⚫Application of Blockchain and Risk Mitigation

Decentralization of InRecommendations system makes it invulnerable from the untrustful members of the system and ultimately from InRewards operations. However, it will keep its open protocol available for the new members: any e-commerce business will be able to connect to it and benefit from the data collected from the thousands of other stores.

• all the data received from the merchants is stored on the decentralized file system IPFS. The metadata, including the data quality scoring, is recorded on the Ethereum blockchain. This makes the system genuinely trustless. Should the InRecommendations system fail to work, under the procedures of DAO InRewards, a new team will be hired, and a new system using the aggregated data will be implemented;

• if a merchant tries to cheat and provides fake data, this will be detected, and the score of that merchant will be downgraded leading to the payment of less amount of INV for their data. Potentially, the scoring can go down to zero when the data that is received from this merchant is not used by the system, and the merchant does not receive remuneration for the provided data. In this case, the merchant will have to pay in order to use the InRecommendations system. Merchant score is stored on the Ethereum blockchain. By virtue of using INV tokens, InRecommendations can offer this cutting-edge data-driven recommendation service for valuable members of the system, completely free of charge.