Please note: this report has been updated on 19 Feb 2019 for staking consensus mechanism, market data, recent news, and team member profiles
|Latest Price||$0.0460 USD|
|Current Market Cap||$30.95MM|
|30 Day Avg Market Cap||$26.88MM|
|30 Day Avg Volume||$1.55MM|
|Circulating Supply||658,602,207 LOOM|
|Total Supply||1,000,000,000 LOOM|
|All Time High Price (USD)||$0.7744 (4 May 2018)|
|All Time High Price (BTC)||7,017 satoshis (7 May 2018)|
|No. of Unique Addresses||7,501|
Loom Network ("Loom" or the "Project") is a Layer-2 scaling solution for Ethereum that is a network of Delegated Proof of Stake ("DPoS") sidechains, allowing for highly-scalable games and user-facing dApps while still being backed by the security of Ethereum.
Due to the finite processing power of blockchains, congestion on the Ethereum network is increasing as the number of users increases.
To solve this problem, many scaling solutions are working to build on top of Ethereum, in which they create a blockchain that is said to be interoperable with existing blockchains. This allows them to utilize the trust and decentralization of the Ethereum network, while building value on a second layer.
In Loom's case, the Project offers developers an SDK to build and deploy on Layer-2 solutions so that their dApps can support large transaction volumes (i.e., online games, social apps, etc.) and scale to millions of users without causing major congestion on the Ethereum blockchain.
Loom's sidechains make it possible to use Ethereum exactly as it was intended — a highly secure, base-layer platform that supports more complex and feature-rich applications built on top of it.
By using Plasma Cash-based relays to transfer assets across chains, Loom can preserve the security of the Ethereum mainnet, while enabling increased speed and scalability through Layer-2 DPoS consensus of its sidechain.
This allows users to get the best of both worlds — gasless transactions and sub-second confirmation times, and the assurance of having their tokens fully backed by the security of the Ethereum mainnet.
Loom's goal is to allow app developers to have smart contracts that can access more computing power when necessary, or the same computing at lower costs for tasks like free trials for onboarding new users or applications that do not need the full security of the blockchain.
|Private Sale Allocation||45% of Total Supply|
|Token Sale Date||Jan 2018|
|Token Sale Price||22,500 LOOM / 1 ETH|
|Circulating Supply||658,602,027 (66%)|
LOOM is a staking token that is used to secure the network, reward contributors, and serve as the native currency on the Loom Marketplace. Any LOOM holder can delegate their tokens on the platform to help support validators and actively participate in securing the network.
Loom uses Trezors and Ledgers as hardware wallets, and has cold storage private keys stored in multiple safety deposit boxes around the world. The company keeps specific location information private for security purposes.
As of October 2018, Loom Network has already used 15% of the funds from their total raise across the following activities in the ratios below:
The following chart represents the number and breakdown of all LOOM tokens that are to be released into circulation on a monthly basis. Loom adopted a relatively simple methodology in releasing tokens, with 60% of total supply in circulation from the initial token unlock date (Jan 2018). There is no timeline for the release of the untouched Reserve funds (35% of total supply). However, Loom has confirmed that a portion of the Reserves will be locked to allow themselves to operate some validators for the first year. Reserve tokens will also be used for airdrops or other promotional items in the future.
As a staking token, LOOM enables a system where participants are incentivized to contribute toward securing the network:
Loom Network did not publish a whitepaper as they believed that "instead of writing the 'perfect' blueprint before building a product, our blueprints are in the form of minimum viable products that evolve organically based on real world data."
