DeNet Storage Protocol

DeNet is a unique, self-contained DePIN storage protocol. Launched in 2017, DeNet offers an opportunity to utilize spare storage capacities all over the globe eliminating the need for centralized data centers. By leveraging blockchain technology, smart contracts and the core principles of Web3, the DeNet Storage Protocol offers a mutually beneficial solution for all network participants, restoring the data ownership for users.

protocol

About Protocol

Problems solved by the protocol

DeNet Storage Protocol aims to address the worldwide data storage problems, including specific issues related to Web3 storage:

DeNet Presentation

Features

  • Multichain – the ability to run on any blockchain;
  • Storage tokenization with self-stabilizing price;
  • Automatic maintenance of file replications;
  • Absolute data privacy with client-side encryption;
  • Non-custodial data storage with full decentralization and no single point of failure;
  • Low hardware requirements for Datakeepers (Node runners).

How it Works

Uploading

  • Each file is divided into 1 MB chunks.
  • Each chunk is client-side encrypted with a private key.
  • Chunks are uploaded to the node and replicated to other nodes instantly.
  • Once the replication is confirmed, the file is considered to be uploaded.

Storing

  • Data is stored on multiple nodes, and the number of copies can be configured by the user.
  • The nodes monitor the quantity of copies for each chunk continuously, and if there are not enough of them, the chunk is replicated to another node to restore the necessary amount. The mechanism is called Autoreplication.

Proof-of-Storage and Payments

  • A Datakeeper (node) consistently generates proofs of data storage based on the Merkle Tree structure and the latest hashes in the blockchain.
  • Upon successful proof, TBY tokens are automatically debited from the user’s balance and sent to the Datakeeper.

Retrieving

  • Multiple 1 MB chunks are downloaded simultaneously from different nodes, which greatly speeds up data retrieval.

Use cases

The DeNet Storage Protocol offers several use cases:

1. Store data:

Individuals or organizations can utilize the DeNet Storage Protocol to securely store various types of data. This can range from personal files such as documents and media to business-critical data like databases and backups. Here are a few examples of the types of data that can be stored securely using the DeNet Storage Protocol:

  • IoT (DePIN) data storage
  • AI data storage
  • Sensetive data storage
  • Media storage (video, photo, audio)
  • Documents and file storage
  • Backups and recovery storage
  • Academic research data storage
  • Big Data storage
  • Healthcare data storage
  • Financial data storage
  • Social media and messaging data storage

2. Provide storage:

  • Monetize the unused capacity of your devices and earn;
  • Maximize your earnings by building a network of storage farms.

Built-on services

There are several services built on the DeNet Storage Protocol with a high competitiveness in both Web2 and Web3 markets: DeNet Storage mobile app, DeNet Node, DeNet Market, DeNet Desk. Anyone can utilize the protocol to create a new service.

services

DeNet Storage

DeNet Storage is the largest decentralized storage mobile app with over 80k users. DeNet Storage combines the ease of traditional cloud storage services with the privacy and security of blockchain technology. Available for iOS and Android. Desktop version is currently under development.

Install DeNet Storage

Features

  • Privacy

Uploaded files are split into one megabyte blocks and client side encrypted using the user’s key, so only the user can decrypt their data. The blocks are distributed across multiple nodes worldwide. But even a node can’t view the stored data.

  • User-friendly

The app has a simple interface, friendly to both crypto-native and non-crypto-native users.

  • Seamless payments

DeNet Storage provides the easiest fiat and crypto payments available on the Web3 market.

Use cases:

  • Sensitive data storage;
  • Personal media storage;
  • Documents and file storage;
  • Automatic backup of gallery;
  • Private file sharing.

mobile

Datakeeper Node

A Datakeeper is a node in the DeNet network, providing storage space to users as part of the DePIN initiative. Sending proofs for storing users’ data, Datakeepers earn tokens (TBY, TBY_mined), creating a mutually beneficial relationship between providers and consumers.

DeNet Storage Protocol enables direct access to storage space from Datakeepers, eliminating intermediaries. Users pay for storage, supporting the network, while Datakeepers are incentivized.

Use our all-in-one platform containing all the steps for becoming a Datakeeper

How it works:

  • Datakeepers share their storage space and earn rewards for storing users’ data;
  • Files uploaded by users are replicated across at least 3 and without a maximum number of nodes for security; each file is encrypted for privacy;
  • Proof-of-Storage algorithm verifies stored fragments, enabling payment transactions.

