Vana Mainnet and Tokenomics are about to go live, reshaping the Internet AI data trading model

Personal data has become the cornerstone of the internet economy. Over the past two decades, we have embraced a simple transactional model: platforms collect user data by offering free services and monetize it. This model—where "if you're not paying, you're the product"—has shaped various forms of businesses from targeted advertising to data brokers.
The rise of AI has made the situation even more complex. Platforms now sell user data for billions of dollars to train AI models—transforming personal information from a resource for targeted advertising into a core building block of artificial intelligence. However, the users generating this data have not reaped the corresponding value.
This was not the original intent. The architects of the internet envisioned user control of personal information, not platforms. Tim Berners-Lee spent years working to restore this data sovereignty. However, the convenience of cloud infrastructure and the ubiquity of free services eventually took over, making platforms the rulers of our digital world.
Today, two transformative shifts are converging: AI is exponentially increasing the value of personal data, while advancements in decentralized technologies are finally empowering individuals to control their data.
Vana is the first open-source data sovereignty protocol. It allows users to export their data from platforms and join a data commons, engaging directly with AI companies and developers. Through encrypted personal storage and client-side computation, users retain control of their data while achieving network effects that were previously only possible through centralized platforms. It provides a self-sovereign internet where both parties benefit: developers can leverage ideal datasets to build groundbreaking applications, and users have full control over their most valuable asset.
Today, we are launching the Vana Whitepaper ahead of the mainnet release. In this paper, we will explore how Vana transforms personal data from an extracted resource into an asset class controlled by creators.
Overcoming the Double Spending Problem of Data
Unlike other digital assets, the core challenge of securitizing data lies in the fact that the economic value of data relies on access permissions—once data is made public, it loses its market value. Traditional blockchains focus on public verifiability, making them unsuitable for handling private data. Vana addresses this issue through an architecture that combines private data custody with public ownership.
The Vana Network maintains a global state that includes:
· Data Ownership Record: Cryptographic proof of data ownership
· Access Control: Who can access what data under what conditions
· Verification Proofs: Certification of data quality, authenticity, and metadata
· On-chain Data Collective Agreements and Token Balances: Economic rights and governance
Although data remains encrypted and stored on individual servers or in secure enclaves, the network enables users to programmatically control who can access the data, under what conditions, and how to attribute value back to the data creator.
In practice, users can export their private data from any platform and store it in a personally controlled server protected by encryption keys, then join data collectives on Vana, which pool together similar categories of user data. These data collectives are referred to as DataDAOs, which can negotiate with AI model trainers or app developers, agreeing on compensation for data usage. When external developers purchase data, data pool contributors receive corresponding rewards.
DataDAOs and Data Tokens
The data liquidity pool is a coordination mechanism that transforms individual data into a new asset class by mapping non-fungible data to fungible data tokens. It instantiates DataDAOs through smart contracts, representing contributors, developers, and researchers within a specific data ecosystem. When users contribute data, they receive specific DLP tokens based on the DataDAO's proof of contribution.
Each DataDAO sets different contribution proof standards based on data types. For example, financial data DLP may emphasize transaction accuracy and record integrity, while social media DLP may focus on user interactions and account longevity. Health data DLP may prioritize data effectiveness and device accuracy.
The Vana protocol provides a standardized attestation framework, storing data proofs and metadata on-chain while safeguarding data privacy. Data validation is done through Trusted Execution Environments (TEEs) in the Satya Network, ensuring quality certification while protecting privacy. Some DLPs also utilize zk technology to enhance data validation, including zk email and zktls.
As the core coordination mechanism for collective data assets in the Vana Network, DLP differs from traditional DeFi liquidity pools, which coordinate fungible token pairs, as DLP coordinates non-fungible individual contribution data while maintaining data privacy and sovereignty.
The Vana Foundation is currently collaborating with 12 high-quality DataDAOs in an accelerator program and has received 300 new applications. The current DataDAO teams consist of 2 to 5 members each, dedicated to building DLPs around specific data sources, including Twitter data, synthetic data, genetic data, and browsing data, among others. Each DataDAO will issue its own data set-specific token. You can learn more about DataDAO here.
The advantage of DLPs lies in their permissionless nature—anyone can create a DLP without needing approval from the data source platform. This is because DLPs leverage existing data privacy regulations to ensure individual users own and control their personal data exports.
When AI researchers and model developers wish to access this aggregated data, they can interact directly with the DataDAO's governance system instead of negotiating with thousands of individual users. This collective bargaining approach is transformative: data contributors receive governance tokens based on their contributions, giving them economic rights and decision-making power to determine how their data is used. The end result is a virtuous cycle where high-quality data contributions are rewarded, market forces determine fair access pricing, and users are incentivized to continue contributing data.
For example, an AI researcher may propose a phased access plan to a DataDAO, first accessing 10% of the dataset for quality control, then using the full dataset for model training—all while keeping the data encrypted and secure. In exchange, they would burn a certain amount of DLP tokens, distributing the value to data contributors. This way, as the dataset's value grows, the rewards directly benefit the contributors.
