What’s Coming in Dether V2: Part 1—The Zoning System

With some optimisation in the storage in the smart contract we ended up being able to store the entire world for a total cost of 264279513 gas.

With a gas price at 5gwei, it only costs 1,32139 ETH to map the entire world this way.

Using this system for the users’ zones

We choose to use geohash of size 6 to define users zones:

We choose a geohash size of 6 because it represents a zone where anyone in a city could reach a point within a 10-minute walk. It’s big enough for a zone owner to have enough customers, while being a short enough distance to walk to as a sell point:

5 → 4.89km × 4.89km → too big

6 → 1.22km × 0.61km → around a 10-minute walk

7 → 153m × 153m → too small (zone too large)

With the geohash location data, it’s easy for a seller to share the first four characters of his or her country code to verify it on-chain.

The GeoRegistry.sol smart contract (where the country zone will be registered) will be as open as possible. Other users will be able to add other smaller areas (like cities, topographical areas, etc.) to the query to see if smaller areas are included in these same root zone.

You can even take a look at our ZoneFactory.sol contract, where the users’ zones are created.

Other benefits for zone owners

Zone owners will be able to rent their zone for other shops willing to advertise their location, and the the zone owner will define his or her own price for a shop to appear in his or her own zone.

As we are at the beginning of the cash-to-crypto revolution, our foremost priority today is to add liquidity to the market. That is why this system combining zone exclusivity and additional income related to renting for the shops ensures a certain attractiveness for the entities ready to commit to providing cash-in cash-out service. Making the market more liquid can only benefit the whole community.

It’s important to keep in mind that zones will be subjected to a very particular system of ownership. In no way do we want to attract people just willing to squat spaces without wanting to engage in activities and add value to the protocol.

The zones will therefore be constantly auctioned in DTH and will go to the one that is ready to stake the most, thanks to a system similar to the Harberger tax, which will be the next installment in this series!

Stay tuned!

*Kudos to Alexandre Kurth and Alexander Remie for their ongoing insights!