Posted on

Blockchain Platform Makes its 3D Objects Creating Software Open to Everyone

The Cappasity project, founded by a team of 3D technology experts in 2013, is going to launch a Blockchain-based platform for creators and buyers of 3D content. The project has already raised $4.9 mln from its investors in total. Today Cappasity is cooperating with Intel and Nvidia and has launched their platform in China with the help of Alibaba to provide 3D product imaging solutions for around 750 mln users.

A brave new world of 3D model exchange

Although the idea of putting augmented reality (AR) and virtual reality (VR) startups on the Blockchain platform is not surprising for the crypto community, the question of monetization of AR and VR tools, apps and platforms is still the most intriguing one.

The Cappasity team suggests a business model of a 3D objects marketplace that reveals some interesting findings.

Firstly, a user may create a 3D model of a real object with Cappasity’s 3D scanning system, (which is already represented on the company’s website). Earlier, the project launched its free 3D digitizing software Easy 3D Scan, which allows users to create 3D models and works with any camera.

Secondly, users will be able to sell or lease the 3D object to other members of the platform, creating a virtual economy ecosystem. According to the project’s business model, a content creator will get up to 85-95 percent from every deal that he or she makes on the Cappasity platform. ​The​ ​rest​ ​will be​ ​held​ ​by​ ​the​ ​platform​ ​as​ ​a​ ​fee​.

“3D technologies enable businesses to tangibly increase sales. Considering the luxury segment, when retailers implement a 3D demonstration of goods on their websites, it raises revenues by 30 or even 40 percent,” said Kosta Popov, Founder and CEO of Cappasity, in an interview to Coinspeaker.

According to Popov, this phenomenon happens because online customers receive more information about goods and therefore it becomes easier for them to make purchasing decisions. For example, 3D pictures can show additional information such as the quality of materials.

The future is coming!

According to a report by Goldman Sachs, the software AR/VR market will achieve $35 bln in revenue by 2025 with 60 percent of VR/AR software revenue driven by the consumer. However, it is not even necessary to wait for 2025 to realize that 3D solutions are impacting the world right now.

In November 2017, Cappasity announced its collaboration with NVIDIA. The startup has started working on the special version of Easy 3D Scan(R) software that will rely on NVIDIA’s toolkit, leveraging its latest graphic cards.

Cappasity has successfully raised $2.4 mln from angel investors since 2014 and launched its platform and 3D digitizing software in 2017. In the first phase, the company sold 295 mln Cappasity Tokens (CAPP), raising over $2.5 mln in capital from the sale of the cryptocurrency.

On Feb. 22, 2018, the project starts its second phase of crowdsale. The token sale hard cap is $20 mln: $10 mln allocated for private token sale and $10 mln for token sale. Cappasity is also planning to perform an airdrop.

Disclaimer. Cointelegraph does not endorse any content or product on this page. While we aim at providing you all important information that we could obtain, readers should do their own research before taking any actions related to the company and carry full responsibility for their decisions, nor this article can be considered as an investment advice.

Posted on

ICO Goes Extra Mile to Protect Contributors

Ask anyone in the crypto-sphere, and they’ll tell you the hot topic these days is regulation. After a couple of years of ‘wild west’ ICO and cryptocurrency explosion, governments have begun to crack down.

Yet, some companies are taking the necessary steps to comply with the SEC regulations, thereby assuring their investors that they are a safe company to support. While this requires more time and far more effort, companies are seeking to protect their contributors and themselves as well.

Cappasity embraces change

One company, Cappasity, has sought to create a token (the ARToken) for use within its own 3D VR image creation and distribution ecosystem, and has decided to comply with SEC regulations to protect their contributors. The company has hired the DLA Piper firm of Blockchain technology and legal experts to represent them through this process.

In order to better understand what Cappasity is planning, and how complex the ICO regulation scene really is, Cointelegraph sat down with the firm’s representative, Leo Batalov. The interview is fascinating, and should reassure investors that Cappasity is willing to go the extra mile to make sure its contributors are safe.

