Page 22 - AeM_February_2021

TECHNOLOGIES & PRODUCTS

Blockchain and

cryptocurrencies

will play an

important role in the

advertising world

What would you say if you could have 100 percent Utility tokens for advertisements and tracking of your
ownership over your data and you can decide who data could be transferred to marketing. You will be
you give access to? How about if you would be compensated for the advertisements with utility tokens.
compensated for others accessing your data for You decide whether you want to make your data
their advertisements? Is this ideal world even available for advertising purposes, but you will also be
realistic from a user's point of view? compensated for this with micro amounts of the
corresponding cryptocurrency. The term currency does
Yes, but in such a new advertising world, blockchain not have the same meaning as a national currency, but
and cryptocurrencies would have to play an important rather could be compared with a value system.
role. You probably immediately think of Bitcoin and
cryptocurrency dollars, Euros, or Swiss francs, right? In such a system, the advertiser gets the better data
But cryptocurrencies are more a system of values than and knows more precisely which socio-demographic
a local currency, generally divided into three profiles viewed his advertising when and where. Of
categories: course, no data is passed on here either, only
anonymized profile data is made available for targeting
1. Payment token: Bitcoin, for example, is a pure purposes. The difference to today is that the user alone
payment token that can only be used for payments. decides what to do with his/her data and is
compensated for it.
2. Security tokens: Tokens are issued instead of
bonds. The number of tokens purchased are shares Transferred to social media, this means that you will be
in a company, property, or other asset. Thanks to compensated for your posts based on their reach and
an asset token, these values can be tokenized. interaction. If you want to keep your data secret, you
Security tokens are also used when shares in can, but compensate the network with your monthly
companies or other values are acquired. contribution in the form of the same utility token. You
can choose to provide your data for a fee or to pay for
3. Utility tokens: Here, tokens fulfill a specific its use. Wouldn’t this be fair? You can use the collected
purpose and have functions that go beyond
payment transactions. This type of token will play tokens to purchase products in the same way as you
would with a loyalty program. You can get goods from
an important role in future marketing.
advertisers for whom you have allowed advertising to
Utility tokens enable smart contracts and M2M appear at a reduced price or free of charge. Don’t you
processes, which can be very helpful in e-commerce. If think this closes the cycle amazingly? The Brave
you must buy an item and pay at the same time but are browser or the social media platform Steem already
not sure whether you will get the goods, the blockchain follow this approach, but whether they can achieve the
could provide more security here. The retailer would relevance of the established platforms depends on
then not receive the amount for the purchase but various factors. It is more likely that a completely new
initially the amount would only be reserved and blocked provider will cause a sensation and experience
on the blockchain. Only after the parcel has been exponential growth. If you have the coolness of a
delivered to you and upon your confirmation would the Tiktok, then a new, completely unknown provider could
amount be released to the retailer. well cause disruption in the advertising market. ◊

By Daniela La Marca

22 February 2021: Conversational & Event-Triggered Marketing