P3D is a controversial dapp (decentralised app) based on the Ethereum network.

At its worst, it’s a transparent ponzi scheme that can never end. At its best, it’s an experiment in Universal Basic Income on the blockchain.

But in reality, the P3D token is a share in a much larger dapp ecosystem, paying its investors more as each app on its network is used.

What is P3D?

Launched in February 2018 by Team Just, Proof of Weak Hands 3D is a tongue-in-cheek token exchange that supposedly works in 3 dimensions: the price of ETH, the price of the P3D token, and the dividends it pays.

Everything is managed by the smart contract, which cannot be changed, closed, or tampered with. P3D tokens are created when they are bought, and burned when they are sold. The price in ETH is set by the contract based on the number of tokens in existence. Every transaction of the P3D token is taxed 10%: buying, selling, and transferring; which is then paid out, proportionally, as ETH in dividends to its token holders.

On its own, it’s a simple enough idea. Investors can buy low, sell high like any token (thus driving volume and increasing dividend payouts), or hold on to the token and simply — as the developers so quaintly put it — ‘mine weak hands’ for dividends. The contract quickly became one of the most popular on the Ethereum blockchain, sparking numerous clone projects by less talented developers with questionable morals, and reaching a balance of 20,000 ETH in a couple of months before returning to settle at around 4,000. Those who sold at or near the peak made out with a hefty profit, as did those who held strong.

But one project wasn’t enough for Team Just, and along came Fomo3D.

Equally satirical, but just as great an investment opportunity, Fomo3D is a simple jackpot game: the timer starts at 24 hours, and counts down until a key is bought. Each key bought adds 30 seconds to the timer (up to a maximum of 24 hours). Key holders then earn a percentage of all transaction volume, based on the amount of keys they own. This provides an incentive for people to put a lot of ETH into the contract early, thus increasing the amount in the pot and giving more of an incentive to people to try for the final key.

Not to mention, this dapp compliments P3D greatly, also paying 10% of its transaction volume as dividends to P3D holders.

It was a huge success; the prize pool reached over 20,000 ETH, P3D’s contract balance soared to over 80,000, and a whole new wave of clone contracts popped up to ride its coattails. (Round 1 of Fomo3D recently ended, paying 10,469 ETH to a single winner, read more here.)

However, the less successful launch of Fomo3D Quick, a 5 minute take on the same idea, saw many ill-informed participants lose a lot of money, and sparked a popping of the second ‘hype bubble’. The P3D contract dropped from its high down to 36,000 ETH, where is currently sits.