Cointelegraph: Let’s start with the basics. Is ICO a legal way of fundraising? Are there any countries where it is specified as illegal?

Leo Batalov: An ICO can be a legal way to fundraise. An ICO, like any fundraising, must comply with applicable laws though. To start with, an ICO must comply with the securities regulations in the issuer’s jurisdiction and in every jurisdiction where the issuer makes offers or sales of its tokens. Securities regulations would apply if the token is a security within the meaning of the local law.

Additionally (and even if the token is not a security), the issuer would have to comply with other applicable laws, such money laundering, privacy data protection, payment transmittal and so on. Different laws would apply in different jurisdictions and to different types of tokens, and the issuer would need to analyze all of these laws to be compliant.

As of today, the regulators in China and South Korea have banned ICOs.  Regulators across the globe announced that they will scrutinize ICOs because of the risk of them being financial scams. However, so far only China and South Korea have decided to prohibit ICOs completely, rather than regulating them.

CT: Speaking of illegal, what in your opinion is going on in China? First it was reported that ICOs have been completely banned there. Later, there were reports that the ban may be lifted in the future. What’s the overall goal of the Chinese government here, and how possible is it to conduct an ICO there right now?

LB: I can’t even begin to guess the Chinese government’s plans here. The regulatory situation globally is extremely fluid. Things change daily, not even monthly or weekly. So, it is quite possible that the Chinese regulators clarify or change their position. Cryptocurrency trading volumes in China are some of the highest in the world, and the trading is difficult to monitor. I believe this concerns the Chinese government, which generally keeps close control of what is going on in China.

I don’t believe it is legally possible to conduct an ICO in China. This means that a Chinese company cannot be an issuer, and offers and sale of tokens cannot be made in China.

CT: When preparing for a campaign, what specific things does a company have to take care of, from a legal standpoint?

LB: I would advise to first determine the countries where the company plans to fundraise. This should give the issuer a universe of jurisdiction – which laws it needs to analyze. Inevitably, the issuer would need to determine whether the token is a security, and if not, what it is under local law. After that, as I mentioned, the issuer would need to analyze other laws, which will depend on the nature of the token.

CT: The Howey test is a topic which always comes up when it comes to conducting an ICO in the US. What is it and why is it important?

LB: The Howey test is primarily important for US ICOs as it’s used to determine whether an instrument is an investment contract, a type of security under the US securities laws. Applying the Howey test to your token might be a useful exercise even for non-US ICOs.

Without being hyper-technical, US securities regulations distinguish several types of securities. For example, shares in a company with rights to dividends, voting rights and the like are clearly securities. The Howey test is used to determine whether an investment scheme that does not easily fall under a specific category of security (such as a stock or bond) is an investment contract, and thus a security, or not. The Howey test is named after the case SEC v. Howey where the US Supreme Court laid out the analysis for what constitutes an investment contract, and cases that followed built on it. An arrangement is an investment contract (a security) if it involves 1. an investment of money; 2. in a common enterprise; 3. with a reasonable expectation of profits to be derived from the entrepreneurial or managerial efforts of others.

Many ICOs would fall into this category, and if they do, they need to comply with US securities regulations. Most ICOs involve the purchase of tokens for another cryptocurrency (an investment of money), in a common enterprise (the business of the ICO issuer), with a reasonable expectation of profits (most token purchasers expect their tokens to appreciate in value) from the efforts of another (the ICO issuer’s management team). Obviously, each token is unique and not all tokens are investment contracts. The Howey test gives a framework to decide whether or not an issuer is required to comply with US securities regulations.

CT: Utility and security tokens: what is the difference, and how does it impact the legality of a fundraising campaign?

LB: A so-called “utility token” is a token that is not a security under the Howey test or otherwise. If a token is not a security, the issuer is not required to comply with applicable securities regulations. For example, a “utility token” may represent a right to receive goods or services in the future, effectively being a pre-payment. A “utility token” would generally give the issuer significantly more flexibility to market and sell its tokens.

