Analyzing Cheelee: a Web3 short video platform with $18 million in two rounds of financing

Author: Golden Finance, Climber

Recently, Web3 short video platform Cheelee announced the completion of financing of US$10 million, plus the US$8 million in equity financing in November last year, a total of US$18 million was raised twice, and the time interval between them was only 7 months. But it's particularly noteworthy that Cheelee has raised $32.75 million to date.

As a start-up company in the Web3 industry, being able to raise so many funds shows that the project has been deeply recognized by investment institutions. When the entire encryption market was in an extreme bear market in November last year, the $200 million "Encryption Winter Solidarity Fund" jointly launched by the project founder Roman Alekseev and the Web2 mobile application NUTSon further reflected the project party's attitude and commitment to the ecological construction of the encryption industry. expect.

Today, Jinse Finance will explain in detail the basic connotation, operating mechanism and economic model of Cheelee, and take you to understand the uniqueness of this short video project.

Introduction

Cheelee is a short video platform with a Watch to Earn mechanism, that is, to issue token rewards to all users who watch the content. The design mechanism refers to GameFi. The platform declares that the team's goal is to allow all users to make money on social networks and to jointly benefit from the attention economy. (Jinjin Finance Note: Attention Economy refers to a special economic model in which enterprises attract the attention of users or consumers to the greatest extent, and cultivate potential consumer groups in order to obtain the greatest future commercial benefits.)

After registering and logging into Cheelee and watching the usage feed, the platform provides each new user with a free "NFT glasses". The glasses can monitor the time spent watching videos and convert them into corresponding points according to the length of time, and then exchange token rewards.

In addition, users can also use Cheelee's native tokens to upgrade glasses functions, such as memory, frames, lenses, etc.

Cheelee was founded in 2019 by Roman Alekseev, a serial entrepreneur and venture capitalist with over 20 years of experience in international markets, and his co-founders Ruslan Sharov and Yuriy Kardonov. It is understood that Ruslan Sharov is a doctor of law and a Web3 expert with more than 20 years of experience in international enterprise construction. And Yuriy Kardonov is the CEO and founder of neurotech and virtual reality startup CommON.

Operation Mechanism

As a short video platform using the GameFi mechanism, through move-2-earn gameplay, in-app NFT and tokens, Cheelee users can convert their attention into money while using the product, and make money together with the platform. The implementation steps are also very simple, just three steps:

1. Register on the Cheelee app and get free NFT glasses.

2. Watch the feed and get boxes with LEE tokens (in-app tokens). Users will earn LEE from crates that drop within 30 minutes of watching the feed.

3. Once tokens are dropped, users can withdraw or exchange them for real-world currencies, such as U.S. dollars, at any time.

In addition, users can also increase their income by upgrading their initial NFT glasses. The way is as follows:

1. Use LEE tokens to purchase new NFT glasses directly from the app.

2. According to different levels, get corresponding points.

3. Assign points to NFT glasses modules, and users can also use Gems (special NFT) to upgrade modules. It is worth noting that distributing points increases user revenue.

4. Purchase additional NFT glasses for increased concentration and bonus time for watching feeds. 1 attention is equivalent to 5 minutes of reward feed viewing, which means more attention means more income.

Economic model

As mentioned above, Cheelee is a Web3 short video platform, which mainly uses the GameFi mechanism to help users earn income in the process of watching videos through the principle of attention economy.

The Cheelee economy is primarily based on two token types:

1. CHEEL: Governance token, with a total issuance of 1,000,000,000 pieces. Through this governance token, the community can vote on important issues of platform development according to DAO principles to achieve effective governance.

Early project parties and participants, such as investment funds and teams, have CHEEL locked for 24 months. This essentially avoids any free-floating tokens being available during active project growth and formation. At the same time, this also means that CHEEL can avoid panic selling and pressure from funds and investors.

Currently, the price of CHEEL in the encrypted market is $12.89. As of the publication, the trading volume in the past 24 hours is $5,942,675.

3. LEE — a utility token with a maximum supply of 7,000,000,000 pieces. How easy it is to obtain is algorithmically dependent on the number of tokens minted: the more minted, the harder it is to obtain new LEE tokens.

All in-app transactions are carried out with this limited-issue internal token LEE, which will be automatically accumulated in the in-app wallet when users watch videos during the reward time.

In addition, Cheelee has other token economic mechanisms to ensure the smooth and long-term operation of the project.

1. Repurchase

Mainly to stimulate demand and reduce circulation supply. Cheelee's tokens mainly use the token exchange rate to support the fund's fund repurchase, and the fund mainly gets 100% of the profits from the sales of NFT glasses, transaction fees and 70% of social network advertising revenue.

2. Secure supply

Make sure supply meets demand. It is formed based on liquidity distribution, and through further circulation, tokens can be reused.

3 destroyed

Burn some repurchased CHEEL and LEE tokens to reduce circulating supply and adjust prices.

route map

Although Cheelee was founded in 2019, to create a professional Web3 short video platform, it still needs the power of Web2 mobile application NUTSon. NUTSon is a short video platform launched as early as 2021. At that time, it had 1.5 million users, a 33% participation rate and 15,000 original videos per day.

From its establishment to the present, Cheelee has been recognized by investment institutions and users, and has been advancing step by step according to the established roadmap.

2021: Mainly promote the cooperation with NUTSon.

Q1: Complete video access and user file configuration.

Q2: Promote the cooperation process and further deepen the connection.

Q3: Implement a new short video mechanism.

Q4: Optimize the page and deepen the technical capabilities of the analysis layer.

2022: Continuous optimization.

Q1: Continuously expand the video editor function and improve the video quality in the product.

Q2: Improve the video library and activity page.

Q3: Create application internationalization and design in-app advertisements.

Q4: Smart contract deployment, NFT glasses and GameFi mechanism.

2023: Facing the market.

Q1: Application release and token listing, Web Marketplace release.

Q2: Provide NFT paths for fiat currency purchases (P2P and direct).

Q3: Enrich the functions of donation, live broadcast, box, and advertising cabinet.

Q4: Develop NFT avatars and Metaverse.

Conclusion

In the digital age, people's information acquisition and entertainment methods are more and more inclined to online videos, and they spend their attention and time on this new media form. But in the current Web2 network, it is difficult for users to get extra benefits from it. The emergence of Cheele broke this conventional form and created a new way of obtaining income for more people.

Fundamentally speaking, Cheele's operating mechanism belongs to the "x to earn" mode, which is similar to the STEPN type that was popular before. But the difference is that the former is obviously more in line with the way of life and behavior of most people in terms of earning income. Therefore, if the Web3 short video platform Cheele can continue to evolve, it may not be impossible to become the next STEPN in the future.