Reach

Reach is the first SocialFi protocol that transforms social attention into quantifiable financial value. We bridge the gap between decentralized social networks and institutional-grade DeFi, creating an ecosystem where your social influence unlocks premium Bitcoin yields.

Babylon white paper - https://github.com/shreyaspapi/reach/blob/main/Whitepaper_preliminary_draft.pdf

The Problem We're Solving

The current digital economy is broken in three fundamental ways:

1. Attention has no price tag: Billions of users generate massive value through social engagement, but platforms capture all the upside. Your "likes" and "retweets" are vanity metrics—not assets.

2. DeFi is isolated from reality: High-quality yield products (like Bitcoin staking) live in walled gardens, disconnected from where people actually spend their time—social media.

3. Quality is invisible: It's impossible to distinguish genuine, high-value discourse from spam and bot activity. Everyone's engagement looks the same.

Our Solution: The SocialFi Stack

Reach creates a unified layer that connects Farcaster (decentralized social) with Bitcoin DeFi:

• AI-Powered Social Scoring: We use Azure OpenAI to analyze every mention, cast, and reply in real-time. Our agents evaluate context, sentiment, and quality—not just raw volume. This generates your Reach Score, a dynamic reputation metric that reflects genuine community contribution.

• Streaming Token Rewards: High-quality engagement earns $REACH tokens, streamed directly to your wallet in real-time using Superfluid. The better your engagement, the higher your flow rate. Think of it as "proof-of-attention."

• DeFi Yield Unlocks: Your Reach Score doesn't just sit there—it's the key to bonus APY on our TradBTC vaults. The more social capital you build, the better your Bitcoin yields.

• Institutional Bitcoin Vaults: TradBTC combines Babylon staking (trustless BTC yield) with institutional strategies, offering 12%+ APY. Live NAV tracking via Pyth Network oracles ensures full transparency.

Why This Matters

For the first time, your social reputation has direct financial utility. Builders, thought leaders, and community contributors can monetize their influence without selling ads or compromising privacy. Meanwhile, DeFi users get access to premium yields previously reserved for institutions—rewarding those who actively strengthen the ecosystem.

Reach isn't just another DeFi dashboard or social app. It's the SocialFi operating system for Web3's new economy.

Architecture Overview

Reach is a full-stack SocialFi protocol built with cutting-edge Web3 and AI technologies:

┌─────────────┐
│  Farcaster  │ (Social Layer)
└──────┬──────┘
       │ Webhooks
       ▼
┌─────────────┐
│   Neynar    │ (Real-time Events)
└──────┬──────┘
       │
       ▼
┌─────────────┐      ┌──────────────┐
│  Reach API  │─────▶│ Azure OpenAI │ (AI Scoring)
└──────┬──────┘      └──────────────┘
       │
       ▼
┌─────────────┐      ┌──────────────┐
│  Supabase   │◀────▶│  Superfluid  │ (Token Streams)
└─────────────┘      └──────┬───────┘
                            │
                            ▼
                     ┌─────────────┐
                     │   $REACH    │ (ERC-20 Supertoken)
                     └─────────────┘

       ┌──────────────────────────┐
       │      DeFi Layer          │
       │  ┌────────────────────┐  │
       │  │  TradBTC Vaults    │  │
       │  │  • Babylon Staking │  │
       │  │  • Pyth Oracles    │  │
       │  │  • MSTR NAV Tracking│ │
       │  └────────────────────┘  │
       └──────────────────────────┘

Tech Stack Breakdown

🎨 Frontend (Next.js 15 + TypeScript)

• Framework: Next.js 15 with App Router for optimal performance
• Design System: Custom Blueprint-themed UI with sketchy borders, cross-hatching, and technical drawing aesthetics
• Auth: Privy for seamless Farcaster authentication
• Wallet: WalletConnect v3 for multi-chain support

🔗 Social Infrastructure

• Farcaster: Decentralized social protocol (the "input layer" for attention)
• Neynar: Provides real-time webhooks for mentions, replies, and casts
• Webhook Processing: Custom Node.js middleware validates and routes social events to our scoring engine

🤖 AI Scoring Engine

• Azure OpenAI GPT-4: Evaluates engagement quality using semantic analysis
• Custom Prompts: Trained to distinguish between:
  • High-value discourse (technical questions, thoughtful replies)
  • Medium-value engagement (memes, casual conversation)
  • Low-value spam ("GM", bot activity, copy-paste)
• Real-time Processing: Sub-3-second latency from event → score → stream adjustment