CT: What additional legal considerations are there, other than whether the token is classified as a security? Income taxation? Consumer protection?

LB: Plenty. I already mentioned anti-money laundering, privacy data protection, payment transmittal (some ICO issuers take the position that their token is the “internal currency” of the platform or the ecosystem they are building). Depending on the token and the type of business, other laws and regulations might apply. These, however, would not be ICO-driven, and instead are the business model driven.

Taxation is always a concern. In connection with an ICO, the issuer should consider whether the ICO proceeds are taxable. This will depend on the issuer’s jurisdiction of incorporation and other factors.

CT: Do you have any expectations regarding the future of ICO regulation? How will governments around the world approach this matter, and what impact will their efforts have on the market?

LB: I don’t have a crystal ball, but I expect the regulations to tighten in the short term, because many ICOs are non-compliant (and are abused by the promoters). In the long term, however, I expect this area to become reasonably regulated, with regulations striking the right balance between the fundraising efficiencies and investor protection.

Posted on

3D and VR-Themed Quiz By Cointelegraph and Cappasity

Cointelegraph is launching a 3-week-long contest in partnership with ARToken by Cappasity, a 3D content database and a 3D image creation mobile app of the same name.

In light of the upcoming ICO of Cappasity’s ARToken, the project’s team wants to test your knowledge of the 3D and VR technologies. Starting today and until November 1, we will ask you one question every day – be the first to answer those correctly and you might become the winner of this contest!

The person who gets the most questions right will win a truly special prize – a high-end PC graphics card, courtesy of Cappasity.

What is it?

A 3D- and VR-themed quiz prepared by Cointelegraph in collaboration with Cappasity.

How to participate?

  1. You must be subscribed to both Cointelegraph’s and Cappasity’s Facebook pages.
  2. We will post 21 questions to our Facebook page. They will be posted one time a day: 1 p.m. UTC. 
  3. You must share this post on Facebook.

You have to leave your answers in the comments section as quickly as possible.

When does it start?

October 12, 2017, at 4 p.m. UTC

When does it end?

November 1, 2017, at 11:59 p.m. UTC. Answers sent after this date will not be accepted.

When will I know the results?

November 2, 2017, at 5 p.m. UTC

How will we determine the winners?

By answering our questions correctly, you will get points. The faster you post your answer – the more points you receive, provided that you are correct.

Thus, the first participant to answer correctly will get 10 points, the second – 9 points, and so on. The tenth person to answer correctly, as well as all the participants who post correct answers after that, will receive 1 point each.

Each week we will post leaderboards with top 10 contenders, so that you can track progress during the contest.

Participates will have 24 hours to answer each question, until a new one is posted by us.

After all 21 questions have been answered, we will add up all the points received by each participant, and the person with the largest cumulative amount of points will be declared the winner of the contest.

IMPORTANT: Anybody caught cheating will be permanently disqualified from the contest! Punishable offences include, but are not limited to: editing answers after they have been posted, posting several answers and then deleting the incorrect ones, or one person using several accounts.

What are the prizes?

The main prize of the contest is a high-end graphics card which will be sent to you by Cappasity.

In the case of a tie, the winner will be determined by the time of submission of the correct answer – the earlier, the better, so be quick!

Posted on

Current Challenges of Virtual Reality, Explained

5.

The main need in the marketplace is for a 3D image depository that would allow users to both create and monetize their images with peer-to-peer (P2P) access. One company seeking to create just such an ecosystem is Cappasity.

The company intends to build a platform in which creators of 3D images will be able to upload, monetize, and promote their content. Buyers, on the other hand, will have access to the images and will be able to buy use rights directly from the seller, rather than from a centralized hub.

By enabling P2P transactions for participants, Cappasity has created a platform where users can monetize their content directly without relying on a centralized profit-taking corporation, while at the same time allowing buyers to seek content directly from sellers. Cappasity is now going through the SEC Compliance process to give US citizens an opportunity to take part in the token sale. The crowdsale starts on Oct. 25, and will last for four weeks.

