, whether creators can monetize their knowledge still depends on the quality and accuracy of the knowledge. Therefore, content is still the most important product, and the special fee mechanism and blockchain that realize the above functions are just tools.
Therefore, the success of Orb Land depends on finding valuable creators. At this stage, the team attaches great importance to the screening of creators.
Eric Wall
Harberger Tax
Orb Land
Content Creation