Benefits of being a Datakeeper:

  • Accessibility for all: minimal technical requirements and optimized energy consumption;
  • No intermediaries: fair interactions among Datakeepers, users, and developers;
  • Environmental impact: Proof-of-Storage promotes eco-friendly mining by reusing unused space;
  • Contribution to the development of DePIN and opportunity to join at early stage;
  • Beneficial conditions within Store&Earn program: Datakeepers receive the highest reward boost.

❗️ POLYGON NODES ARE SOLD OUT, STAY TUNED FOR UPDATES!

node

Watcher Node

“Watcher” is a mobile device node, designed to enhance the security of a decentralized storage network like never before. Anyone with a smartphone can turn on Watcher Node in the DeNet Storage app and earn, while checking every piece of data on the storage network for the highest level of security.

Lern more and become a Watcher Node

How to Become a Watcher Node

The process is remarkably simple:

  • Download the DeNet Storage app on your smartphone (iOS and Android compatible).
  • Turn on the Watcher Node with a single tap.
  • Check file parts on the network and earn.

From that moment forward, your phone will work in the background, periodically checking for sufficient copies of file parts stored on the DeNet network. If any file part has fewer copies, your Watcher Node automatically alerts the Datakeepers network to generate more replications.

The Benefits of Your Contribution

By actively participating in the network, users earn $WN for every file part they check. The more files the Watcher Node processes, the greater potential earnings. Earning $WN also determines the eligibility for the upcoming DeNet token and Datakeeper node airdrop on the peaq network.

watcher

Enterprise solution

With a track record of proven efficiency in the B2C market, DeNet offers a decentralized and private storage solution tailored specifically for businesses. This solution enables businesses to securely store and manage their data, offering benefits such as improved data security, reduced costs, and user-friendly data management.

Some of the use cases

Who is this for:

  • DePIN projects
  • AI-based projects
  • GameFi
  • SocialFi
  • NFT Marketplaces
  • Decentralized Identity Solutions
  • Decentralized Autonomous Organizations (DAOs)
  • Decentralized Finance (DeFi) Platforms

DeNet B2B storage to be released soon. Contact us to discuss your business storage needs

Build on top of the protocol

By building on top of the protocol, you can harness the benefits of decentralized storage, such as data privacy, security, and availability. It also enables the creation of applications that are resistant to censorship and single points of failure.

  • Enhance your product with a decentralized storage layer;
  • Build your own innovative solution by leveraging the DeNet Storage Protocol.

build

DeNet SDK

DeNet SDK provides tools and resources for developers to integrate decentralized storage and computing capabilities into their applications. It allows developers to leverage DeNet Storage Protocol to store and process data in a decentralized, secure, and efficient manner.

To be released soon. Contact us

Smart Contracts

DeNet Storage Protocol consists of the following smart contracts:

  • Payments smart contract (0x1a9b54A3075119f1546C52cA0940551A6ce5d2D0), which manages the opening and closing of storage deposits and the issuance and burning of TBY. This SC works in connection with the Proof-of-Storage SC.

  • Proof-of-Storage smart contract (0x4d37D386462D16e25079E5c6d24f5176E64C4118), which allows DeNet nodes to send proofs for file storage, open and close deposits by appealing to the Payments SC, and deduct payment in favor of the node when submitting the proof.

  • Node NFT smart contract (0x9e8e137DCFd05aEC8208D379c5f5792b7aCf65c1), which manages the number of nodes connected to the DeNet network.

  • StakerV2 (Rent Protocol) smart contract (0x0F872713510626ECAfA51B8fb4c6c5D969840856).This contract enables the TBY renting within DeNet Storage Protocol, hence simplifying the process of opening network deposits.

The following functions of StakerV2 (Rent Protocol) are available:

  • Stake: allows users to lock TBY and receive payment from TBY renters, releasing stakedTBY
  • Unstake: allows users to unlock available TBY along with received rental payments, burning stakedTBY and issuing proportional reward + locked asset amount (if there are free tokens).
  • Borrow: allows users to rent TBY and receive rentedTBY to run a node. Charges user interest (rental fee). The rental fee is calculated proportionally to the free funds for borrowing, ranging from 2% to 1000% per year.
  • Repay: enables any user to repay the loan when the loan period is over and receive graceFee from the loan amount.