Consequently, Loom's roadmaps have been mainly focused on short-to-medium-term goals. An analysis of their first published roadmap from April 2018 is displayed below.
|Launched Loom SDK in production with first sidechain & large-scale dApp, DelegateCall.com||2018: Q1||Medium|
|0.5 release adding more users to Golang SDK||0.8 release of Solidity support||1.0 public beta release|
|Completed successful Kickstarter for Zombie Battleground, with over 1,800 early backers||Launched the Loom Marketplace running on PlasmaChain||2018: Q3|
|Delivered almost 2 million cards to Zombie Battleground backers on PlasmaChain||Developed the ERC721x token, an extension of ERC721||2018: Q3|
At the time of publishing their first roadmap, Loom had 5 DAppChain projects and 7 total internal projects (CryptoZombies, DelegateCall, Zombie Battleground, Loom SDK, EthFiddle, EthDeploy, and SolidityX).
An updated roadmap was published by Loom in September 2018, detailing their plans for Q4 2018 to Q1 2019. This updated roadmap contains details of every milestone planned for each product on the Loom platform.
PlasmaChain (previously ZombieChain)
Loom Trading Post (Marketplace)
As shown above, while Zombie Battleground and DelegateCall have remained key priorities, much of the focus has shifted away from dedicated dApp-specific sidechains (i.e. each dApp has its own chain) toward shared sidechains that allow developers to deploy to more easily.
More details on Loom's latest roadmap can be found here.
Gamesbuilt using the Loom SDK include:
The LOOM token is listed on 21 exchanges. Core crypto trading pairs include LOOM/BTC, LOOM/ETH, LOOM/USDT, LOOM/BNB, LOOM/NEO.
Core fiat trading pairs include LOOM/KRW & LOOM/INR.
LOOM token currently trades on Allbit, Binance, Bitbns, Bithumb, Bitrue, Bittrex, Coinbe, CoinExchange, DDEX, DEx.top, DragonFX, Fatbtc, GOPAX, Hotbit, IDEX, Kucoin, LATOKEN, Poloniex, Tidex, Upbit, and YoBit.
Loom Network currently has a total of 165 Github repositories.
Of these, 75 are public Repositories and 90 are private repositories that host the Loom Network code base. Overall, the Loom organization has frequent commits to the collection of repositories. Additionally, key public repositories have documentation in Github, as well as in the separate Developer SDK.
Go package for building Go Smart Contracts for the Loom SDK
JS library for building browser apps & NodeJS services that interact with Loom DAppChains.
Plasma Cash - ERC721/ERC20/ETH support
CryptoZombies Solidity Tutorial
Loom's ecosystem is made up of several products:
The Loom SDK: Foundational piece that supports all of Loom's other tech. Since all of Loom's sidechains are built on the SDK, all the new features Loom adds to the SDK gets passed on and integrated into every sidechain
PlasmaChain: Plasma Cash-backed hub for transacting between sidechains and the Ethereum Mainnet. It is a Layer-2 hub that other sidechains can use for faster and cheaper token transactions on Loom's DEX / Marketplace, as well as functioning as a more performant sidechain that developers can launch their Solidity dApps on.
PlasmaChain Staking Dashboard: the portal allows any LOOM token holder to easily transfer their tokens to PlasmaChain and delegate directly with validators.
GameChain: A highly-performant sidechain optimized for interactive mobile games. This chain is a sidechain to PlasmaChain and does not connect directly to the Ethereum mainnet. It is the chain that Loom is currently using to run the alpha version of Zombie Battleground
SocialChain: A sidechain optimized for social applications. It is currently used to run DelegateCall and is the first sidechain built by Loom
DelegateCall: DelegateCall is a Q&A site for Blockchain and Ethereum-related questions that runs fully on SocialChain
CryptoZombies: Interactive code school that teaches you to write smart contracts in Solidity through building your own crypto-collectibles game. Nearly 300,000 users since launch in December 2017
EthFiddle: Allows developers to compile Solidity code directly in the browser, so they can quickly test & debug smart contract code, and share a permalink to the code in a click. Roughly 128,000 developers have used EthFiddle since September 2017.
SolidityX : A secure-by-default superset of Solidity that compiles down to regular Solidity (protecting against known security holes)
EthDeploy : An easy way to spin up private Ethereum blockchains for testing and demoing your dApps
CryptoZombies Origins: An in-browser playable game / tutorial that teaches the basics of the blockchain
Zombie Battleground: Collectible card game that runs on the GameChain. Gamers buy, sell, and trade their cards freely on the marketplace.