Further, Cappasity has created a new image-capturing system that will make capturing new 3D images far more simple. The platform includes ways to capture images with hardware as simple as a mobile phone. Such technological advances are sure to help propel the VR industry toward its anticipated growth rates.

With huge opportunities available for future growth within the VR marketplace, a company like Cappasity is poised to both help the industry, and profit as well.

Posted on

How Blockchain Can Help Creators and Consumers Monetize Data

Data is rapidly becoming the most valuable commodity around. Enterprise-level companies have embraced data analytics for sales, market analysis and customer retention, among other things.

But with the rush to big data, a deeper philosophical question arises. Who owns the data that companies access and use for monetizing industries? Do the consumers who create the data own the data or do the platforms used for the data own the data?

Data creators like photographers, writers and 3D image developers are seeking new and helpful ways to monetize data. At the same time, consumers want some control over what data is made public and getting a stake in what their public data is selling for.

Blockchain for creators

Blockchain technology is a distributed ledger database, meaning that information can be placed on the database and stored or distributed to all those within the database as well.

This distributed system contains a series of profound benefits for the financial security, as well as for data sharing. Some companies have felt the underlying push by creators to be able to share and sell their content to other users freely, without the control of centralized hubs.

Companies like Facebook, Twitter, Instagram and Google take the work that is uploaded to them and use it to increase membership, and therefore increase profit. Creators are left with a pittance, only able to monetize content through ad schemes on the respective sites, or through difficult data channels.

However, Blockchain technology creates a system where creators of content are able to sell that content directly to buyers without the intervention of a centralized corporation. Rather than hubs taking the bulk of the funds because of the service they provide, the creator is able to receive the full value of their content. Effectively, the managerial hub is being outsourced to Blockchain technology.

The power of this system should be evident. Companies like Cappasity, for example, are able to create databases of 3D images useful for VR and online retailers. Rather than having to pay Google or a corporate conglomerate who set their own prices and can refuse certain users, platform members are free to set prices and sell to whomever they like.

While the opportunity to monetize creative content has generally been out of the reach of creators, the distributed ledger system of Blockchain technology brings just such a system into the mainstream.

Blockchain for consumers

Beyond simply data for creators, Blockchain is also providing new and intriguing ways to monetize content for consumers. Data is incredibly valuable to businesses who are seeking to attract new customers or keep old ones.

The data that users produce every day, from social media to Internet of Things (IoT), and even data from wearable devices all have value. In fact, some analysts argue that the .7GB of data you potentially produce every day has value in the hundreds of dollars.  

Of course, there is absolutely no way to monetize that data on traditional platforms, since the centralized corporations are already seeking to monetize the content for their own bottom line.

However, Blockchain technology allows both consumers and buyers to interact over personal data in a monetized way. The peer-to-peer network system of Blockchain technology provides a platform where data can be sold and bought privately.

Many companies are already building this style of data control mechanism, creating a system where users can funnel all personal data into a single decentralized ledger, and from there, choose which data to sell to data buyers within the platform. Roger Haenni, cofounder and CEO at Datum, a personal data marketplace, said:

“Blockchain technology allows for secure storage of data in a trustless and decentralized manner, where individuals own the keys to their own data, outside the control of any large entity…this allows, for the first time, to create a decentralized data storage network that allows anyone to monetize their data without being controlled by one single actor.”

While at first glance, this would seem to run contrary to demand among buyers, it is important to remember that buyers are already paying for data – and paying a lot. Platforms like this would allow them to continue to buy, but to do so with consumers directly, and probably for far less overall.

Just a foot in the door

While these solutions seem cutting edge, the reality is that we have only just begun to learn about ways that the genius of Blockchain technology can be put to use for data control and monetization. Unquestionably, new applications and systems will continue to arise, creating more and better ways for individuals to take control of the data they create and produce.

Posted on

Bringing Blockchain Technology to E-Commerce: Current Trends

While online retail sales have increased astronomically over recent years, in the online retail space, from shoes, to purses, and even to software-as-a-service (SaaS), retailers are facing challenges in the ways that they reach and satisfy customers.