DataDAOs and VANA Token
The launch of the Vana mainnet will break the monopoly of big tech companies on data. Previously, AI companies could only collaborate with centralized platforms like Meta and Google, which control vast amounts of data, limiting developer access. This situation persisted because coordinating data access for millions of users is both a technical and social challenge.
The Vana mainnet disrupts this status quo by establishing data sovereignty infrastructure. Millions of users can aggregate data into a liquid market that can compete with big tech companies while ensuring individual privacy through encryption. The Vana mainnet creates a data economy driven by market forces, not platform monopolies.
We've laid the foundation for user data ownership: users control their data through non-custodial wallets, and the data travels with them throughout their internet activities.
The VANA token achieves this vision through several key functions:
· Securing the network through validator staking
· Paying for network operations transaction fees
· DLP staking to determine rewards distribution for different DataDAOs
· Used to purchase data access rights for all DLPs
When an AI company wants to access DLP data, they must use VANA to purchase and burn DLP tokens. This establishes a direct economic link between network usage and token value. As more AI companies need to access user data, the demand for VANA and DLP tokens increases. The burning mechanism ensures that the value is fed back to the network and data contributors.
The top 16 DataDAOs will receive rewards based on their VANA holdings to incentivize early data contributors to the network. The top 16 are selected every 3 weeks and rewards are distributed based on the performance metrics of the Vana DAO. For more information about DataDAO rewards, please click here.
In this way, VANA serves as the economic foundation of data transactions and represents the total value of data assets in the network. With more AI companies accessing DLP data, the VANA purchase and burn mechanism creates a sustainable economic system that rewards data contributors and network participants.
The New Era of Open Data Economy
The launch of the Vana mainnet marks a fundamental shift in power in the AI economy. Users can collectively challenge the data monopolies of big tech companies, turning personal data into an asset under their control. This is not only to receive rewards but to redefine who is building, controlling, and benefiting from AI.
This opportunity is both urgent and immense. AI companies are facing a data bottleneck and urgently need new training data. Through Vana, users can pool their data into datasets that can compete with big platforms while maintaining encrypted control. With each new user onboarded, the Vana network grows stronger, supporting cross-platform datasets and empowering users with data sovereignty.
We are building an AI economy for users and open-source developers, not Web2 giants. In this era, data flows freely, sovereignty is maintained, and the next generation of AI models will be trained on user-owned data, with benefits returned to data contributors, enabling top AI developers to access the ideal dataset. Join us in creating a new open data economy together.
「Original Source」
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Debunking the AI Doomsday Myth: Why Establishment Inertia and the Software Wasteland Will Save Us
Editor's Note: Citrini7's cyberpunk-themed AI doomsday prophecy has sparked widespread discussion across the internet. However, this article presents a more pragmatic counter perspective. If Citrini envisions a digital tsunami instantly engulfing civilization, this author sees the resilient resistance of the human bureaucratic system, the profoundly flawed existing software ecosystem, and the long-overlooked cornerstone of heavy industry. This is a frontal clash between Silicon Valley fantasy and the iron law of reality, reminding us that the singularity may come, but it will never happen overnight.
The following is the original content:
Renowned market commentator Citrini7 recently published a captivating and widely circulated AI doomsday novel. While he acknowledges that the probability of some scenes occurring is extremely low, as someone who has witnessed multiple economic collapse prophecies, I want to challenge his views and present a more deterministic and optimistic future.
In 2007, people thought that against the backdrop of "peak oil," the United States' geopolitical status had come to an end; in 2008, they believed the dollar system was on the brink of collapse; in 2014, everyone thought AMD and NVIDIA were done for. Then ChatGPT emerged, and people thought Google was toast... Yet every time, existing institutions with deep-rooted inertia have proven to be far more resilient than onlookers imagined.
When Citrini talks about the fear of institutional turnover and rapid workforce displacement, he writes, "Even in fields we think rely on interpersonal relationships, cracks are showing. Take the real estate industry, where buyers have tolerated 5%-6% commissions for decades due to the information asymmetry between brokers and consumers..."
Seeing this, I couldn't help but chuckle. People have been proclaiming the "death of real estate agents" for 20 years now! This hardly requires any superintelligence; with Zillow, Redfin, or Opendoor, it's enough. But this example precisely proves the opposite of Citrini's view: although this workforce has long been deemed obsolete in the eyes of most, due to market inertia and regulatory capture, real estate agents' vitality is more tenacious than anyone's expectations a decade ago.
A few months ago, I just bought a house. The transaction process mandated that we hire a real estate agent, with lofty justifications. My buyer's agent made about $50,000 in this transaction, while his actual work — filling out forms and coordinating between multiple parties — amounted to no more than 10 hours, something I could have easily handled myself. The market will eventually move towards efficiency, providing fair pricing for labor, but this will be a long process.
I deeply understand the ways of inertia and change management: I once founded and sold a company whose core business was driving insurance brokerages from "manual service" to "software-driven." The iron rule I learned is: human societies in the real world are extremely complex, and things always take longer than you imagine — even when you account for this rule. This doesn't mean that the world won't undergo drastic changes, but rather that change will be more gradual, allowing us time to respond and adapt.