Loom successfully raised $321,606 (with an initial goal of $250,000) from 1,693 early backers for Zombie Battleground on Kickstarter over a 60-day period between June and August 2018. The backers purchased almost 2 million Zombie Battleground cards, all of which have been delivered since the game's alpha launch. Zombie Battleground is currently averaging 575 weekly active users on alpha and will be opening the public beta by end of November or early December 2018.
Zombie Battleground serves a number of important purposes in Loom's long-term strategy. The game drives the development of Loom's SDK and sidechain technology, since games need to be able to handle hundreds of thousands of simultaneous users sending dozens of actions to the server per minute. Loom's position is that if sidechains can successfully handle running games fully on-chain, the technology can be applied to any type of application. The success of the game will also drive user adoption of the Marketplace, an internal economy where users can trade their collectibles and encourage use of the LOOM token for transactions.
Additionally, early success of Zombie Battleground and its revenue model (earning through Marketplace transaction fees rather than in-app purchases) provides a tangible use case that underscores the capabilities of the Loom Network to attract gaming partners and developers.
Loom Trading Post (Marketplace): Gamers from Zombie Battleground trade their in-game items via the Loom Trading Post (Marketplace). One of the key objectives for the Project as a whole is attracting the largest number of users trading on the Loom Marketplace. Loom sees this as driving the most token usage in the near future, and the technical requirements for the internal DEX are also a major driver of Loom's own feature development on PlasmaChain.
Loom has a robust community growth strategy that incorporates incentives and campaigns to attract gamers on various platforms to prove out the network's scalability to the developers who will be building dApps on top of Loom sidechains. Focuses include:
Global Reach Through Localization — Loom employs a global strategy where local community and marketing managers translate products, marketing content, and forum moderations across English, Chinese, Korean, Japanese, Thai, Russian, and Portuguese to reach global user bases and developers.
Loom has a truly global community, with a focus in Asia, North America and Europe across the following active channels:
<Icon name="telegram" size="12" color="#999" mr="5px"/Telegram (English) | 14,500 members
<Icon name="twitter" size="12" color="#999" mr="5px"/Twitter (English) | 15,800 followers
<Icon name="twitter" size="12" color="#999" mr="5px"/Twitter (Japanese) | 1,300 followers
<Icon name="telegram" size="12" color="#999" mr="5px"/Twitter (Korean) | 215 followers
<Icon name="telegram" size="12" color="#999" mr="5px"/Facebook (English) | 13,100 Likes
<Icon name="telegram" size="12" color="#999" mr="5px"/Facebook (Thai) | 1,700 Likes
<Icon name="telegram" size="12" color="#999" mr="5px"/Medium | 7,800 Followers
<Icon name="telegram" size="12" color="#999" mr="5px"/Reddit | 1,200 Subscribers
While there are many base layer protocols attempting to solve the scalability issue, for the purpose of this analysis we will be focusing exclusively on the Layer-2 scaling competitive set. Currently, the majority of Layer-2 scaling solutions are not actively traded given the nascency of the technology, but can be segmented based on development progress towards a live testnet or mainnet
|Skale Labs||Layer-2 smart contracts scalability solution that delivers a commercially usable Ethereum Virtual Machine (EVM) on a plasma chain||X||X|
|Menlo One||Layer-2 scaling solution that leverages a Proof-of-Reputation system to solve issues specific to identity and governance.||✓||X|
|Raiden Network||Layer-2 scaling solution enabling near-instant, low-fee and scalable payments.||✓||X|
|Counterfactual||Generalized framework for native state channels integration in Ethereum-based decentralized applications.||X||X|
|TrueBit||Secure, scalable, off-chain decentralized computation.||✓||X|
Differentiating factors of Loom from its competitors is as follows: