Cover Image for Ocean Protocol

Ocean Protocol

Ocean Protocol is a blockchain-based data exchange protocol that allows users to sell and share data while maintaining ownership rights.



Data Economy





Medium of Exchange



Token Strength.

Token Utility:

- Unit of exchange: the $OCEAN token is used to publish, buy and sell data assets in the Ocean ecosystem

$veOCEAN (locked $OCEAN):
- Governance: veOCEAN is used to vote on governance proposals put forward by the Ocean DAO
- Staking: veOCEAN can be staked on dataNFTs to earn passive and active additional rewards, in the context of the Data Farming Program

Demand Driver:

- $OCEAN is needed to obtain $veOCEAN, that is used to vote on how fee income is distributed

- $OCEAN is needed to obtain $veOCEAN, that can be staked within the data ecosystem, earning $OCEAN rewards

- A fraction of $OCEAN tokens, 5% at the time of writing, are burned to reduce supply of circulating tokens

Value Creation:

Ocean Protocol aims to unlock the value of data as a new asset class enabling the data economy. By providing a secure, privacy-preserving platform for buying, selling, and sharing data, Ocean Protocol is helping to solve one of the biggest challenges in the AI revolution: the lack of access to high-quality, diverse data. 

At the heart of the Ocean System there is a loop, called sustainability loop, which enables growth of the ecosystem. Since an increasing usage of Ocean tools and services leads to more $OCEAN being staked, this drives $OCEAN demand thus growing $OCEAN value. More usage also leads to more Network Revenue, which goes to both burning, which reduces the total supply, and funding to the OceanDAO, which is composed of workers that have the goal of improving the Ocean ecosystem, thus aiming to attract more demand.

Value Capture:

$OCEAN token value capture:
- $OCEAN acts as a unit of exchange for buying and selling data assets on the Ocean Market, allowing data owners to monetize their datasets by creating datatokens.
- $OCEAN can be staked to obtain $veOCEAN, which accrues both passive and active rewards depending on the user activity.
- Curation of assets in the pool allows data buyers to more easily identify the most promising assets, further improving the buying experience, driving up interest and thus volume.
- Increase in volume generates increased interest for the $OCEAN token, which can be staked to receive rewards, which translates in $OCEAN value accrual

Business Model:

Ocean’s core token dynamics are those of a work token, embedded within a loop for growth and long-term sustainability. OCEAN is designed to increase with a rise in usage volume.

Revenue comes from:
- Fees accrued from users who access and consume data within the Ocean Protocol ecosystem

Revenue is denominated in:
- Mostly OCEAN tokens, even though the OceanDAO also accrues revenues in other cryptoassets due to active treasury management such as liquidity provision and yield farming

Revenue goes to:
- OceanDAO, which receives a share of the Network Revenue and uses funds to pay out workers, whose purpose is to grow the usage of Ocean tool.
- The protocol burns a fraction of the network revenue, reducing the circulating supply, thus driving $OCEAN price up.


Protocol Analysis.

Problems & Solutions
- Few big organizations have both massive data assets and AI capabilities that could result in high levels of control and monetization of these assets.

- Ocean Protocol is creating a decentralized ecosystem that enables secure data sharing, collaboration, and monetization through blockchain primitives, such as dataNFTs and datatokens.
There are a few projects in the data economy field that share similar goals as Ocean Protocol:

Filecoin: Filecoin is a decentralized storage network built on top of the InterPlanetary File System (IPFS). It aims to provide a more efficient and cost-effective alternative to centralized cloud storage solutions. While Ocean Protocol focuses on data exchange and marketplaces, Filecoin focuses on decentralized storage infrastructure.

Streamr: Streamr is a decentralized, peer-to-peer network for real-time data sharing and monetization. It allows users to create, trade, and consume data streams without relying on centralized intermediaries. Streamr is similar to Ocean Protocol in that it aims to unlock the value of data, but it focuses more on real-time data streams.

IOTA: IOTA is a distributed ledger technology designed for the Internet of Things (IoT) and data sharing. IOTA shares Ocean Protocol's focus on data sharing, but it specifically targets the IoT sector.

Arweave: Arweave is a decentralized storage network that aims to provide a permanent and tamper-proof storage solution for data. While Arweave and Ocean Protocol both operate in the data storage and sharing space, they have different goals and use cases. Ocean Protocol focuses on enabling secure data exchange, monetization, and collaboration, whereas Arweave's primary objective is to provide a permanent and tamper-proof data storage solution.

Ocean Protocol's competitive advantage and differentiating factors include a comprehensive approach to data exchange, including sharing, monetization, and collaboration as well as the integration with artificial intelligence (AI) and machine learning (ML) tools, enabling data-driven insights and analytics.

Investment Take

... coming soon

Tokenomics Timeline.

  1. 2017-11-01

    Seed Distribution

    $OCEAN Token seed distribution

  2. 2018-03-01


    $OCEAN Token pre-launch distribution

  3. 2019-07-01

    v1 Production

    Token bridge between Ethereum Mainnet and PoA network

  4. 2020-07-01

    v2 Compute-to-Data

    Enabled buying and selling private data while preserving privacy

  5. 2020-10-01

    v3 Datatokens + Ocean Market

    ERC20 Datatokens, Ocean Market community marketplace and updated market-level token design including staking

  6. 2020-12-01


    Grants DAO created providing community funding

  7. 2022-04-01

    v4 DataNFTs & Monetize

    DataNFTs to enable transfer of base IP and support revenue streams

  8. 2022-07-01

    Data Farming

    A program to incentivize data consume volume

  9. 2022-07-01

    veOCEAN staking

    Earn by locking OCEAN and curating quality data




Ecosystem Users.

Support the development and maintenance of the protocol
Earn rewards by staking $veOCEAN on data assets and participating in governance
Use Ocean Protocol to swap data assets on the Ocean Data Market
Programmers, data scientists, and researchers play an important role in the ecosystem by developing and contributing to the protocol's codebase, documentation, and data assets