PARAM Protocol

PARAM Protocol is a full circle, decentralized data economy that empowers users to finally monetize their real-world, verified data. We use Reclaim Protocol to let users securely onboard their consumer data (like Netflix history) as a zk-proof, which is then stored on Lighthouse Storage. For this contribution, users are instantly rewarded with our PTK DataCoin (launched on 1MB.io) and a "Proof-of-Contribution" NFT. To make this process exciting, we've built an innovative Base + Bonus incentive model powered by Pyth Entropy, which gives users a guaranteed base reward plus a chance to win a much larger probabilistic bonus, all in one transaction. This gamified supply drives value to our "Data Agent Studio," where businesses and developers can spend PTK to acquire this verified data and use our AI agents to transform it into high-value synthetic assets, creating a complete and sustainable economic loop.

Architected PARAM Protocol as a full-stack, hybrid on-chain/off-chain system. The core philosophy was to keep the user's on-chain interaction secure, while using a backend to orchestrate the complex, multi-step process of verification, storage, and reward.

Technology Stack: Frontend: Next.js (React)

Web3 Frontend: Ethers.js (for wallet connection and contract calls)

Backend: Next-api (as our orchestration layer and API gateway)

Smart Contracts: Solidity (using OpenZeppelin standards)

AI/Data Agents: JS (with a multi-LLM framework)

(Verification): Reclaim Protocol

(Storage/Monetization): Lighthouse Storage & 1MB.io

(Incentives): Pyth Entropy

How We Pieced It Together: The entire user flow is a carefully orchestrated sequence between these technologies:

Frontend: The user connects their wallet. When they click "Verify Data," our dApp initiates the Reclaim Protocol flow, prompting them on their mobile device to generate a zkTLS proof of their Netflix data.

Backend: This ZK proof is sent to our secure backend server, not the smart contract. This is a crucial design choice for gas efficiency and security.

First, it verifies the ZK proof from Reclaim. Second, upon success, it uploads the verified data payload to Lighthouse Secure Storage and gets back the unique Content ID (CID). Third, it initiates the one and only on-chain transaction. Our backend (which is the owner of our contract) calls the mintDataNFT function on our main ParamProtocol.sol contract, passing in the user's address and the new CID.

On-Chain Logic: The ParamProtocol.sol contract then atomically executes the three core reward functions in that single transaction: it mints the NFT, calls the mint function on the PTK DataCoin contract, and later invokes requestV2 on the Pyth Entropy contract in case of probalisitic reward gains if required.

The Demand Side (Data Agent Studio): To create a full economic loop, our Data Agent Studio page is an API gateway that validates a business user's PTK token balance. If they have sufficient tokens, our backend serves them the purchased data from Lighthouse and pipes it into our AI agentic framework (a multi-LLM architecture) to generate and return the final synthetic insights which can thereby be stored on Lighthouse and used by the agency/startup/purchaser.

Asynchronous Callback (Pyth - for Bonus Rewards): When the Pyth oracle is ready, it calls back to our contract's entropyCallback function, which securely reads the randomNumber and mints the "Common," "Rare," or "Legendary" bonus to the user.

How We Used Partner Technologies (The Benefits): Lighthouse & 1MB.io: This was the entire backbone of our data economy. Lighthouse provided a simple, decentralized, and permanent storage solution for the data assets. We then used 1MB.io to launch our PTK DataCoin, which was essential for creating the protocol's core utility and incentive mechanism.

Pyth Entropy: This was our "killer feature" for user engagement. A simple "get 10 tokens" reward is boring. Pyth Entropy allowed us to build our innovative "Base + Bonus" model. It was the key that let us gamify the contribution process, making it exciting and creating a powerful incentive for users to return. It's a secure, on-chain, and reliable source of randomness that made our probabilistic reward mechanism possible.

Reclaim Protocol: This was our solution for data quality. We didn't want users to just upload fake JSON files. Reclaim's zkTLS proofs were the benefit that allowed us to guarantee to our data-buyers that every piece of data in our system is authentic and came from a real consumer, dramatically increasing its value.

Notable & "Hacky" Innovation: Securely fetch the NETFLIX data without revealing the user info and tokenising that data to generate a revenue market. Proud to combine what could have been three separate, clunky user transactions (Mint NFT, Claim Base Reward) into a single, atomic function call (mintDataNFT). This is triggered, so the user just has to provide the initial proof and then watch the rewards arrive. This single transaction architecture abstracts away all the complexity and provides a seamless, gas-efficient experience for the end-user.