💾 Backend & Database

• Supabase: PostgreSQL database with real-time subscriptions
  • Stores user profiles, Reach Scores, and engagement history
  • Row-level security ensures data privacy
• Database Schema:
  • users: FID, wallet address, Reach Score, tier
  • engagements: Individual social events with AI scores
  • stream_allocations: Active Superfluid streams per campaign

💸 Token Streaming (Superfluid)

• Superfluid Protocol: Powers real-time $REACH token streams
• Dynamic Flow Rates: Adjusted based on AI-evaluated engagement quality
• GDA Pools (General Distribution Agreement): Used for campaign budgets
• Custom Integration:

  // Example: Adjust user's stream based on new engagement score
  function updateUserStream(address user, int96 newFlowRate) external {
      pool.updateMemberUnits(user, calculateUnits(newFlowRate));
  }
  

₿ DeFi Layer (TradBTC)

Smart Contracts (Foundry + Solidity):

• MSTRNavOracle.sol: Custom oracle contract that fetches:
  • BTC price from Pyth Network
  • MSTR stock price from Pyth Network
  • Calculates NAV per share and MNAV premium in real-time
• Deployed on Base Sepolia: 0x21c1914f8f1a6cd3faaa08c761ec0990d01fab8f

Integration with Babylon:

• 80% of vault assets stake BTC on Babylon for trustless yield
• 20% deployed in low-risk institutional strategies (simulated for hackathon)

Live Oracle Dashboard:

• Real-time NAV display on TradBTC page
• Fetches on-chain data using ethers.js
• Auto-refresh every 60 seconds
• Fallback to demo data if price feeds are stale

Frontend Integration:

const contract = new ethers.Contract(ORACLE_ADDRESS, ABI, provider);
const [nav, mnavMultiple, btcTimestamp, mstrTimestamp] = 
    await contract.getMstrNavAndMnav();

🔐 Authentication & Wallets

• Privy: Handles Farcaster OAuth + embedded wallets
• Non-custodial: Users always control their private keys
• Multi-platform: Same identity across web and mobile

---

🏗 Partner Technologies Used

1. Farcaster: Core social identity layer. Enables decentralized, verifiable engagement tracking.

2. Neynar: Critical infrastructure for Farcaster webhooks. Without it, real-time event processing would require running our own indexer—expensive and slow.

3. Azure OpenAI: The "brain" of our scoring system. Generic sentiment analysis APIs weren't cutting it—we needed GPT-4's reasoning to distinguish between "this is cool" and "here's why this breaks the protocol's invariant..."

4. Superfluid: Enables continuous token streaming, not batched payouts. This creates a "live ticker" feeling where your engagement immediately affects your wallet balance.

5. Babylon: Provides trustless BTC staking. Traditional Bitcoin yields require custody—Babylon changes the game by making staking non-custodial.

6. Pyth Network: Low-latency, high-fidelity price feeds. We use Pyth for both BTC and MSTR prices to calculate vault NAV on-chain.

7. Supabase: Postgres + real-time subscriptions out-of-the-box. Perfect for rapid prototyping without spinning up custom infrastructure.

---

🎪 Notably Hacky / Clever Implementations

1. AI-Weighted Stream Adjustments: Instead of binary "reward or don't," we use a continuous scoring model. A "great" reply might boost your flow rate by 50%, while a "meh" one gives you 10%. This creates nuanced incentives for quality.

2. MNAV Premium as Yield Benchmark: We track MicroStrategy's NAV premium (MNAV) as a real-time benchmark. When MSTR trades at 2x NAV, it signals strong institutional demand for Bitcoin exposure—we use this to justify our vault's competitive APY.

3. Blueprint Aesthetic: We ditched generic Web3 UI for a technical drawing theme (sketchy borders, cross-hatching, construction guides). This creates a distinct brand identity and signals "serious engineering" to users.

4. Fallback Oracle Data: Price oracles can go stale during testnet downtime. Our frontend gracefully degrades to demo data (randomized but realistic) so the UX never breaks.

5. Webhook Replay Attack Prevention: Early on, someone could theoretically replay Neynar webhook payloads to farm $REACH. We added:

   • HMAC signature verification
   • Nonce tracking (prevent duplicate event processing)
   • Timestamp validation (reject events older than 5 minutes)