Opening Remarks

Entrepreneurship in Web3, discussing every Wednesday!

(Entrepreneurship Web3.0) is a weekly interview program initiated by Mankun Law Firm featuring Chinese Web3.0 entrepreneurs. Every Wednesday evening, we invite industry celebrities, frontline institutions, and well-known entrepreneurs to the live room for positive voices, rational discussions, and experience sharing, to assist in the compliant and healthy development of China's Web3.0 industry.

The information in the asset forest of Web3 is like a tide, hard to distinguish between truth and falsehood. How do we dig out the gold from the vast noise? How can asset data platforms light the way for entrepreneurs and investors? In this episode (Entrepreneurship Web3.0), Lawyer Niu Xiaojing from Mankun Law Firm interviews Hunter (He Ming), co-founder of RootData. From the media original intention of Chain Catcher to the data revolution of RootData, Hunter shares his seven years of practical experience in Web3 on how to use a one-stop platform to crack the information asymmetry, empower users to avoid pitfalls and increase efficiency, unveil the transparent key of Web3 asset data, and inject trust and rationality into the industry!

(The audio transcription has been processed by AI and may contain omissions and errors)

Welcome this episode's guest; please introduce yourself!

Hunter: Hello, friends in the live room! I'm Hunter, co-founder of Chain Catcher and RootData. Chain Catcher was founded in early 2018 as a Web3 media outlet, one of the earlier blockchain public accounts in the Chinese-speaking region, focusing on news, investment and financing, and project dynamics. It has been nearly seven years now, with teams in Vietnam, Japan, and South Korea. We believe we have done well in the Chinese-speaking region and have some influence.

RootData is a Web3 asset data platform launched in 2022, providing a one-stop query for project, institution, and person information, serving over 2 million users. I previously worked in internet entrepreneurship and coincidentally entered Web3 in early 2018 due to a friend's suggestion. From Chain Catcher to RootData, it has been a bumpy journey. I'm glad to talk about Web3 data today, and I welcome you to pay more attention to Chain Catcher and RootData, and feel free to ask questions!

Q1: From Chain Catcher to RootData, where did the inspiration for focusing on asset data come from?

Hunter: Haha, this is entirely a coincidence, a result of being forced! When we were doing Chain Catcher, as media people, we often had to check project information, such as who is on a certain project's team, how much they raised, and what exactly they are doing. We found that Web3 lacked a one-stop platform! To check a project, one had to browse the official website, read the white paper, then go to X to look for tweets, and finally ask the community on Discord, which was incredibly tedious. Sometimes, after searching for a long time, I couldn't even figure out which country the team was in, which was particularly frustrating. We practitioners all felt this was cumbersome; wouldn't ordinary users be even more confused?

By 2021, investment and financing in Web3 was incredibly hot, and information became more chaotic. For instance, if you want to know which projects a certain institution invested in or where the project party is located, there’s no place to check! At that time, we thought, Web2 has platforms like Crunchbase and Qichacha that integrate corporate data; why can’t Web3 have one? Just right, Web2 has selected data platforms, so we said, 'Web3 also needs something similar!' In early 2022, we launched RootData, aiming to create a Web3 version of 'Qichacha', using investment and financing data as a starting point, to meet our own needs and serve investors, entrepreneurs, and even other media people. Our original intention is simple: to solve information asymmetry and make Web3 data transparent and easy to search, like Baidu Encyclopedia, accessible to everyone!

Niu Xiaojing: The positioning of 'Web3 Qichacha' captures the industry's major pain points.

Q2: How does RootData break the information asymmetry in Web3?

Niu Xiaojing: The volume of information in Web3 is enormous; scrolling on X is all noise, and it takes ten times the effort to find valuable data. How does RootData help users filter information and solve core judgment issues? What directions are you focusing on?

Hunter: The amount of information in Web3 is indeed staggering and particularly mixed! When you open X and casually scroll, it may all be KOL recommendations, project parties boasting, or memes about meme coins. Finding useful data is like searching for a needle in a haystack. RootData's core goal is to lower the cost of information acquisition and solve information asymmetry. We are different from CoinMarketCap (CMC) or CoinGecko; they focus on prices, K-lines, and trading volumes. We deal with the 'underwater data' that CMC cannot find, such as:

  • Project Fundamentals: Who is the team? Which country are they from? What sector are they in? Especially for early projects that haven't issued tokens, such as seed round or Pre-A round.

  • Investment Dynamics: Which institutions invested in this project? What else has this institution invested in? What is their influence?

