Can the Line ecosystem become a new engine in the Web3 field?

Asian popular messaging software Line recently announced a mainnet merger with the Korean public chain Klaytn. This strategic move signifies that Line will actively expand its territory in the Web3 field. Looking back at the rise of the Telegram ecosystem, it successfully attracted a large number of Web3 projects and users with its strong user base and mini-program platform, becoming an important bridge for the transition from Web2 to Web3. Now, Line also possesses similar development conditions and is expected to foster new Web3 phenomenon-level projects in the Asian market, injecting new vitality into this field.

The merger between Line and Klaytn will bring technological innovations and changes in governance structures, issuing a new unified token and building an integrated network across Ethereum and Cosmos. This collaboration not only accelerates the development of Web3 technology but also indicates deep cooperation among Asian tech giants in the blockchain field, bringing more innovations and opportunities to the entire industry. Therefore, Line has the potential to become a new engine driving the development of Web3, continuing the success story of the Telegram ecosystem.

Review of the Telegram Ecosystem

The rapid development of the Telegram ecosystem has not only attracted widespread attention in the Web3 field but has also injected new vitality into the entire industry with its unique advantages and innovative models. Several projects have been listed on mainstream trading platforms and their market values have rapidly risen, which not only validates the commercial potential of the Telegram ecosystem but also attracts a large number of new users into the Web3 world.

The Telegram ecosystem has achieved such remarkable results primarily due to its vast user base and efficient dissemination mechanisms. As a communication giant with 900 million users, its launch of mini-programs and bot development features has provided users with a brand new service experience. These mini-programs can not only completely replace most websites, support seamless authorization and integrated payments, but also greatly enrich the ways users interact through customized features such as automatic news sending, information services, and the trending mini-games.

In addition, Telegram has developed the TON blockchain, supporting convenient blockchain transactions and further lowering the entry barrier for users into Web3. This "traffic + payment" model, similar to WeChat, has allowed Telegram to grow rapidly in the Web3 field, becoming a bridge connecting Web2 and Web3.

Several projects within the Telegram ecosystem stand out prominently during this process. For example, some gaming projects quickly attracted a large number of users through their simple operation methods and viral mechanisms, successfully guiding them to engage in on-chain interactions, thus achieving the transformation from Web2 users to Web3 users. These projects not only succeeded within the Telegram ecosystem but also saw their market value soar rapidly after going public, demonstrating their strong market appeal and commercial value.

Some projects enhance players' understanding and recognition of virtual currencies through their unique game backgrounds and management elements, while effectively driving traffic to their video channels by combining a task system with video-watching tasks, further expanding the influence of the Telegram ecosystem.

The success of these projects not only brings a lot of fresh blood to the Telegram ecosystem but also provides new ideas and models for the development of the Web3 field. They prove that through gamification and socialization, it is possible to effectively attract and convert Web2 users, while also demonstrating the application potential of blockchain technology in non-financial areas such as gaming and social networking.

As the Telegram ecosystem continues to mature and improve, more application scenarios and business models will be explored and realized in the future. From the current development trend, the Telegram ecosystem will not only continue to deepen in the fields of gaming and social interaction but may also further expand into finance, education, business, and other areas, ultimately forming a diversified and open Web3 ecosystem. With the addition of more innovative projects and the participation of more users, the Telegram ecosystem is expected to become an important force in driving the development of the Web3 industry.

Introduction to Line

Line is not only a popular messaging app in Asia, but it is also the most popular messaging application in Japan, with 95 million monthly active users as of 2024, covering over 68% of the total population of Japan. The main features of this app provide messaging and calling services, while it also has many other unique functions, such as stickers. Popular anime, celebrities, and creators even sell their own paid stickers within the app. Businesses can set up official accounts on Line, and some companies even sell their own stickers to support marketing activities.

LINE also has a status update feature, including a function similar to social media stories and a seamless sharing button. In addition, the app has a cashless payment function called "LINE Pay," which allows users to transfer money between each other and make payments in stores.

The number of monthly active users of Line has significantly increased from 58 million in 2015 to 95 million in 2024. Among active users, the proportion of male and female users reachable through advertising is 52.5% and 47.5%, respectively. The age distribution ranges from 8.3% for those aged 15 to 19 to 31.4% for those aged 50 and above, which is quite representative of the Japanese population.

In Japan, Line is not just a tool for young people. It is widely used by people of all ages and has become an important communication mechanism for connecting friends, family, and colleagues.

A unique feature of Line is that there are over 3 million Line accounts owned by companies in Japan. If you want to set up a business account on the app, you need to fill out a registration form and submit an application. Once approved, you can start using it. As the number of business accounts continues to grow in Japan, it offers an alternative to other marketing tools like email communication, providing many advantages to businesses. It is free to use, and companies can send sales coupons to customers through the app, and even conduct surveys. Compared to email, it has a higher average open rate and click-through rate. This is why Line is used by businesses of all sizes.

In 2020, the Japanese Ministry of Health, Labour and Welfare reached an agreement with Line to conduct a nationwide survey on COVID-19. The agency's official account regularly sends health survey questionnaires to all Line users.

