Diving into Entangle: Comprehensive Narrative Beyond Infrastructure, Pioneers Confronting Application Scenarios

Forwarded Title: In-depth Entangle: Diving into Entangle: Comprehensive Narrative Beyond Infrastructure, Pioneers Confronting Application Scenarios

During each bull market, we often witness new narratives emerging, leading to the creation of a batch of top-tier projects. In the rapidly evolving landscape of 2024, what kind of new projects can stand out amidst intense competition and limited attention? One possible answer is to provide a narrative and implementation of “full-chain interoperability.”

With the development of Altlayer representing RAAS and TIA representing modularity, launching a chain has become increasingly easier. The era of multi-chains has officially arrived, but it has also led to fragmented liquidity between chains and extremely complex user experiences and interactions, creating isolated islands that pose significant challenges and resource waste for both project parties and users.

As a result, market demands and conditions will inevitably drive the development of full-chain (Omnichain) narratives. This year, focusing on new projects within the full-chain narrative may present new opportunities. Among them, Entangle, dedicated to providing fully customizable data and interoperability solutions, is undoubtedly the most noteworthy.

On March 13th, Entangle’s token $NGL will be released. In a market where similar full-chain products like Axler are listed on Binance and Wormhole’s airdrop generates excitement, market expectations for $NGL are also reaching new heights.

But for ordinary players, understanding the specific products and business of Entangle is not easy. This is because the era of focusing solely on infrastructure without considering applications has led to a situation where protocols are robust but applications are lacking, requiring a paradigm shift, and Entangle aims to be the agent of change.

On one hand, due to the bottom-layer focus of full-chain narratives, a certain level of technical foundation is required. On the other hand, Entangle is not solely focused on building a single full-chain infrastructure. Its product matrix also involves multiple tracks such as DeFi, gaming, and even memes, making it relatively difficult to find the logic and connections between various products. Therefore, in this issue, as the release of $NGL approaches, we will provide a popular understanding of Entangle’s technical implementation and product logic, and analyze its token valuation and opportunities for participation.

The Core of Entangle: Full-chain Communication, Trusted Data, And Underlying Blockchain.

What exactly is Entangle doing?

Without delving into technical details, it is building a full-chain interoperable ecosystem. For crypto novices, you can understand “full-chain interoperability” as the ability for different blockchains to “shake hands” and communicate with each other, much like building a bridge between two previously isolated islands, allowing information and assets to flow freely between them.

To achieve such “road connectivity,” you clearly need to address several key challenges:

1. Let blockchains start conversations - Photon Messaging:

Each chain has its own architecture, which means that different blockchains are inherently non-interoperable.

Entangle addresses this issue through the Photon Messaging protocol.

This is a cross-chain messaging protocol that allows smart contracts from different blockchain platforms to communicate and interact directly. It is designed to be highly flexible, supporting both EVM and non-EVM networks. It provides security through several advanced components - Executor Agents, Verifier Agents, and Receive Agents - while allowing users to customize consensus parameters, among other features.

Imagine a global postal system where people from anywhere in the world can freely customize how they send packages; the Photon Messaging Protocol is akin to such a system. It doesn’t just transfer information from one blockchain to another; it allows developers to deploy logic and smart contracts to interact with data and customize information according to unique data delivery needs.

From a technical perspective, here’s how the Photon Messaging Protocol works:

When information is generated on the source blockchain, the Executor Agent captures and processes the message, ensuring its security and verifying it according to predefined rules.

Once verified, the Receive Agent takes over to ensure the message reaches the destination blockchain accurately and without errors. All of this revolves around Entangle’s blockchain (which will be introduced later), serving as the central hub for execution paths.

2. Make sure the conversation content is reliable - Universal Data Feeds:

After establishing communication between different blockchains, the next step is to determine what data to transmit and how to ensure the accuracy and security of this data.

Universal Data Feeds provide a low-cost, low-latency, and highly secure data infrastructure suitable for almost all on-chain and off-chain data sources. Its core functionality is the efficient querying of data and its delivery to smart contracts, with all logic embedded within it.

This capability opens doors for various use cases, such as real-time asset pricing, loan collateralization, and the creation of on-chain derivatives.

The security of Universal Data Feeds is demonstrated in the verification process of its data sources, ensured through multiple validations by the Entangle Agent Network to ensure data accuracy. Receiver Agents vote on the data and ultimately confirm it, resembling a peer review process conducted by multiple reviewers to ensure careful scrutiny of each piece of data.