New Blockchain technology solutions are coming that will help to simplify the customer acquisition process, as well as help customers to make informed choices before buying.

Retailers and returns

We’ve all been there. You find the perfect item for sale online and purchase it, only to discover that it’s actually a fraction of the size you originally thought. Our immediate disgust wears off, and after a few days of procrastinating, we throw it back in the original packaging and send it back.

The fact that this scenario is ubiquitous is not good for the online retail market space. Returns are a major struggle for online retailers, totaling $260 bln last year alone. Packaging is damaged, restocking is costly, and consumers have come to expect better return service than during the early days of Amazon.

The problem with online retail sellers is that customers are unable to kick the proverbial tires before making a purchase. Items such as clothing and shoes are unique, and often simply don’t appear natural in a two dimensional online world.

Other products can be difficult to gauge in terms of size or shape, or even depth. Purses and the like are often returned, simply because the buyer was unaware of the shape of the bottom of the bag.

These problems account for much of the online sales returns. But the problem is that online marketplaces are also losing sales. The big first wave of online retailing has passed, and consumers are not willing to take the risk that the product they see online is really what it looks like.

Solutions through Blockchain

While diagnosing the issue is generally the easy part, finding solutions is not. Creating images that increase sales and reduce return rates can be very costly, often too much for small retailers to handle.

The democratization of content, however, through the advent of Blockchain technology, is creating new platforms, like Cappasity. This is where online retailers and web developers can create, share and monetize new 3D images without the centralized profiteering they’ve come to expect from enterprise-level content providers.

Blockchain technology allows for creators and users alike to share content via peer-to-peer (P2P) networks, allowing creators to work directly with and sell content to online retailers. Further, Blockchain technology makes it possible for smaller image creation firms, or even individuals, to begin creating and monetizing new images.

Decentralized P2P platforms that make data sharing and transfer simple and easy will ultimately have profound impacts on the ways online retailers market goods and reduce return rates.

Online SaaS retailers finding Blockchain solutions

Online software retailers have also struggled with finding and keeping customers, because of the centralized nature of the current SaaS ecosystem. Software producers create quality content for different solutions, but are unable to effectively move it to the marketplace due to centralized hubs in software management.

Companies like Apple through the App Store, or Google through Google Play, have autonomous control over what types of software reach mainstream users, and apart from these centralized software hubs, companies have a hard time reaching critical user mass for survival.

However, seeing the complexities of moving software development to the market, companies are seeking to create new SaaS systems on the Blockchain that decentralize software creation and distribution.

Rather than centralized hubs like the App Store or Google Play, decentralized solutions create a platform where software developers are able to market their content to users directly, helping software retailers to both market and distribute their content rapidly and directly.

One company, Spheris, is seeking to create just such a platform, removing the centralized hub and replacing it with a decentralized technology solution.

David Shabun, Co-Founder at Spheris, says:

“Decentralization will bring unique opportunities to the SaaS ecosystem: trust-less, fully automated environments without authority, without a single point of failure. People will become both the authority and the infrastructure, instead of data centers and service providers. They will be able to decide how to work, negotiate, trade or simply communicate.” 

Other companies are seeking to create similar platforms, allowing online software retailers direct access to consumers without the centralized hub structure of legacy models.

Moving out of the fort

While online retailers face varying challenges in their respective fields, the power of Blockchain technology with decentralized data and finance has provided a new vehicle for retailers to reach and satisfy their customers. 

The traditional methods of reaching out to customers presented safe solutions that worked for the first era of e-commerce, but new solutions must be found, as customers become more tech savvy and less willing to deal with enterprise-level complexities.

Expectations for buyers of all kinds of products, both digital and real-world, have increased exponentially, and Blockchain technology is looking to provide solutions to these issues. 

Such solutions are still in their nascent stages, as the movement of Blockchain technology into the e-commerce marketplace will certainly continue to mature.