From Public Chain Ecology to "Solana Internet": How Blinks Technology is Changing the Rules of the Crypto Game
The CGV research team conducted an in-depth analysis of the intrinsic connection between Solana Actions and Blinks technology, as well as their application potential in various scenarios, envisioning how this technology could drive broader adoption of Solana and blockchain technology.Author: Shigeru, CGV Research
Blinks technology, as a revolutionary innovation within the Solana ecosystem, allows users to interact directly with the blockchain through simple URLs or QR codes, without the need for complex wallet setups or transaction processes. This innovative interaction method significantly lowers the barrier for users to enter the blockchain world, expands the application boundaries of blockchain technology, and promotes the deep integration of the Solana ecosystem with the internet world.
The "Solana Internet" is not just a new concept; it represents a completely new network ecosystem. As stated in the slogan on the Blinks official website: It's time to connect Solana to the entire internet. Through Blinks technology, the vision of Solana connecting to the entire internet is gradually being realized.
The CGV research team has deeply analyzed the intrinsic connection between Solana Actions and Blinks technology, as well as its application potential in various scenarios, looking forward to how this technology will drive broader adoption of Solana and blockchain technology.
Why is Solana Actions indispensable before understanding Blinks?
Before exploring how Blinks technology revolutionizes our interaction with the blockchain, we must first understand its underlying technological pillar—Solana Actions. Just as a tall building requires a solid foundation, the convenience and powerful features of Blinks rely on the support of Solana Actions.
(1) Actions allow the construction of transaction message APIs using complex business logic (both on-chain and off-chain), which can be previewed, signed, and sent by clients. Native buttons, QR codes, or URLs (Blinks) can initiate Actions.
Examples of Actions:
Staking SOL to help secure the Solana network, including liquid staking tokens.
Allowing customers to pay in retail stores using QR code scanning.
Token-Gated minting experiences, where only verified users can participate or enjoy specific resources and benefits.
Enabling e-commerce websites to accept cryptocurrency payments directly from product pages.
Recharging trading accounts before margin calls.
Integrating blockchain functionality into gaming platforms for in-game asset purchases and trading.
(2) Blinks is a way to interact with Actions. Blinks allows users to execute blockchain transactions directly from URLs, enabling access to decentralized applications from any platform or device.
Examples of Blinks:
Tipping content creators on social media without complex wallet setups.
Minting custom NFTs or participating in governance votes directly from URLs.
Allowing users to vote on community policies through links in newsletters.
(3) The relationship between Actions and Blinks
Imagine Actions as a "kitchen." In this kitchen, you can prepare various complex and delicious dishes (i.e., blockchain transactions). You can add various ingredients (on-chain and off-chain logic) and cook according to recipes (API specifications). This kitchen is very flexible and can create a wide variety of dishes to meet different needs.
Blinks, on the other hand, is like a "delivery service." When you have prepared the dishes in the kitchen, you can use the delivery service (Blinks) to bring these dishes to the customers (users). Customers do not need to come to the kitchen in person or know how the dishes are prepared; they just need a simple link or QR code to enjoy these delicacies directly.
In summary, the relationship between Actions and Blinks is like that of a "kitchen" and a "delivery service." Actions are responsible for preparing transactions, while Blinks is responsible for delivering these transactions to users, allowing them to execute these transactions easily and quickly. This approach greatly simplifies the user experience, making blockchain technology more accessible and usable.
Will Blinks' "reduction of steps" be the killer feature for Solana to achieve massive adoption in crypto?
From a first principles perspective, Blinks simplifies user operations through "reducing steps," enhances user experience, expands the application scenarios of blockchain technology, and promotes the popularization of decentralized applications. These features significantly enhance the convenience and usability of the crypto ecosystem, driving broader applications of blockchain technology.
(1) From the user's psychological perspective, "reducing steps" helps to:
Simplify the decision-making process: Each step or additional click increases the user's cognitive burden and decision time. Simplifying the process reduces the time users spend thinking, allowing them to make purchasing decisions faster.
Reduce drop-off points: Each operation is a potential drop-off point, where users may abandon their purchases due to long page loading times or complex operations. Reducing the number of steps can significantly lower this drop-off.
(2) From successful cases of internet products, we can see how "reducing steps" significantly improves conversion rates and user experience:
TikTok's video shopping feature allows users to purchase products directly within videos by embedding shopping links or carts in short videos.
In 2023, TikTok's U.S. user shopping volume increased by 72.3%, reaching 23.7 million; 67% of TikTok users reported being inspired to purchase products by content on the platform without prior shopping intent; 68% of Gen Z consumers stated they prefer to buy products directly on TikTok.
Amazon significantly improved its conversion rate after introducing the One-Click Purchase feature. Industry experts estimate that this feature increased conversion rates by at least 70%. This simplified purchasing process has also been emulated by many other e-commerce platforms.
About 70% of shopping cart abandonment rates are partly due to complex checkout processes. After introducing the "One-Click Purchase" feature, users' average spending increased by 28.5%, and their purchase frequency rose by 43%, with the variety of purchased products increasing by 36%.
The best fit is the best: Recommended typical application scenarios for Blinks
- Social media tipping:
Example 1: A well-known YouTuber like MrBeast posts a charity challenge video on their channel. Viewers can click the Blinks link in the video description to tip the relevant charity directly using their Solana wallet.
Example 2: Ethereum founder @VitalikButerin shares his views on the future development of Ethereum through a tweet. Fans can tip directly through the Blinks link in the tweet to show their support.
- Crowdfunding activities:
Example 1: GoFundMe launches a charitable crowdfunding project to support Ukrainian refugees. Supporters can donate instantly through the Solana Actions button on the project page to support causes they care about.