3. Make it work - Entangle Blockchain

With communication tools and assurances of message accuracy in place, the next step is a robust platform to support all these operations - the Entangle Blockchain.

It not only supports the aforementioned Photon Messaging and Universal Data Feeds but also ensures the efficient and secure operation of the entire network through its innovative design, overseeing data storage, verification, and processing.

Specifically, the Entangle blockchain can be divided into three layers: the application layer, the module layer, and the consensus layer. We won’t delve into deep technical explanations here; a suitable analogy is:

Entangle can be seen as a city, with the application layer acting as the city center, handling all information and communication. The module layer represents different areas of the city, each with specific functions (staking, asset transfer, contract deployment, communication, etc.). The consensus layer functions like the city’s transportation system, ensuring that everyone reaches their destination on time and in the correct order.

This three-layer structure, combined with its minimal gas fees and block confirmation times of less than three seconds, ensures that Entangle can efficiently and economically complete operations. Additionally, by leveraging the Ethermint library for EVM compatibility, developers can deploy smart contracts on the Entangle Blockchain as easily as on Ethereum.

Beyond infrastructure, expanding the entire chain ecosystem and scenarios

For Entangle, solving the problem of full-chain interoperability is just the beginning. Once the above technical framework is established, what kind of support and solutions can it provide for various crypto application scenarios? In the context of DeFi, Entangle first set an example by using its own technology to build a native application — Liquid Vaults. This allows on-chain liquidity to be combined on any network, enabling more efficient pursuit of asset yields.

Specifically, Liquid Vaults creates Composable Derivative Tokens (CDTs), allowing these assets to operate across different chains:

In traditional DeFi models, assets are locked in one protocol and cannot simultaneously generate returns elsewhere. Liquid Vaults, through CDTs, provide a “mapping” effect to these assets, allowing users to utilize them on other chains or protocols without moving or unlocking the original assets.

This means that even if a user’s assets are locked in a specific protocol to earn returns, they can still use these assets in other DeFi products on other chains through CDTs, such as participating in other lending, liquidity pools, or derivatives trading. This breaks the liquidity silos in traditional DeFi products and enables multi-chain use of assets.

Currently, Liquid Vaults can be experienced on the testnet and will be deployed to the following 9 chains and integrated with different DEXes upon its official launch:

From the current product page, it can be seen that the system allows users to stake assets from different chains, such as the project’s native token $NGL, through Liquid Vaults to earn LSD tokens. This means that users can utilize their assets across chains to earn profits. For example, a user may have NGL on Ethereum, then stake NGL on this platform, and use the corresponding LSD tokens on Polygon or other blockchains.

Additionally, Entangle also provides capabilities to support ecosystem development in other crypto scenarios. For example, in the gaming track, Entangle’s e-VRF provides an important function for the product ecosystem, which is to generate verifiable random numbers on-chain.

This is like giving the blockchain a fair and transparent “lottery machine” function. Each random number is randomly generated and verifiable, ensuring that all applications based on this random number, such as on-chain games or prediction markets, operate fairly.

At the same time, Entangle has also incubated a gaming infrastructure platform called ZeroSum. Utilizing Entangle’s technology, it provides full-chain betting and tournaments for audiences and players, offering transparent revenue streams for various parties, including game developers.

In summary, the biggest difference between Entangle and many other full-chain infrastructure projects lies in its “built-in scenarios.” It not only provides underlying technology but also directly offers highly relevant applications or auxiliary tools to support a wide range of use cases such as DeFi, gaming, prediction markets, and more.

Through these innovative use cases, Entangle demonstrates its value beyond being a mere technology provider — it is a comprehensive ecosystem builder. Its solutions go beyond improving asset liquidity; they also introduce entirely new ways for participation in the crypto world.

And Entangle’s mainnet is expected to launch by the end of the first quarter of 2024, initially supporting over 10 networks, including cross-chain communication, composable derivative tokens across over 50 dApps, and universal data sources.

NFT and MEME, New Playstyles Bound to Infrastructure

Before Entangle’s token $NGL officially launches, what other related assets are worth paying attention to?

First and foremost is the series of NFT Webverse closely associated with the design of full-chain products.

The Webverse series of NFTs is divided into two categories: Weaver (4700) and Agent (300). You can think of these two types of NFTs as passes to participate in Entangle’s infrastructure products and earn operational rewards. Weaver holders can stake their NFTs in several products mentioned earlier, such as Liquidity Vaults, Photon Messaging, and

Universal Data Feeds. These products are expected to generate fees and income in the full-chain business, thus becoming a source of rewards for NFT staking.