  • Community Popularity: Through the X index, who is paying attention to the project? Who has unfollowed? Is the community's recognition high?

We are focusing on several points:

  • Differentiated Data: We do not duplicate price data with CMC; we focus on investment and financing, team, and community information. For example, if you want to check projects in the RWA sector, RootData can tell you which projects are available, who the leaders are, and how much funding they have raised, information that CMC does not provide.

  • One-stop Experience: Integrating on-chain data (like wallet transfers, token unlocks) with off-chain data (team backgrounds, financing news) saves you the trouble of checking ten platforms. For instance, when checking Worldcoin, RootData can tell you what other projects its founders have worked on and what similar projects exist.

  • User-friendly: Basic functions are entirely free; regular users can easily look up projects, entrepreneurs can find investments, and investors can observe trends. To B clients, such as TokenPocket and Bitget Wallet, or AI platforms like Sahara, can access our API to train models to answer questions like 'What is the most recently financed RWA project?'

For example, if an entrepreneur wants to find investments, I would say, 'Open RootData, click the 'Investment and Financing' tag, and see which active institutions have recently invested in RWA projects, and what sectors they prefer.' This is ten times faster than running through X or the official website! We aim to make Web3 data queries as simple as Google searches.

For project parties, we can help them clarify their sectors. If they are doing RWA or DeFi, our database has a wealth of tags to showcase leading projects. For example, for RWA project parties, I would say: 'Look at the top projects, how is their team? What direction are they taking? How is it different from your project? What do you think of these leaders?' We also distinguish between projects that have issued tokens and those that have not, for easier benchmarking.

If a Chinese-speaking founder wants to find financing, we can suggest investment institutions that are interested in RWA. They can also see competitors, similar projects, and even who is following these projects. Which institutions prefer RWA? All this information can be directly found on RootData. We want to make data searches straightforward and direct, minimizing detours!

Q3: What are the essence and misunderstandings of Web3 asset data?

Niu Xiaojing: Does RootData face any misunderstandings about asset data? Can you explain the essence of asset data to the friends in the live room, as well as its value for entrepreneurs and investors?

Hunter: Asset data in Web3 is indeed easily misunderstood. Many people think it just means checking K-lines, looking at trading volumes, or equating it directly with on-chain data. In fact, RootData's asset data is broader, covering projects, institutions, individuals, investment and financing, and community dynamics, both on-chain and off-chain. The misunderstandings mainly stem from two points:

  • Timeliness:Some people think RootData's data is not timely. For example, there was a time when a senior executive from Binance left, and we recorded old data that hadn't been updated, which users complained about. There was also a project whose official website listed a certain member, but later internal adjustments weren't captured, leading to discrepancies. Web3 changes too quickly; we cover over 100,000 projects, relying on machine capture and manual sorting, so delays are inevitable. Once, a big player in the primary market quoted our data and found discrepancies, which were magnified. We checked and found it was due to the project party not updating their public information, and we recorded old information. This has sounded the alarm for us; we now verify the top 200 projects monthly, and popular sectors like RWA and AI are updated weekly.

  • Accuracy: Off-chain data is not as transparent as on-chain; team backgrounds and financing information rely on official websites, X, and media. If the project party does not disclose, errors can easily occur. For example, regarding Binance's organizational structure, when someone left, the external information remained unchanged, and we recorded the old situation, leading to mistakes.

The essence of asset data is the transformation from data to information. On-chain data, such as wallet transfers, NFT transactions, and token unlocks, serves as raw material that is public and transparent but incomprehensible to the average person. After RootData organizes it, it becomes readable information, such as 'This address transferred 100 ETH, which is linked to a certain DeFi project whose team is from the USA and raised 5 million'. Off-chain data, such as team changes and financing news, is organized into something like 'This project was invested in by a16z, and its competitor is XX'.

Doing data isn’t like writing math problems with standard answers; it’s like writing an essay, with no end. Today, I recorded all project information for Binance, but tomorrow someone leaves, and if I don’t capture it in time, users might have complaints. Such situations are rare, but they do exist.

The value for entrepreneurs is finding investments, checking competitors, and defining sectors. For example, RWA project parties can look at Ondo's team and financing paths to optimize their own business plans. For investors, the value lies in avoiding pitfalls and increasing efficiency. For instance, at the peak of Worldcoin, it was unlocking $10 million daily, creating immense selling pressure; RootData could remind you not to chase high prices. There's also a case where a certain institution was blacklisted by Binance, and RootData users checked the projects it invested in and hurriedly sold their coins to avoid disaster. We don't pursue perfect data; Web3 changes too quickly for that, but we aim to make data as transparent and timely as possible, helping users save time and make decisions, acting as a reliable guide.

