Livepeer

The Livepeer project is designed to provide a decentralized, scalable live video streaming network protocol. It uses crypto token incentives and aims to serve as the live media layer in the web3 development stack. Moreover, Livepeer offers an economically efficient alternative to centralized broadcasting solutions.

The Livepeer Protocol is a delegated stake-based protocol that incentivizes participants in a live video broadcast network securely. It also presents solutions for scalable verification of decentralized work and prevention of useless work.

Livepeer Token (LPT)

The Livepeer Token (LPT) serves as the protocol token of the Livepeer network. However, it isn't used as a medium of exchange token. Instead, broadcasters use Ethereum's Ether (ETH) to broadcast video on the network. Nodes contributing processing and bandwidth earn ETH from broadcasters' fees.

LPT is essentially a staking token used by participants who want to perform work on the network. Its primary purposes include:

Serving as a bonding mechanism in a delegated proof of stake system where stake is delegated towards transcoders involved in video transcoding and work validation.

Distributing work through the network proportionally to the amount of staked and delegated token, acting as a coordination mechanism.

Serving as a unit of account specific to the Livepeer ecosystem, forming part of SectorCoin concept applicable to additional functionality introduced in future such as DVR, closed captioning, ad insertion/monetization, and analytics.

An initial allocation of LPT will be distributed for stakeholders to fulfill various roles within the network. Additional tokens will then be issued over time, following an algorithmically programmed issuance.

Conforming to Ethereum and many popular ERC20 tokens, LPT will be divisible by 10 ^ 18. Larger denominations like the LPT itself are intended for user-level transactions such as staking, while smaller denominations are meant for protocol accounting.

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