Upland, the leading web3 Metaverse Super App, has recently declared that its in-game utility token, Spark, will soon be tradable outside of Upland’s boundaries on the Ethereum blockchain. This decision was made after an overwhelming 87.25% of the Upland community voted in favor of the initiative, aligning with the platform’s goal of constructing the world’s most extensive digital open economy within the metaverse.
To set the stage for this transformative change, Upland’s leadership presented the Sparklet White Paper to the community in late September. The comprehensive document offers insights into bridging Spark to the Ethereum network. In this planned transition, the Spark token will be mirrored and minted on Ethereum as Sparklet, valued at one-thousandth of a Spark token.
The Sparklet White Paper outlines the essential role of Spark in driving value within the metaverse. It is a critical resource for various activities, including world-building, collaborative community initiatives, no-code NFT creation, and the development of 3D map assets such as vehicles and decorations.
In addition to discussing the future utility of Spark, the Sparklet White Paper also covers topics such as Sparklet vesting schedules, strategic implementation, and the logistics of token distribution. It also provides an open avenue for community members to share their thoughts ahead of the governance vote. Dirk Lueth, Co-Founder and Co-CEO of Upland, emphasizes the importance of responsible decentralization, stating, “Offering tradability to our users while having protective mechanisms in place allows us to progress towards decentralization responsibly.”
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The Upland community’s approval has set the stage for the next major step: a Token Tradability Event (TTE). During this event, Spark tokens from the EOS blockchain will be mirrored and transformed into Ethereum-based Sparklet tokens. This event will not only make it easier for Spark token holders to trade their tokens in open markets but also contribute to Upland’s decentralization efforts, as it aims to grow its presence in the wider Web3 world by listing on external exchanges, attracting more users, and improving its network.
During the upcoming Token Tradability Event, 1 billion Sparklet tokens will be released on the Ethereum network. These new tokens will be matched by 1 million Spark tokens created in Upland, which uses the EOS blockchain. The Sparklet White Paper ensures that the amount of Spark owned within the Upland game will always be equal to the number of Sparklet tokens held in escrow on the Ethereum bridge.
Currently, staking Spark in Upland is a prerequisite for item construction or manufacturing. The white paper reveals that the game has over 130,000 Spark holders, with nearly 94% of them using Spark for building activities. Sparklet will exist on the Ethereum blockchain as an ERC-20 asset. Transferring Sparklet from Ethereum to Upland allows for conversion into Spark using a multiplier of x/1,000, and the process can be reversed to move Spark back to Ethereum.
The tradability of Spark introduces a range of opportunities. Players who want to accelerate their virtual construction efforts may seek more Spark, while others may want to liquidate their Spark holdings that they no longer need by using Sparklet. Creators, entrepreneurs, and brands may also require varying amounts of Spark based on their manufacturing needs.
According to Idan Zuckerman, Co-Founder and Co-CEO of Upland, “Having observed the Spark economy for two years, we’re confident about creating a model that’s sustainable for the foreseeable future. Sparklet allows players to take true ownership of Spark and trade it in liquid markets.”
Furthermore, with the introduction of Spark’s tradability, developers are likely to create new utilities for Spark, increasing its demand. This adds another layer to the Upland ecosystem, enabling a more engaged and diverse community and potentially setting the stage for innovative developments.
It is also worth mentioning that the shifting regulatory landscape, exemplified by cases like SEC v. Ripple, has reduced the uncertainties surrounding token tradability. This makes Upland’s timing crucial and relevant as it takes this significant step towards expanding its presence and creating a more dynamic and inclusive digital economy within the metaverse.