Q4: How does RootData ensure the accuracy of off-chain data?

Niu Xiaojing: A friend in the live room asks: How does RootData correct the accuracy of off-chain information? What is the difference from on-chain transparent data?

Hunter: Haha, this question is very professional! On-chain data, such as wallet transfers, token unlocks, and NFT trading, can be checked through Etherscan and Dune Analytics, which are public and transparent. RootData directly captures this data, ensuring its accuracy. Off-chain data is trickier, such as team backgrounds, financing information, and project dynamics, which rely on official websites, X, CoinDesk, and other channels. If the project party doesn't update, it can easily lead to errors. We have three strategies to ensure accuracy:

  • Data Traceability:Each piece of information marks its source, such as 'raised 10 million, source: CoinDesk report on 2024.5.1' or 'team information, source: project official website'. Users can click to see the source, similar to citations in academic papers.

  • User Feedback:RootData has a feedback mechanism; users can submit errors directly on the project page. For instance, if a project's team changes, users can email us or @ us on X, and we verify and update accordingly. This has been a great help!

  • Regular Verification: The top 200 market cap projects are verified monthly, and popular sectors (RWA, AI, DeFi) are updated weekly. The tech team runs scripts to compare with official websites, X, and media, and then manually reviews everything again.

The challenge of off-chain data is that Web3 is too 'shaky', haha! Many projects do not publicly disclose their teams, or their official websites contain false information. Like one project that claimed to have a certain big shot, but later we found out it was staged; we were misled. This friend is correct; off-chain data is completely different from on-chain, with lower transparency. Calibration is a long-term task; we can only capture more sources, get more feedback, and verify more to get as close to the truth as possible.

Q5: What are the differentiated advantages of RootData compared to its competitors?

Hunter: RootData's positioning differs significantly from CMC and CoinGecko. A few days ago, I was chatting with the owner of CMC in Hong Kong, and he asked, 'Why are you doing this? The workload is heavy, and the returns are slow!' Indeed, the data sector is tough, but RootData has its own niche. There are three advantages:

  • Focusing on Off-chain Data:CMC and CoinGecko primarily focus on price, K-line, and trading volume, while RootData deals with investment and financing, teams, and community popularity. For example, when checking the team background and financing paths of the RWA project Ondo, CMC has no data, but RootData provides a comprehensive overview.

  • Tag Filtering:We have over 1000 tags covering AI, RWA, DeFi, and meme coins, allowing users to quickly filter 'non-token issuing AI projects' or 'RWA projects not listed on Binance', saving time and ensuring precision.

  • Dynamic Features: Recently launched an X index to analyze which projects are being followed, and who has unfollowed. For example, if a project is unfollowed by a16z, it may indicate risk, which cannot be found on CMC. We also plan to launch a points system to encourage users to create collections and provide feedback on data.

Competitors inspire quite a bit:

CMC/CoinGecko: Their interfaces are simple to the point of being 'foolproof'; I learned the ultimate user experience from them. RootData optimizes searches to be as intuitive as Google.

  • Messari/TokenTerminal:

    They focus on research reports and on-chain analysis, which are professional but expensive. RootData borrows from tagging but is more inclusive, offering basic functions for free.

  • Crunchbase:

    Web2's data integration is comprehensive, but it’s not specialized in Web3, and RootData fills this gap.

Compared to similar platforms like CryptoFundResearch, RootData's data is more comprehensive. But the challenges are significant; the data volume is high, and maintenance costs are steep. RootData has burned for two years, relying on Chain Catcher for support, like 'raising a child'. Now, ToB advertising (project parties buying ad space) and API collaborations (wallets, exchanges using data) are starting to make money, but profitability is still being explored. The CMC owner asked us why we were doing this, and I said, 'Because no one is doing it all; Web3 needs it!' We don’t reinvent the wheel; we focus on the underwater information that others haven’t tackled.

Q6: What unique designs does RootData's collection feature, and what are its design intentions and highlights?

Hunter: The collection feature is an interactive function of RootData, originally intended to enhance user interaction and make it as enjoyable as browsing Tieba or Douban groups. Users can create their own collections, including projects, institutions, and individuals. For example, a KOL created a collection called '100x Potential RWA Projects', selecting ten projects they believe in, where everyone can collect and comment, similar to topic discussions on X. We created a 'Dead Projects' collection listing projects that have run away or failed to remind users to avoid pitfalls. There are also collections like 'Tsinghua Background Projects' and 'AI+DeFi Projects' to fill in label gaps. Collections can be updated at any time, acting as a dynamic 'project list'.