Example 2: A Reddit community initiates a crowdfunding project aimed at restoring a historic monument. Community members can participate in the crowdfunding through the Blinks link in the Reddit post.
- On-chain voting:
Example 1: Well-known blockchain projects like Uniswap on Twitter initiate community votes through tweets to decide the development priorities of new features. Community members can participate in the vote through the Blinks link in the tweet.
Example 2: A discussion in the Reddit community about whether to introduce new rules conducts on-chain voting through the Blinks link in the post, ensuring transparency and fairness in the voting process.
- NFT minting and bidding:
Example 1: Artist Beeple posts their latest work on Twitter and provides a Blinks link for fans to mint and bid on this NFT directly.
Example 2: SEND is currently the flagship application of the Blinks ecosystem, repeatedly endorsed by the founder of Solana. The series of NFTs is the first freemint NFT project of Blinks, with trading volume once surpassing well-known NFTs like BAYC and Punks, becoming the number one in the entire network; the token $SEND was oversubscribed by more than 700 times, setting a pre-sale record for Solana. Of course, as a community token powering the Blinks ecosystem, SEND still needs more content and time to enrich its story and development.
- Cryptocurrency trading:
Example 1: In Facebook's Marketplace, users find a post selling cryptocurrency. Through the Solana Actions in the post, buyers can directly purchase the seller's cryptocurrency.
Example 2: Well-known trader @CryptoCobain on Twitter shares information about an upcoming meme token explosion, allowing fans to purchase directly through the Blinks link in the tweet.
- Token-Gated content:
Example 1: Netflix launches a Token-Gated series, where only members holding specific tokens can watch certain exclusive content. Members can verify their token holdings through the integrated Solana Actions in the Netflix app.
Example 2: The well-known blogging platform Medium allows authors to set Token-Gated content, where only readers holding specific tokens can access premium articles.
- Advertising and promotions:
Example 1: Airbnb posts an advertisement on Instagram promoting its latest travel experiences. Users can click the Blinks link in the ad to book experiences directly or learn more details.
Example 2: Tesla posts its latest electric vehicle model on Twitter, allowing users to book directly or learn more product information through the Blinks link in the tweet.
- Game interaction:
Example 1: Game company EA Sports posts new features of FIFA 23 on Twitter. Fans can click the Blinks link in the tweet to directly experience certain interactive features of the game on Twitter.
Example 2: The blockchain gaming platform Decentraland posts a virtual world exploration event on social media, allowing users to enter the game and participate in the event directly through the Blinks link.
- Enhanced community interaction:
Example 1: A professional community on LinkedIn is hosting a discussion about blockchain technology. Participants can engage in on-chain Q&A or share their insights through the Blinks link in the LinkedIn post.
Example 2: A discussion in the Reddit community about cryptocurrency investment conducts on-chain voting through the Blinks link in the post to decide the community's investment strategy.
- One-click on-chain operations:
Example 1: The charity organization UNICEF launches an emergency fundraising campaign on its official website, allowing supporters to complete donations with one click through the Solana Actions button on the website, supporting global children's education projects.
Example 2: Decentralized Autonomous Organizations (DAOs) like Bankless DAO announce activities through social media, allowing members to participate in voting or donations with one click through the Blinks link, simplifying the participation process.
PayFi and Blinks: The perfect integration of financial innovation and user experience
It is particularly important to emphasize that the financial innovation direction of the Solana ecosystem, PayFi, is highly compatible with the user experience optimization of Blinks.
PayFi, as defined by Lily Liu, chair of the Solana Foundation, is a groundbreaking financial concept focused on optimizing settlement times. It differs from DeFi by emphasizing the advantages of instant settlement, which holds significant value for investment trading and financial markets.
Combining Blinks' functionality helps promote PayFi in creator monetization, invoice financing, payment processing risk management, and cultivating a global private credit pool on Solana.
Creator monetization: Creators can monetize their content through Blinks links, allowing users to tip or purchase content without complex wallet setups, facilitating the creator monetization scenarios of PayFi.
Invoice financing: Through Blinks, businesses can quickly complete invoice financing operations, simplifying the financing process and improving efficiency.
Payment processing risk management: The instant transaction functionality of Blinks can help PayFi achieve more efficient settlement and risk control in payment processing risk management.
Credit loans: Users can submit credit loan applications through Blinks links, with the credit pool automatically assessing credit status and making real-time loan decisions.
Invoice financing: Businesses can submit invoice financing applications through Blinks links, with the credit pool quickly assessing based on business credit data and providing financing services.
Cross-border credit services: Users can apply for and assess credit through Blinks links in different countries and regions, achieving globally consistent credit services.
Through these application scenarios, we can see that Blinks is not just a technical tool; it is a bridge connecting users, creators, businesses, and financial markets. The combination of Blinks and PayFi heralds the arrival of a new era of financial transactions that is more efficient, convenient, and secure.
In mid-July, the Solana Foundation announced a significant initiative: providing $400,000 in funding for open-source developers of Solana Actions and Blinks Tools. This funding program has officially launched, inviting innovative projects from developers worldwide. Meanwhile, the SEND project team has also launched the "Blinkathon" hackathon series for developers. This event aims to inspire developers' creativity to build and promote the Blinks ecosystem supported by SEND. These initiatives not only provide financial support to developers but also offer a broad platform for the innovation and application of Blinks technology.
The CGV team believes that the "Solana Internet" is not only a fusion of technology but also an innovation of concepts. It represents the perfect combination of blockchain technology and the spirit of the internet, heralding the arrival of an open, interconnected, and shared digital world.
As Blinks technology continues to mature and application scenarios expand, we are witnessing the dawn of a new blockchain era. Let us wait and see how the "Solana Internet" will reshape our digital lives.