Store&Earn program

The S&E program is currently being updated. Learn more

Store&Earn is a unique DePIN initiative which empowers users to earn for utilizing the DeNet Storage Protocol. In addition to the main option of file storage, DeNet Storage strongly encourages users to fully embrace the advantages of the network by participating in various tasks.

This innovative approach aims to make decentralized storage technologies more accessible and appealing to both Web2 and Web3 users, ultimately enlightening and empowering more individuals.

How to participate in the Store&Earn program

  • Join the Store&Earn program by installing DeNet Storage, making a storage deposit and uploading a file.
  • Your total reward depends on your Balance reward (dynamic parameter, based on your storage balance and total number of deposits) and Total boost (boost can be increased by completing different tasks).

boost

Mechanics

A total of 250,000 DE tokens is set to be distributed through the Store&Earn program over the six months. (February - August 2024).

To keep the Store&Earn program engaging and fair, we have introduced the concept of a dynamic Balance reward. As the initial part of the Store&Earn program, average APY of all S&E participants was 250%. Yet, the APY varies for each participant, depending on the boosts they receive and the number of referrals they invite, shaping their Total reward. This ensures that everyone’s contributions are properly recognized and rewarded.

As the total number of deposits grows, it impacts the Balance reward for each participant, causing the average APY to gradually decrease after hitting the 150,000 deposits milestone. When deposits surpass 200,000 DE tokens, the average APY will be 208%. Subsequently, at 300,000 DE tokens, it will be 139%, and at 400,000 DE tokens, it will be 104%.

Here are the tasks to increase Total boost:

  • +1: Each participant automatically receives basic boost for joining the program;
  • +1: Share your experience with Store&Earn on your social media channel and receive a weekly boost;
  • +2: Enter a referral code to increase boost for one week;
  • +2: Unlock this boost by securing 100 GB of data in DeNet Storage;
  • +4: Become a DeNet Datakeeper to get the highest boost within the program. We have significantly raised this boost as we recognize the crucial role Datakeepers play in the network’s success.

Additionally, you can invite friends and receive 15% from your referral's reward, and get +10% (total of 25%) if you're a Datakeeper.

Store&Earn program is also available in a web version to enhance the accessibility.

reward

Tokenomics

DeNet boasts a distinctive dual token tokenomics system that elevates the value of its utility tokens, benefiting the entire DeNet ecosystem.

tokenomics

DE Test Token

DE is a governance and deposit token of the DeNet Storage Protocol with a limited supply. The decision for the launch of the DE token on the mainnet was made by the DeNet Consensus members. Link to proposal

The DE token allows to:

  • Issue TBY token to use services based on DeNet Storage Protocol;

  • Manage DeNet Storage Protocol settings;

  • Participate in Consensus voting.

DE token on CoinGecko

Tokenomics

tokenomics

TBY token

TBY, short for Terabyte/Year, is a storage token of the DeNet Storage Protocol. TBY offers real utility in DeNet's storage ecosystem and has unlimited supply.

TBY allows to:

  • Automatically pay for storage services via a Proof-of-Storage contract;
  • Receive payment for providing storage resources (for Datakeepers);
  • Determine with 100% accuracy the amount of purchased storage/traffic without further volatility.

TBY’s value

TBY's value aligns with global storage demand and supply dynamics. By 2030, the volume of stored data will reach a 1300% increase compared to 2020, which will increase the demand for TBY and its price. However, TBY will remain constant in storage capacity (1024GB), but can vary in relation to fiat and cryptocurrencies depending on the demand.

When you open a deposit, the TBY token increases in value, and when you close the deposit, the TBY token falls in price. The rate of price growth and fall is determined by the Consensus through on-chain voting. This ensures the best possible storage price for users and rewards for Datakeepers.

value

Opening a TBY deposit

Issuing TBY by opening a deposit at a predetermined proportion of DE to TBY according to the scheme: Deposit open

The storage cost is defined as:

P = D/T, where P is the storage cost of the next addition of DE to the contract

  • the number of DE put into the smart contract - D
  • number of issued TBY by the smart contract - T

The process of issuing TBY is the following:

  1. When a contract is deployed, the first TBY is issued to correct the initial proportion of DE per TBY defined by the address deploying the smart contract.
  2. The ecosystem member transfers a certain amount of DE into a smart contract to issue TBY at the offered proportion.
  3. The smart contract issues the required amount of TBY and sends it to the user's address with the exception of the Pay-in Fee regulated by the Consensus members.
  4. Pay-in Fee includes the Mint Percent sent to the fee collector and is determined by Consensus participants through on-chain. This parameter is responsible for keeping TBY in the smart contract and affects the future proportion of DE to TBY.
  5. The smart contract determines the proportion for the next deposit opening TBY and closing TBY_Mined operation.