The rarer Agent series can be seen as a “premium edition” that not only enjoys the aforementioned benefits but also participates in the public rounds of the project’s native token $NGL.

On January 5th, the Webverse series started its Mint, with Weaver initially priced at 0.15E. Currently, the floor price is close to 0.4E, experiencing approximately a threefold increase. If Entangle’s business operations run smoothly and the user and transaction volume increase, the revenue share will also increase, providing more potential for Weaver price appreciation. Additionally, Entangle even has its own Meme token, Borpa.

It’s uncommon for an infrastructure project to delve into MEME territory, as from a technical perspective, it’s relatively simple compared to building an entire tech stack. However, Entangle seems to have found a clear reason for this move, as stated in their official introduction: “As the industry shifts from a technology-oriented perspective to a battle for attention, we believe that memetoken will surpass other cryptocurrencies.”

This move may reflect the new dynamics of competition in the current crypto market. For projects that are complex and challenging to engage end-users directly, a MEME could be the best way to open up the market and embrace users, while also serving as a new tactic for coordinated marketing to seize attention.

However, Borpa has not officially launched yet, and specific details of its economic model can be found here. It’s speculated that more information may become available after the mainnet launch or their token generation event (TGE).

NGL Token Value Analysis

Returning to the project’s native asset, the $NGL token plays multiple roles in the Entangle platform and will be officially launched on March 13:

Firstly, for those involved in operating nodes within the Entangle ecosystem, such as transmission agents, they can stake $NGL tokens to obtain corresponding rights and rewards.

In addition to playing a role in the network’s infrastructure, $NGL tokens can also be used in various applications connected to the Entangle platform. This expands the token’s utility beyond trading and staking, as it can also serve as a currency within applications, increasing its practical use cases and value.

Lastly, $NGL tokens are used to pay for transaction fees generated when conducting transactions on the Entangle blockchain.

On February 20th, $NGL conducted a small-scale public sale targeted towards whitelist holders, which sold out within 10 minutes. Additionally, other public allocations were also fully subscribed, with the public sale price at $0.045 per token.

From the official tokenomics model disclosed so far, NGL has a total supply of 1 billion tokens, with an initial circulating supply of 18.55 million tokens. If we calculate based on the last round’s small-scale public sale price of $0.045, then:

Initial circulating market cap: $970,000

FDV: $45 million

Is this level undervalued or overvalued? Let’s compare it to other projects in the same Web3 space for reference.

Layerzero, which has not yet issued its tokens, is valued at $3 billion; Axelar Network currently has a circulating market cap of around $800 million.

In the same Web3 space, Entangle appears to have a more comprehensive product matrix and more business exploration opportunities. However, compared to these projects, its current circulating market value seems lower, which may indicate that the token value is underestimated to some extent.

Clearly, the market’s acuity is correcting this undervaluation.

As of the time of writing, on well-known off-exchange platforms and primary secondary markets like Whalesmarket, NGL’s presale price has reached around $1.78, marking a 40x increase compared to the initial public offering, indicating a high level of FOMO in the market.

Why is the market so optimistic about NGL?

Firstly, Entangle has received support from several prominent cryptocurrency venture capital funds such as Big Brain Holdings, Launchcode Capital, and Cogitent Ventures. The project raised $4 million in funding as early as 2023.

Big Brain Holdings, for example, has previously invested in projects like Dymension, which has shown outstanding performance in the market. Additionally, thanks to Entangle’s interoperable nature, it is bound to become a versatile auxiliary tool upon launch, establishing strong partnerships with multiple L1 and L2 networks. The more ecosystems it collaborates with, the greater the opportunities for various ecosystem projects to benefit. Pyth Network serves as a prime example — by catering to the needs of multiple projects and positioning itself as a key infrastructure provider, its token value naturally experiences better appreciation. Similarly, Entangle, as a cross-chain infrastructure connecting various applications, is expected to see increased demand from multiple projects relying on it for token issuance and airdrops, thereby raising market expectations.

Finally, transitioning from a competitive landscape of hundreds of chains to an interconnected network of chains is not only compelling but also meaningful in a positive sense. As stated in Entangle’s social media tagline: “Omnichain Made Easy.” In contrast to the complexity and chaotic experiences often associated with advanced technology, we indeed need simpler solutions to connect liquidity and attention across every chain. This is crucial for collectively building a cohesive, consistent, and synergistic crypto world.

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