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Signal Tokens

Tokenized Attention & Engagement Economy

Executive Summary

Tokenized attention and engagement signals. Creators and platforms issue tokens that represent verified engagement (views, interactions, completions). DUAL's Event Bus tracks engagement events; Logic Layer prevents bot/fraud inflation. Creates transparent attention marketplace replacing opaque ad metrics.

Token Data Schema

What this token holds — every field is specific to Signal Tokens:

{
  "immutable": {
    "signal_id": "UUID",
    "signal_source": "string",
    "timestamp": "ISO8601"
  },
  "mutable": {
    "signal_strength": "float",
    "reliability_score": "float",
    "subscriber_count": "uint32"
  },
  "compliance": {
    "data_sourcing_verified": "bool",
    "publication_approved": "bool"
  }
}

User Journey

Step 1: Signal Producer

Generates trading or market signal from proprietary data source

Token: signal_id created, signal_source immutable, timestamp recorded

Step 2: Data Verifier

Validates signal source authenticity and data provenance

Token: data_sourcing_verified = true

Step 3: Publisher

Publishes signal with reliability score and confidence interval

Token: reliability_score computed, signal_strength recorded

Step 4: Subscriber

Subscribes to signal stream; pays per signal received or monthly fee

Token: subscriber_count incremented, subscription_id recorded

Step 5: Revenue Settlement

Distributes subscriber fees to signal producer based on reliability performance

Token: payment_distributed, payout_record logged

Token Lifecycle

State machine transitions:

Minted→Engagement Tracked→Verified→Valued→Redeemed or Traded

Why Not Just a Database?

ApproachPortabilityMutable StateCross-OrgCompliance
Traditional Data Feed (Bloomberg) Terminal-locked Publisher updates only Subscription model Publisher-managed
Blockchain Oracle On-chain only Smart contract updates Chain-limited No data source audit
SaaS Analytics (Palantir) Platform-locked Centralized data lake Expensive integration Enterprise-controlled
DUAL Signal Token Event Bus portable Producer-signed signals Multi-source aggregation Verifier-chained

Market Opportunity

TAM
$100B+
SAM
$10B
SOM
$300M

Event Bus processes engagement events in real-time; Logic Layer validates engagement authenticity; mutable state tracks cumulative engagement metrics; Compliance Layer prevents bot inflation and fake engagement.

Business Model & Unit Economics

  • Signal Publishing: $1,000/month for publishing unlimited signals with producer verification
  • Subscriber Revenue Share: Platform takes 20%; 80% to signal producer from subscription fees
  • Subscriber Fee: $50-$500/month depending on signal reliability tier and frequency
  • API Access: $100/month for programmatic signal ingestion (REST + WebSocket)
Unit Economics

Per-signal: $1K base + 20% of subscriber revenue (avg. 100 subs @ $100 = $20K, platform takes $4K). Total: $5K/month per signal. COGS: $500/month. Gross margin: 90%.

5-Year Projections

YearARRCustomersNotes
Y1 $400K 100 signals, 1K subs Alpha signal marketplace launch
Y2 $2.5M 500 signals, 10K subs Trading bot integrations live
Y3 $6M 1.5K signals, 35K subs Institutional signal aggregation
Y4 $12M 3.5K signals, 80K subs Market microstructure signals
Y5 $20M 6K signals, 150K subs Signal token liquidity protocol

Competitive Positioning

CompetitorWeaknessDUAL Advantage
Bloomberg Terminal (Proprietary Feed) Centralized; expensive ($30K/user/year); no transparency Decentralized signal marketplace + affordable access
Kaiko / Messari Data APIs Crypto-data only; limited signal producer tools; centralized Cross-asset signals + producer-native platform
Coin Metrics (Research) Index-focused; limited signal diversity; no real-time pub-sub Event Bus pub-sub + live signal streaming

Go-to-Market

Phase 1: Alpha Signal Marketplace (Months 1-6)

Launch with 100 trading signals. Recruit 10-20 signal producers. Build subscriber base of 1K. Target: $400K ARR.

Phase 2: Trading Bot Integration (Months 6-18)

API for automated signal ingestion. Integrate with major bot platforms (3Commas, TradingView). Target: 500 signals, 10K subscribers, $2.5M ARR.

Phase 3: Institutional Signals (Year 2+)

On-chain microstructure signals. Become institutional-grade signal infrastructure. $20M+ ARR.

90-Day MVP

  • Signal producer dashboard: Publish signal with metadata + confidence
  • Signal verification oracle: Producer identity validation
  • Subscriber management: Sign up + payment processing
  • Signal distribution: Event bus pub-sub for live signal streaming
  • Reliability scoring: Track producer win-rate over time
  • Revenue settlement: Monthly payout to signal producers (80/20 split)

Risk Factors

Signal Accuracy Degradation

If 50% of signals become unprofitable, platform loses credibility and users.

Mitigation: Publish historical signal performance; reliability scoring algorithm; producer vetting; reputation carryover.

Market Microstructure

Signal producers may front-run subscribers or signal quality may degrade post-publication.

Mitigation: Delayed signal publication windows; insider trading monitoring; producer bonding + penalties.

Data Source Risk

If signal data source (exchange API, news feed) goes offline, signals become unreliable.

Mitigation: Multi-source aggregation; fallback data sources; signal quality SLA insurance.

Regulatory Classification

Signals may be classified as investment advice; platform liable for performance.

Mitigation: Disclaimer language; signal producer licensing; insurance; focus on data, not advice.

VC Pack Documents

Get Started with AI

Prerequisites: Complete the DUAL Quick Start Guide to set up your environment and API keys before building this concept.

# Build Signal Tokens on DUAL

You are building a decentralized alpha signal marketplace. Start here:

1. Design the signal schema: immutable signal_id, signal_source, timestamp; mutable signal_strength, reliability_score, subscriber_count; compliance data_sourcing_verified, publication_approved.

2. Create the signal producer interface:
   - Producer creates trading signal (e.g., "BTC bullish breakout")
   - Specify signal_source (proprietary model, on-chain metrics, news)
   - Set confidence level (signal_strength)
   - Publish on DUAL

3. Build signal verification:
   - Verifier validates signal_source authenticity
   - Cross-check data provenance
   - Set data_sourcing_verified = true
   - Create immutable verification record

4. Implement reliability scoring:
   - Track producer win-rate over time
   - Compute reliability_score from historical signals
   - Decay score for false signals
   - Subscribers filter by reliability_score

5. Create subscriber management:
   - Users subscribe to signals (monthly or per-signal fee)
   - Receive real-time signal notifications via Event Bus
   - subscriber_count incremented per signal

6. Build revenue settlement:
   - Monthly: Collect subscriber fees
   - Distribute to signal producer (80/20 split with platform)
   - Immutable payout record

Start by onboarding 10 signal producers and building the pub-sub notification system.
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