The Asia Paradox: How Web3 is Redefining Innovation in the Region

Building a Meritocratic Network: Elroy Cheo on ARC’s Vision for Web3

Elroy Cheo, co-founder of influential Web3 collective ARC, is on a mission to redefine the dynamics of digital communities. With his background in property development and music, Cheo has created a hub for collaboration for the global Asian diaspora, enabling members to access exclusive events, merchandise, and valuable resources.

The Power of Community

Cheo’s vision is rooted in the concept of alignment and collective action. He emphasizes that community isn’t just about numbers or floor prices; it’s about relationships. Members value four things: professional networks, opportunities to make money, lifestyle experiences, and growth. Cheo promotes a “give value to receive value” ethos, drawing from Chinese culture‘s concept of guanxi, which emphasizes mutual support.

Asian Web3 Communities: A Unique Perspective

Cheo notes that Asian communities are distinct from their Western counterparts. While Western communities dominate crypto Twitter, Asian platforms like WeChat and Telegram groups are more prevalent. Despite this, Asian liquidity is massive, with a small Chinese community driving $1 billion in DeFi protocol TVL in a day.

NFTs: Evolving Utility and Identity

Cheo is excited about the shift toward pseudonymity, which empowers individuals to create digital identities with real-world impact. He sees NFTs as status symbols, representing expertise or achievements like badges on Stack Overflow. Cheo believes that NFTs can be used to build communities, creating a brand, culture, and strong community.

Scaling Exclusivity and Status-Driven Models

Cheo addresses the challenge of scaling exclusivity in ARC’s membership model, which is capped at 888. He emphasizes maintaining brand prestige through proper community management, leveraging frameworks like Reddit‘s moderation tools. Cheo also highlights the importance of contributor systems, incentivizing active participation.

Debunking NFT Misconceptions

Cheo notes that many Asian IPs and brands still view NFTs as purely revenue streams. Instead, he believes NFTs can be used to foster community-driven growth, creating advocates rather than just customers. Cheo envisions a future where NFTs are used in innovative ways, like transitioning customers into members.

Exciting Developments in Asia

Cheo is thrilled about the talent and innovation in Asia, particularly in DeFi and NFTs. He sees Southeast Asia leading the charge, with AI being another exciting frontier. Cheo believes that with the right infrastructure, Asia will cement its position as a leader in Web3.

Advice for Builders

Cheo’s advice to builders is to build with passion, staying hungry and curious. He emphasizes rapid execution with clear goals, treating projects as social experiments. Cheo encourages builders to stay focused on their purpose, even when narratives in crypto change quickly.

Sharing ARC’s Vision

Finally, Cheo is excited to share his vision for using NFTs to build communities on-stage in Hong Kong. He believes that NFTs can create a brand, culture, and strong community, coordinating members toward a shared goal.