In the Web3 space, Reputation Score is a metric to measure the trustworthiness and reliability of an account within a group of users, under certain criteria. A higher score means the more important the account is.
How is the Reputation Score calculated?
Octan Labs has developed innovative ranking algorithms, similar to PageRank algorithms, to calculate RS based on on-chain transactions. The algorithms take into account the frequency, priced value, age and types of transactions, as well as other factors such as community engagement and participation.
Global Reputation Score (GRS) quantitatively measures the importance and quality of an account in relation to others entirely on a blockchain, regardless if the account is an EOA (External Own Account associated with private key) or contract (no private key). It is computed from on-chain transactions entirely on the blockchain. From GRS, it is partitioned into two disjoint groups: contracts vs EOAs. From the EOA group, exchange or custodial wallets are filtered out to obtain a pure list of end-users’ wallets for further classification, qualification and segmentation.
Category Reputation Score (CRS) is computed from on-chain transactions related to a specific category (i.e. DeFi, NFT, DAO, SocialFi, GameFi subspaces) entirely on a blockchain. From CRS, we can partition into contract vs EOA groups, then obtain Wallet CRS and Contract CRS (hence project’s CRS) associated with a specific category (i.e. within a specific subspace) in a certain blockchain.
DeFi Reputation Score is computed from on-chain transactions related to DeFi subspace in a blockchain.
NFT Reputation Score is computed from on-chain transactions related to NFT subspace in a blockchain.
Project/Dapp-based Reputation Score (PRS) quantitatively measures the importance and quality of accounts interacting with a specific project’s contracts on a certain blockchain. This is actually a projection of the entire chain into a (smallest-type) subspace formed by the Dapp’s contracts. From PRS, we filter out EOAs to obtain a list of all project’s users.
DID YOU KNOW THAT:
Octan's Reputation Ranking System provide 3 distinct schemes regarding wallet reputation score and project-related reputation score, allowing various segmentation and filtering levels for different purposes such as marketing, market report or investment reference.