It’s been a good month for LiquidApps. In addition to earning the business of freelancing site Moonlighting, which recently migrated to EOS and utilized LiquidApps to help service its 750,000 users, the scaling startup has earned a major feature in Coindesk. The crypto publication praised LiquidApps for putting out a “much more real product than vastly larger ICOs that ended long ago.”
LiquidApps has found a niche for itself providing resources to EOS super users – the sort of businesses whose vRAM costs can run into thousands of dollars a day. LiquidApps’ proprietary solution for developers building EOS dApps can drive these costs down to a few dollars, while its LiquidLink product can connect decentralized applications to a host of blockchain data feeds, providing deep interoperability into the bargain.
Scaling While Raising
In an article published on September 17, Coindesk noted LiquidApps’ year-long fundraiser, which mimics that of EOS in duration, yet at a much lower valuation. To date, LiquidApps has raised $2.8 million, with its team crediting the slower raise as a means of aligning incentives and allocating funds towards key development milestones. The success LiquidApps has enjoyed in this regard, shipping a number of products and onboarding several high-profile clients, has vindicated this decision.
It hasn’t hurt LiquidApps’ cause that its vRAM service became available at a time when his resource costs were hurting major EOS users, whose dApps have become a victim of their own success. Despite having dropped significantly since the start of the year, RAM is still costly for EOS dApps boasting thousands of users. At current prices, 1 kibibyte of RAM on EOS costs around $0.36. LiquidApps can slash that to a fraction of its on-chain cost, with Raman Bindlish of Investing With a Difference, which operates a LiquidApps node, telling Coindesk that it would cost $2,000 for Moonlighting to run all its transactions on EOS. “Using LiquidApps framework for RAM, we brought down the cost of each transaction to less than $0.0005 on average,” he explained.
The article’s author, Brady Dale, described LiquidApps’ story as being “almost a sociological data point,” tweeting “The DAPP token comes out and has a pretty clear use case and the technology is already running and it really gets no speculative interest.”
Real Use Cases Drive Real Users
One of the greatest challenges for tokenized projects has been finding users who are genuinely interested in using the token for its intended purpose, and not merely for speculation. While speculation drives price, it does little to increase the value of the projects themselves, which must attract users and show that they can monetize like any business sooner or later.
With appetite for IEOs diminishing, there is pressure on projects to ship products and deliver on their roadmap while they still have the goodwill of their community to count on. LiquidApps’ slow and steady approach to fundraising, coupled with genuine demand for its decentralized alternative to EOS RAM, has given it the time to make good on its promises. So far, it appears to be on the right track.