Why Meson Network Is Building A Nasdaq-like Bandwidth Marketplace

Sherlock Shi, co-founder and CEO of Meson Network, a decentralised content delivery network has said that the company’s long term strategy which is to establish a bandwidth marketplace is an approach that will position the firm for sustained growth and success.

Shi told Permaweb News that Meson is delving into the bandwidth market place following a realisation that its pricing lacks competitiveness compared to companies with physical infrastructure ownership.

Therefore, our long-term strategy involves becoming the market itself, providing a platform for people to trade freely while charging fees for each matching process, he said.

Meson said in an announcement mid-July that Meson Exchange would do for bandwidth infrastructure what Nasdaq does for securities. It added that like its decentralised content delivery network service, Meson Exchange was part of Vector Plan which is in alignment with Meson’s objective to be a market governed by protocol through its contributors and participants instead of one that is closed and driven by manual contract.

It said a protocol-driven market could enhance efficiency in bandwidth’s multi-edge market structure which is prone to profit conflicts among its participants. In the Meson Exchange, resources can be exchanged not only through the spot market but also through the future market, allowing people to trade and bet on future resources as they would for the much more mature commodities market.

Our timeline includes the launch of the spot market in Q4 2023, followed by the commodity-futures market within the next two years. Everyone can join the market, enabling a diverse and inclusive trading environment, Shi told Permaweb News the timeline for Meson Exchange.

Beyond creating a protocol-led market, Meson Exchange will be accessible to everyone globally without restrictions. The co-founder also revealed that the bandwidth exchange pricing will be in two phases: the early stage will adopt a fixed pricing model where demands can directly purchase the service at a predetermined price; the next phase will involve transition to an open market approach which will allow participants to engage in bid and asking price.

This dynamic pricing system aims to balance the interests of both buyers and sellers while ensuring the sustainability and efficiency of the exchange, the Co-founder said about the open market phase.

Meson is confident that its bandwidth marketplace idea will thrive when it launches. Shi said that the idea has been run in testnet and feedback has been ‘overwhelmingly positive’.

These results further reinforce the viability and potential success of this exchange, he said.