The crypto market is not just about meme tokens; there has always been continuous exploration of applying features like economic incentives and data control in meaningful ways. One area that has garnered significant attention is DeSci (decentralized science), which leverages the transparency and incentives of blockchain to enable data owners to contribute, track, and receive proper compensation for their data. Recently, a new project called AminoChain announced on its official Twitter that it secured $5 million in seed funding led by a16z. With additional investments from private funds such as Cercano, the project has raised a total of $7.8 million to date.

AminoChain is a genuine player in the DeSci space, utilizing blockchain’s traceability and transparency for the collection, contribution, usage, and compensation of biological specimens in the medical and research fields.

Notably, this is the first time top VC a16z has invested in a project within the DeSci sector. Amid a market rhythm where VC tokens do not exchange hands and memes dominate, if crypto can genuinely contribute to traditional industries and VCs can seriously invest in projects that benefit other sectors, it would represent a refreshing and positive change.

Build a dedicated biobank on L2

According to public information, AminoChain is building a decentralized “biobank” on L2. A biobank can be understood as an on-chain platform that connects patients and volunteers who can upload their biological samples for use and research by medical and scientific institutions. On the other end, it connects medical institutions, allowing them to securely share and process medical data within the biobank network.

With the design characteristics of public chains, researchers can easily find and access samples, while patients retain control and receive compensation for the use of their data. However, it is still unclear whether AminoChain is creating its own decentralized biobank on an existing L2 or building a separate L2 specifically for handling transactions related to medical data and biological specimens. Based on the project name, the latter seems more likely.

Setting aside the specifics of the technical choices, what is the motivation behind establishing a decentralized biobank? As the founder of AminoChain stated in a blog post:

“Every year, thousands of people provide their blood, saliva, and cancer tissue samples to the medical community, helping researchers develop life-saving new drugs for the benefit of humanity… Unfortunately, the data collected from these highly sensitive personal samples and data is currently one-way. Biobank donors are asked whether their samples can be used for scientific research; they sign a consent form, the researchers collect the biological samples, and then the two parties part ways, with no further connection. The sample donation process is a black box for donors, and the consent rate at major institutions is as low as 25%.”

Therefore, in the field of biological sample contribution, which we may not fully understand, there are at least two issues:

1. Centralized control and storage of sample data pose significant obstacles to scientific progress and improving patient outcomes.
2. There is no effective way to track the source of samples and manage user consent.

More bluntly, even if patients or volunteers contribute their biological samples, they may not receive appropriate compensation and may not even know the extent of their contribution.

Thus, AminoChain represents a technology that connects corporate medical institutions, on which healthcare applications can be built, providing transparency to patients and allowing them to ultimately understand where their contributions to society go.

Install a node in the database of traditional institutions

How does AminoChain work? The key lies in AminoNode, a software package developed by the project. Traditional medical or research institutions may not be well-versed in crypto and blockchain, and their information systems are often highly customized and closed.

Amino’s approach is to install its own software package, AminoNode, within the existing systems of these institutions while keeping them unchanged. Although the name suggests it functions as a node in the Amino network, it differs from what we typically understand as a node that verifies transaction accuracy. Instead, it acts more like a data collector embedded within traditional systems, standardizing data processing.

AminoNode can integrate with the hospital or research institution’s own EMR, inventory management software, and data collection software. The data is stored on the specific institution’s servers, while the node software standardizes and formats the data into a common format, enabling interoperability with partner networks.

Thus, the Node software can gather data from all providers and bring trustworthy neutrality to the network. Based on this foundation, developers can access data from numerous medical institutions and build various patient-centered applications. Currently, the first application developed by AminoChain is called “Sample Center,” a peer-to-peer biobank marketplace.

In this marketplace, researchers and collaborators can query their collections of biological samples and also check the research assets available for their use. Users can simplify licensing agreements between institutions, track the usage of samples and data, and maintain the complete provenance of biological samples within an interoperable biobank network.

Thanks to the transparency and traceability of the marketplace, the efficiency of using and communicating about biological samples has significantly improved. Traditionally, researchers would spend an average of eight weeks exchanging emails to find the required samples, sign licensing agreements, and arrange for sample delivery. Now, this process can potentially be completed with just a click.

Additionally, patients/sample donors can track the whereabouts of their samples within the network, learn from the information generated by the samples, and earn money when their samples are commercialized or sold. For example, in the demo shown below, data from patients’ blood and sweat contributions at different times can be viewed in a single dashboard, while the usage and flow of samples are traceable on the blockchain (L2).

More than biological samples

The use case of this sample marketplace actually demonstrates patients’ control over the data they contribute and the potential benefits they can receive. However, it’s clear that there are more scenarios where this can be applied.

Medical institutions within the AminoChain network will be able to benefit from various distributed applications, including clinical recruitment, clinical trial management, decentralized artificial intelligence, and federated learning.

Ultimately, the project envisions creating the world’s first HIPAA- and GDPR-compliant blockchain for the healthcare industry, allowing any company, network, nonprofit organization, or independent scientist to access and build standardized healthcare data on this platform.

Due to the sensitivity and privacy of medical data, the on-chain storage and tagging of this data necessarily incorporate privacy protection technologies such as zero-knowledge proofs. This allows for the declaration of data ownership while granting different usage rights to the data and enabling earnings based on usage rules.

If we must say, the narrative of DeSci aligns with the spirit of the crypto community and degens, emphasizing the maximization of individual rights—patients are no longer the weakest link in the entire profit chain, allowing them to be the first to benefit from participating in scientific research.

At the same time, we are seeing a surge in projects related to RWA (real-world assets), clean energy, and DeSci. As the integration with more traditional industries becomes a trend, the definition of crypto as merely a casino may gradually change.

statement:

1. This article is reproduced from [tech flow], the original title is “Interpretation of AminoChain: a16z is involved in DeSci’s first investment of US$5 million, and patients contribute biological samples to obtain income”, the copyright belongs to the original author [TechFlow], if you have any objection to the reprint, please contact Gate Learn Team, the team will handle it as soon as possible according to relevant procedures.

2. Disclaimer: The views and opinions expressed in this article represent only the author’s personal views and do not constitute any investment advice.

3. Other language versions of the article are translated by the Gate Learn team, not mentioned in Gate.io, the translated article may not be reproduced, distributed or plagiarized.