Recently, the software sector has seen a downturn as investors worry about the lack of moats in the backend systems of companies like Monday, Salesforce, Asana, making them easily replicable. Citrini and others believe that AI programming heralds the end of SaaS companies: one, products become homogenized, with zero profits, and two, jobs disappear.
But everyone overlooks one thing: the current state of these software products is simply terrible.
I'm qualified to say this because I've spent hundreds of thousands of dollars on Salesforce and Monday. Indeed, AI can enable competitors to replicate these products, but more importantly, AI can enable competitors to build better products. Stock price declines are not surprising: an industry relying on long-term lock-ins, lacking competitiveness, and filled with low-quality legacy incumbents is finally facing competition again.
From a broader perspective, almost all existing software is garbage, which is an undeniable fact. Every tool I've paid for is riddled with bugs; some software is so bad that I can't even pay for it (I've been unable to use Citibank's online transfer for the past three years); most web apps can't even get mobile and desktop responsiveness right; not a single product can fully deliver what you want. Silicon Valley darlings like Stripe and Linear only garner massive followings because they are not as disgustingly unusable as their competitors. If you ask a seasoned engineer, "Show me a truly perfect piece of software," all you'll get is prolonged silence and blank stares.
Here lies a profound truth: even as we approach a "software singularity," the human demand for software labor is nearly infinite. It's well known that the final few percentage points of perfection often require the most work. By this standard, almost every software product has at least a 100x improvement in complexity and features before reaching demand saturation.
I believe that most commentators who claim that the software industry is on the brink of extinction lack an intuitive understanding of software development. The software industry has been around for 50 years, and despite tremendous progress, it is always in a state of "not enough." As a programmer in 2020, my productivity matches that of hundreds of people in 1970, which is incredibly impressive leverage. However, there is still significant room for improvement. People underestimate the "Jevons Paradox": Efficiency improvements often lead to explosive growth in overall demand.
This does not mean that software engineering is an invincible job, but the industry's ability to absorb labor and its inertia far exceed imagination. The saturation process will be very slow, giving us enough time to adapt.
Of course, labor reallocation is inevitable, such as in the driving sector. As Citrini pointed out, many white-collar jobs will experience disruptions. For positions like real estate brokers that have long lost tangible value and rely solely on momentum for income, AI may be the final straw.
But our lifesaver lies in the fact that the United States has almost infinite potential and demand for reindustrialization. You may have heard of "reshoring," but it goes far beyond that. We have essentially lost the ability to manufacture the core building blocks of modern life: batteries, motors, small-scale semiconductors—the entire electricity supply chain is almost entirely dependent on overseas sources. What if there is a military conflict? What's even worse, did you know that China produces 90% of the world's synthetic ammonia? Once the supply is cut off, we can't even produce fertilizer and will face famine.
As long as you look to the physical world, you will find endless job opportunities that will benefit the country, create employment, and build essential infrastructure, all of which can receive bipartisan political support.
We have seen the economic and political winds shifting in this direction—discussions on reshoring, deep tech, and "American vitality." My prediction is that when AI impacts the white-collar sector, the path of least political resistance will be to fund large-scale reindustrialization, absorbing labor through a "giant employment project." Fortunately, the physical world does not have a "singularity"; it is constrained by friction.
We will rebuild bridges and roads. People will find that seeing tangible labor results is more fulfilling than spinning in the digital abstract world. The Salesforce senior product manager who lost a $180,000 salary may find a new job at the "California Seawater Desalination Plant" to end the 25-year drought. These facilities not only need to be built but also pursued with excellence and require long-term maintenance. As long as we are willing, the "Jevons Paradox" also applies to the physical world.
The goal of large-scale industrial engineering is abundance. The United States will once again achieve self-sufficiency, enabling large-scale, low-cost production. Moving beyond material scarcity is crucial: in the long run, if we do indeed lose a significant portion of white-collar jobs to AI, we must be able to maintain a high quality of life for the public. And as AI drives profit margins to zero, consumer goods will become extremely affordable, automatically fulfilling this objective.
My view is that different sectors of the economy will "take off" at different speeds, and the transformation in almost all areas will be slower than Citrini anticipates. To be clear, I am extremely bullish on AI and foresee a day when my own labor will be obsolete. But this will take time, and time gives us the opportunity to devise sound strategies.
At this point, preventing the kind of market collapse Citrini imagines is actually not difficult. The U.S. government's performance during the pandemic has demonstrated its proactive and decisive crisis response. If necessary, massive stimulus policies will quickly intervene. Although I am somewhat displeased by its inefficiency, that is not the focus. The focus is on safeguarding material prosperity in people's lives—a universal well-being that gives legitimacy to a nation and upholds the social contract, rather than stubbornly adhering to past accounting metrics or economic dogma.
If we can maintain sharpness and responsiveness in this slow but sure technological transformation, we will eventually emerge unscathed.
Source: Original Post Link

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