Today, Line has become one of the most useful brand tools in Japan. For businesses looking to enter the Japanese market, creating an official Line account is a choice worth considering.

Current Status of Line Mini App

The Line Mini App, as an innovative service on the Line platform, has become an important tool for enterprises in digital transformation, particularly popular in Japan and Taiwan. It allows businesses to directly publish web services on the Line platform, enabling users to enjoy a convenient service experience without the need to download additional applications. Thanks to Line's large user base, businesses can reach a vast potential customer group, and by integrating Line Pay, users can complete payments directly within the app, significantly enhancing shopping convenience.

With the impact of the pandemic, consumers are increasingly turning to planned purchases, which requires businesses to adapt to this change through digital means. The Line Mini App has therefore become a key tool for connecting online and offline, as it not only supports common functions such as online ordering, reservations, and queue management, but also helps businesses enhance service visibility and user engagement. In Taiwan, the development of the Line Mini App has not yet been fully opened, but certified partners can apply in advance, and the app must pass an audit before it can be released after development is completed.

Currently, Line Mini App has been widely used in industries such as catering, education, healthcare, beauty, and retail. It helps businesses stand out in a competitive market by providing a convenient user experience and strong backend support. With the continuous development of technology and further market opening, it is expected that Line Mini App will play a greater role in the future, especially in promoting the integration of online and offline.

In addition, as the market's acceptance of Line Mini Apps continues to grow, their number is increasing rapidly. Some companies have launched no-code development platforms, further lowering the technical barriers, allowing more small and medium-sized enterprises to easily create and manage their own Line Mini Apps. It is expected that in the future, Line Mini Apps will play a greater role in e-commerce and online services, and may even drive Line to become a super app, providing users with comprehensive life services. This trend not only provides businesses with a brand new customer touchpoint but also brings consumers a richer and more convenient service experience.

Introduction to the Korean Public Chain Klaytn

Klaytn is a blockchain platform launched by Kakao's subsidiary, a South Korean internet giant, aiming to promote the widespread adoption of blockchain technology through its high performance, scalability, and reliability. Klaytn employs a proof-of-stake consensus mechanism, which not only speeds up transaction speeds and confirmation times but also maintains the efficient operation of the system.

One of the main features of Klaytn is its integration of the advantages of both public and private blockchains, providing an environment that is both efficient and secure. This unique combination enables Klaytn to support a large number of transactions and users while maintaining low processing times and costs, which is crucial for business applications that require handling high-frequency, large-scale transactions. Additionally, Klaytn supports smart contracts, allowing developers to build various decentralized applications on the platform to meet the needs of different industries and application scenarios.

Klaytn provides an easily accessible and user-friendly development environment, which allows even newcomers to blockchain technology to effortlessly build and deploy blockchain applications. Through a platform similar to web services, Klaytn simplifies the process of creating new blockchain environments, reducing the technical burden on developers. This design philosophy is particularly appealing to developers transitioning from centralized applications to decentralized applications, as it lowers the entry barrier and accelerates the realization of innovative applications.

Klaytn's native cryptocurrency is KLAY, which plays multiple roles in the system. As a payment method, KLAY is used in applications built on Klaytn, and it is also awarded to developers who contribute to the platform. Additionally, KLAY is a popular choice among cryptocurrency traders and investors, who profit by trading to take advantage of market price fluctuations.

An important milestone in the development of Klaytn is the merger with Finschia, which led to the birth of the new mainnet Kaia. Kaia combines the technological advantages of Klaytn and Finschia, aiming to create the largest Web3 ecosystem in Asia. The native token KAIA of the new mainnet Kaia not only symbolizes the combination of Klaytn and Finschia but also represents a commitment to partners and the community, aiming to bring together developers, enterprises, users, and traders in a unified ecosystem.

The launch of Kaia signifies the rise of a network centered around collaboration, innovation, and users, simplifying the user experience and promoting the adoption and application of blockchain technology globally. Kaia's vision is to make blockchain technology accessible and widespread for everyone, regardless of their background or experience. This vision is guided by its core values - community, sustainability, and simplicity - which serve as guiding stars for Kaia in nurturing partnerships, engaging deeply with the community, and driving blockchain adoption.

Kaia's network architecture is divided into three logical subnets:

• Core Unit Network (CCN): Composed of Core Units (CC) responsible for transaction validation, execution, and block creation.

• Endpoint Node Network (ENN): Composed of Endpoint Nodes (EN) that handle RPC API requests and process service chain data.

• Service Chain Network (SCN): An auxiliary blockchain independently operated by dApps, connected to the main chain through EN.

The merger of Line and Klaytn's public chains

Klaytn and Line's public blockchain Finschia have merged to create a new blockchain ecosystem - Kaia. This merger marks the deep cooperation of two major tech giants in Asia, Kakao and Line, in the blockchain field, aiming to promote the development and application of Web3 technology.

Background

Klaytn is developed by the South Korean internet giant.