Photo Credit To Pavlos Giorkas Via Flickr
In the online world, one of the biggest revenue sources is advertising. However, this industry has not changed much since the internet was created. This was the reason the Basic Attention Token was created. It wants to shake things up in the online world for content creators and viewers.
The Digital Advertising Age
In the past, advertising involved billboards, radio, television, and even street proclamations. However, the game is changing. It might look like digital advertising is easy but it is quite complex. Platforms such as Google and Facebook dominate this space. For instance, Facebook has nearly 2 billion users, which is about 30% of the global population. Digital advertising is so lucrative that in 2017, it collected more revenue from advertising than TV. In 2016, Google collected $69 billion in ad revenue while Facebook managed $27 billion.
Lack of User Incentives
In the current system, there is the user, publisher, and advertiser. With this setup, there is no incentive for users to view ads. In most instances, users will install ad blockers or skip ads whenever possible.
The Platforms are Dishonest
Besides the publishers, users, and advertiser, there is the platform. To ensure that users get the right content, these platforms collect private user data and hand it over to behavioral researchers. With the research, they target users with refined data and ads according to the need of users. Combined with machine learning and AI, they show users exactly what they want to see. As a result, when you search for something on one platform, you may be hit with a barrage of ads on the same on another platform.
This system raises serious moral and ethical consideration. Companies are violating the privacy of users. The issue has been a point of discussion by pundits and lawmakers for a while. However, a solution has not been forthcoming. One such example is Facebook, which was fined by US regulators for selling private data to Cambridge Analytica. The company influenced elections globally and major events such as Brexit.
The Current System is Broken
The existing system has no incentives for users to watch ads. This is why blockchain technology will play such a crucial role in the digital advertising age. It provides transparency, ensures users privacy, and ensures honesty by eliminating middlemen in the space. One project seeking to do that is the Basic Attention Token.
BAT is an advertising token that is based on the Ethereum blockchain. BAT wants to create a decentralized marketplace that connects users, advertisers, and publishers. It monetizes the attention of users and cuts costs associated with ad networks.
This is what BAT achieves:
- It cuts out the middlemen
- Rewards publishers, users, and advertisers
- Pays users for watching ads
- Gives publishers a portion of the ad revenue
- Gives advertisers ROI for their content
BAT’s in-house team is comprised of professionals and experts in the advertising world. It is not a matter of whether they will upset digital advertising. It is just a matter of when it will happen. BAT is the next step in the evolution of digital advertising.