Why create a new protocol here?

TL;DR: A protocol brings the following fundamental benefits:

1. Bootstrap network effects to maximize innovation

2. Properly aligned interests

3. Significantly reduce development & service costs for all developers.

A protocol brings the most value when more developers build on top of it, creating a network effect which benefits all network participants.

From a technical perspective, when considering on-chain data retrieval and the use cases built on top of it, many technical components can be standardized due to the uniform formats of underlying on-chain data. Therefore, it makes the most sense to create a protocol network that addresses these demands which also evolves over time, benefiting the entire ecosystem. Traditionally, building decentralized indexing protocol often involves performance compromises. However, Hemera Protocol's Account-Centric Indexing architecture makes it feasible to develop such a protocol without sacrificing performance.

From a business perspective, opting to make Hemera an open protocol presents the most logical choice for several reasons:

1. Alignment of ecosystem interests: Hemera Protocol enables the support of valuable proprietary intellectual properties, mitigating the risks associated with Web2 models where enterprises monopolize these assets and profit solely from their corporate networks. This approach ensures that Hemera Protocol can maximize its value from inception。

2. Significant cost reduction for all protocol users:

   • Reduce development costs: standardize the account-level data retrieval and provide it as a protocol, removing the needs for Dapp developers to build everything from scratch in house.

   • Reduce the service costs: the protocol distributes the cost-intensive indexing workload across the Hemera Network, which encompasses participants such as miners, developers, and individual users, ensuring computational coverage across all geographical locations.