There are three highlights:

  • User Co-creation: Anyone can create a collection, whether KOLs, retail investors, or project parties, to increase interactivity.

  • Information Supplement: Collections fill in label gaps, such as 'dead projects', making databases less chaotic and allowing flexible presentation.

  • Community Driven: Collections act like small communities where everyone discusses and collects, increasing engagement.

The experience from Chain Catcher was very helpful. Chain Catcher acts like an 'electronic newspaper', filtering quality content, with each piece of news marked with its source, such as CoinDesk and exclusive Chain Catcher reports. RootData continues this filtering logic but is more like Qichacha, integrating on-chain and off-chain data. The collection feature combines the advantages of both: like Chain Catcher's 'content selection' and RootData's 'data interaction'. For example, when checking a project, RootData's page will include Chain Catcher's reports or news from CoinDesk and The Block, providing a comprehensive overview. Chain Catcher and RootData are interconnected; Chain Catcher provides content, and RootData provides data, with collections being a 'community extension' of both.

Q7: How does RootData empower new Web3 users?

Hunter: Web3 does indeed feel like 'advanced math problems' to newcomers, making it dizzying! RootData is particularly friendly to novices, especially those looking to trade coins or learn about projects. How do we help?

  • Project Overview: No need to run to X, official websites, or Discord; RootData provides one-stop information on teams, financing, and sectors. For example, for the AI project Worldcoin, RootData can inform you what other projects its founders have worked on, and what similar projects exist, saving you from needing to jump through hoops for information.

  • Pitfall Avoidance Tool: Provides unlocking volumes, X indices, and such data. For example, at the peak of Worldcoin, unlocking $10 million daily created significant selling pressure, helping newbies avoid chasing high prices. There's another case where a certain institution was blacklisted by Binance, and RootData users checked the projects it invested in and quickly sold their coins, avoiding large losses.

  • Tag Navigation: Quickly understand popular sectors through tags (RWA, AI, DeFi) to find potential projects, acting like a 'beginner's map'.

I suggest newcomers to dive into the field and feel the market. Read Chain Catcher's news daily and scroll through RootData's popularity rankings; I worry about not keeping up if I miss two days! Web3 is highly practical, and just listening without practicing is useless. For example, if you buy Worldcoin, RootData can check its unlocking volume, predict selling pressure, and decide whether to run. RootData acts like a 'beginner's guide', helping newcomers avoid pitfalls and gradually integrate. Web2 users need not worry; immerse yourself in RootData, try more, and you'll soon get the hang of it!

Niu Xiaojing: Does RootData's backend have statistics on user interest hotspots? What do these data reflect about Web3 users' anxieties or trends?

Hunter: Yes! RootData has a popularity ranking, similar to Weibo hot searches, based on user searches and clicks. You can see which projects, sectors, and people are the hottest when you open the website. For example, RWA has been trending recently, with users frantically searching for related projects, looking up leaders, funding, and teams. AI and DeFi also frequently top the charts.

User emotions are very evident: chase uptrends and kill downtrends. When a project is hot, search volume can increase tenfold overnight, like the 'herd effect' on X. For example, if a certain AI project is hyped by KOLs, RootData's search volume might surge, but peaks are often turning points, and retail investors can easily get trapped. This reflects the emotional decision-making of Web3 users, chasing trends and fearing missing out (FOMO). We often say, 'When popularity is high, stay calm and don’t rush in recklessly!'

From a trend perspective, the hot sectors in 2025 are RWA, AI, and DeFi. Entrepreneurs love to check investment and financing, while investors are concerned about unlocking volume and the X index. We are discussing refining user profiles, such as whether 'RootData users have higher investment returns than non-users'; this can help us optimize products and make users more rational. RootData cannot show what coins are being bought more than exchanges, but it can show search tags, such as the popularity of RWA and AI. This is similar to Weibo's trending searches, which can be heavily emotional; RootData aims to be a 'sober agent'.

Q9: What explorations does RootData have regarding derivative businesses?

Niu Xiaojing: Has RootData tried any derivative businesses? Can the experience of acquiring FTX debt be extended? What new directions are there for the future?

Hunter: We are exploring derivative businesses, still in the early stages. We tried acquiring FTX debt, but it didn’t grow big enough; the uniqueness was insufficient, and the results were average. Our capabilities are limited, so we focus on data. Currently, we are trying two directions:

  • OTC Trading: Facilitate over-the-counter trading. For example, if a token from a project like BabyDoge or Berachain has someone wanting to sell at a discount and someone wanting to buy, RootData can act as an intermediary, like a 'second-hand marketplace' for Web3. The demand is significant, but it must be done compliantly.