Each TBY issue transaction always increases the storage cost due to a decrease in the proportion by burning off a part of the commission.

Closing a TBY_Mined deposit

TBY_ Mined is a reward for participants in the DeNet Storage Protocol ecosystem who provide their storage resources (Datakeepers). Withdrawal of DE from the smart contract is done by the reverse process: Deposit DE close

  1. Datakeeper determines the amount of TBY_Mined to close a deposit at the offered DE to TBY_Mined ratio and transfers TBY_Mined to the smart contract.
  2. According to the current proportion of DE to TBY_Mined, the smart contract unlocks DE except for the Pay-out Fee regulated by the Consensus members and transfers DE to the Datakeepers' address.
  3. The transferred amount of TBY_Mined is burned.
  4. Pay-out fee includes Unburn Percent parameter, which is determined by Consensus participants through on-chain voting. This parameter is responsible for defining the amount of DE returned to the Datakeepers and affects the decrease in the future proportion when opening a deposit.
  5. The smart contract determines the proportion during the next deposit opening.

Each transaction to unlock DE always decreases the proportion of the next deposit opening because part of TBY Mined, sent to the withdrawal is not burned.

DeNet Consensus

DeNet Consensus is a decentralized governance of DeNet Storage Protocol.

Consensus members, including storage providers and users, have a direct interest in the success of the DeNet Storage Protocol. Their prosperity depends on the protocol's implementation and popularity.

Governance of DeNet Consensus occurs through on-chain real-time voting and off-chain governance, which requires agreement among all Consensus members before implementing a proposal. Governance of DeNet Consensus may change or expand in the future due to subsequent community decisions. All government proposals must lead to the achievement of the DeNet Consensus's goals, and its components must not contradict each other. Otherwise, DIPs may be rejected by DeNet Consensus members.

The main goal of DeNet Consensus is to ensure:

  • The stability and security of the DeNet Storage Protocol.

  • The further development of the DeNet Storage Protocol.

In accordance with this, the areas of DeNet Consensus governance are:

  • Updating dynamic DeNet Storage Protocol settings.

  • Fully updating or the deployment of new smart contracts for the DeNet Storage Protocol.

To participate in the governance of DeNet Consensus, it is necessary to be a holder of veDE governance tokens. To obtain veDE, make a veDE deposit in exchange for DE. The minimum token amount to get veDE = 0.053 DE.

The governance of DeNet Consensus currently takes place at consensus.denet.app. In the future, this website will only allow viewing governance data. Participation in DeNet Consensus will be possible through the DeNet Consensus Voting app on DeNet Market.

Governance Token veDE

veDE is the governance token of the DeNet Storage Protocol's 3rd version (the contract address is 0x6261E1AAc369CD694093455f9e2B65b31AcEdDa1). It can be received by locking DE at a 1:1 ratio when accessing the contract in the app. It is used only for voting for one or another proposal in the DeNet Consensus.

The vote power of is calculated according to the following formula: DE Forumula

TimeFromLastMove - the time of veDE staying at the user's address (but not less than 7 days and not more than 1 year). Any transaction (only opening or closing a deposit is possible) involving this veTB results in a value of 7 days;

N is the amount of veDE left in the account after the last transaction.

Thus, the vote power depends on the duration of the stacking and increases from the moment of your last deposit/withdrawal of the deposit. Staking duration

In On-chain governance of the DeNet Storage Protocol v.3 there are no limits on the frequency of voting. However, after voting the deposit is locked for 7 days and during this period withdrawal is impossible.

  1. You can open and close the deposit at any time, but these actions will reset the accumulated VotePower to a stage of less than 7 days (19 VotePower per 1 veTB). Subsequently, the VotePower accumulation will continue.

  2. Whenever governance tokens are moved, all votes submitted during the entire on-chain governance time are nullified.

  3. According to the time parameter, the vote power can increase up to a maximum of 1 year. In the next years, if there is no movement of the governance tokens, the vote power is retained.