  • Points System: Optimize user points to encourage collection creation and data feedback. In the future, it may be combined with NFTs or token economies to increase community cohesion, acting like a 'data DAO'.

Looking ahead, we want to serve trading. The ultimate goal of Web3 projects is to empower trading, but domestic regulations are strict, so we need to find compliant paths. Currently, we have made some money from API collaborations, like TokenPocket and Bitget Wallet using our data, and AI platforms like Sahara using it to train models to answer questions like 'Which RWA project has raised the most recently?' In the future, we may do smart queries or scale OTC trading, but right now, 'the situation is uncertain', and we have to test and see. Web3 changes too quickly for plans to keep up!

Q10: What advice do you have for Web3 entrepreneurs?

Niu Xiaojing: What advice do you have for Web3 entrepreneurs, especially builders of data products? Share a life insight, summarizing your experiences in entrepreneurship or life. There's also a question in the live room: Will RootData consider capturing Web3cast information?

Hunter: Let me first talk about entrepreneurial advice, three points:

  • Profit First:Don't treat issuing tokens as the only route! Many project parties ask me, 'How can we make money without issuing tokens?' I say Web3 entrepreneurship needs to learn from Web2, grasp real demand, and earn cash flow. RootData survives on ToB advertising and API, and only by surviving long can we have the opportunity to grow. Issuing tokens is just one option for financing, like Binance using BNB to raise funds for the platform, but the core is that the product must be good.

  • Beware of false demands: Don't limit yourself by thinking users only care about a certain sector. For example, thinking 'being listed on Binance = good coin' is a false demand; only genuinely useful products (like GMX) attract users. RootData initially focused on on-chain analysis, couldn't compete with Dune Analytics, decisively cut it out, and focused on off-chain.

  • Do the right thing: Don't get involved with funding schemes, CX, or contract trading. Early on, some approached Chain Catcher to promote funding schemes, and we directly refused. RootData insists on transparent data, doesn't exploit users, and gradually earns trust.

Regarding Web3cast, that’s a forum used by OGs, similar to Tieba, requiring $5 for registration. We have not yet considered capturing its data. The information on X is already overwhelming; our API is busy enough! Web3cast has a high entry barrier for Chinese users; our data team would need to dig specifically, which feels unnecessary. For now, we are putting Web3cast on hold, but we might consider it in the future.

Q11: Share a life insight!

Hunter: Do the right thing, and follow your conscience. I've been deeply influenced by Wang Yangming and Duan Yongping. Last year, I read a lot about Yangming's philosophy, and 'to achieve true knowledge' really moved me. You may not know the outcome of something, but if you feel it is right in your heart, just go for it! Web3 is full of temptations; funding schemes and runaway coins can earn quick money, but I never touch them.

Seven years of entrepreneurship, from Chain Catcher to RootData, I do not chase uptrends and downtrends but focus on making solid products. Bitcoin is the right asset with strong consensus; investing in altcoins is often a wrong decision due to high risks. RootData's vision is to make Web3 assets transparent, helping users make rational decisions; this is the right thing to do.

Early on, some pushed us to promote funding schemes and exchanges, and we all rejected it. Those funding schemes seem lively but can lead to disastrous outcomes. Web3 involves voluntary risk; you can sell when coins rise or fall, but funding schemes trap you. Therefore, do the right thing, follow your heart, and rewards will naturally follow. Duan Yongping said: 'Do the right thing, and leave the rest to time.'

Niu Xiaojing: Thank you, Hunter, for your sincere sharing for one and a half hours! From the media original intention of Chain Catcher to the transparent revolution of RootData, from the hardcore functions of 'underwater data' to the entrepreneurial philosophy of 'doing the right thing', it was full of valuable insights and inspiration! Web3 needs more genuine builders like Hunter to drive the industry towards transparency, trust, and rationality. Friends who want to further communicate can reply 'business card' in the public account backend to get Hunter's contact information. RootData is also hiring, so if interested, please reach out! Next Wednesday, we will discuss the RWA topic, welcome your attention! That’s it for tonight, thank you all, and good night!

Hunter: Thank you, Lawyer Niu, and thank you to the friends in the live room! Welcome to follow RootData!


Entrepreneurship is not easy, but your story must be very cool!

Welcome to join Mankun's 'Entrepreneurship Web3 Column', to inject real and vibrant power into China's Web3.



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Author: Mankun Brand Department