On-chain Governance

Subject of on-chain governance of the DeNet Storage Protocol v.3 Subject of on-chain governance of the DeNet Storage Protocol v.3

Governance Platform

On-chain governance of the DeNet Storage Protocol v.3 takes place in the DeNet application in a separate DeNet Consensus dApp. Voting is done by sending a transaction addressed to a smart Consensus contract, where the result of the transaction is a change in the key parameters of DeNet Storage Protocol contracts. Voting is instant - at any time a DeNet Consensus participant can make a change to the DeNet Storage Protocol parameters according to their vote power.

Off-chain Governance

Off-chain governance structure of the DeNet Storage Protocol v.3, its smart contracts and settings

Off-chain governance structure

*IDIP - initial DeNet improvement proposal - a proposal being discussed and tested by participants of the data storage network.

*DIP - DeNet improvement proposal - a proposal that is accepted/rejected by DeNet Consensus members with governance tokens.

  1. IDIP creation stage

Platform: DeNet Discord Server, Consensus category

Government stage:

Generating and discussing ideas for improving the DeNet Storage Protocol. Creating an IDIP and testing its functionality on the test and main networks in accordance with the criteria approved by Consensus members. Passing an audit of the protocol, including the proposed IDIP.

! All IDIPs must correspond to the goals and areas of the DeNet Consensus government.

  1. IDIP acceptance stage

Platform: consensus.denet.app

Government stage:

Formulation and submission of IDIP by any member of the DeNet community for consideration among the DeNet Consensus members with governance token veDE.

Structure of the proposal:

  • Title that captures the essence of the IDIP proposal
  • Proposal description:
  1. Motivation - indicating the problem that the proposal will solve. The motivation must also specify the goal (according to Consensus goals) to which the proposed DIP corresponds.
  2. Specification - description of a new feature or technical changes.
  3. Justification - explanation of why this solution is the best for the proposed problem and provides the greatest benefit.
  • Assumption regarding the consequences in the security and governance areas.
  • Specifying the SC address, transaction code, links to IDIP verification in the test and main networks and to audits.
  • Confirmation of functionality - specifying the indicators that were obtained in testnet and mainnet according to the criteria set by the members of the DeNet Consensus.

Within 1 day, DeNet Consensus members must approve/reject the proposed IDIP for further voting.

Quorum - 30% of the total number of DeNet Consensus members must review and like the proposal. Once the quorum is reached for positive reactions, any DeNet Consensus member may submit this IDIP for further voting. In all other cases, the IDIP cannot be submitted for voting and is archived in the IDIP list for six months.

  1. Voting among DeNet Consensus members based on their voting power

Platform: consensus.denet.app

Governance stage:

For a period of 5 days, members with governance tokens can vote on the implementation of the proposed DIP.

The proposal is considered accepted when the following conditions are met:

  1. Quorum - 80% of votes calculated based on voting power;
  2. More than 50% of the total voting power of DeNet Consensus members voted in favor of accepting the DIP.

The total voting power is calculated at the time of creating the DIP.

If the DIP receives a majority of negative votes or does not meet the quorum, it is considered as not accepted and is permanently saved in the "Proposals history" tab.

  1. DIP confirmation by validators

Platform: https://gnosis-safe.io/

Government stage:

Once the voting has met the quorum and collected a majority of positive votes, any DeNet Consensus member can submit the DIP for validation.

Validators vote "for" or "against" the proposal for a period of 3 days. These individuals have the right to veto if the proposal contains a potential risk or malicious transaction for the development of the DeNet Storage Protocol. The veto is considered imposed if ≤6/8 signatures in the multisig wallet are in favor of accepting the proposal.

  1. Recording the results

All accepted and rejected DIPs are recorded in the "Proposals history" section of the DeNet Consensus Voting app.

Tracking off-chain governance stages of DeNet Consensus members

For convenient tracking of governance stages within the DeNet Consensus Voting app, the following statuses are introduced:

  • NEW - a new IDIP available for consideration among participants with governance tokens;
  • Awaiting vote - an IDIP approved by DeNet Consensus members and ready for voting on its acceptance among participants with governance tokens. Any DeNet Consensus member can advance the IDIP to the next stage;
  • Consensus Voting - DeNet Consensus in the process of voting for the acceptance of the DIP;
  • Validating - in the process of validation for the acceptance of the DIP;
  • Accepted - a DIP that has passed the entire DeNet Consensus governance stage and has been accepted for implementation.
  • Rejected - a DIP that has been rejected during the governance stage of Consensus.

Criteria approved by the Consensus for passing iDIPs on the DeNet Storage Protocol development in test and main networks Criteria approved by the Consensus