Posted 7 months ago | by Catoshi Nakamoto
The world of digital advertising is about to change forever. Since the dawn of time, people selling goods have been creating new ways to attract customers to buy their products from them instead of their competitors. This ultimately lead to teams of people putting their heads together at advertisement agencies to develop new slogans and technologies to maximize user engagement to various products and services. Merging this world with fintech and blockchain technology is revolutionary. Consequently, the advertising industry is on the verge of being rebuilt from the inside out. Those in the legacy system are about to be MAD MEN, because ideas this good would make Don Draper take a 4 hour lunch just to wrap his head around it.Read More
Lets get it!
Welcome to BitBoy Crypto. Home of the Bitsquad, the largest crypto community in all of the interwebs. My name is Ben. Every day on this channel I show YOU how to MAKE MONEY in Crypto. If you like money and crypto then make sure to hit that subscribe button. In this sponsored video, we will discuss Alkimi, the worlds first decentralized advertising exchange that’s bringing Defi to marketing.
In 1994, we saw the first digital ad on the Internet. Almost 30 years later, it’s a multi-billion dollar industry. Last year, digital advertising spending eclipsed offline channels. In 2021, the global advertising market is a 576 Billion dollar industry. 58% of this total ad spending is now in digital advertising, which means the value of the digital advertising market is worth an astounding 340 billion dollars.
90% of display ads sold by digital marketers are processed through a series of intermediaries before reaching the publisher; this is known as programmatic advertising. This legacy system is inefficient due to its complexity. 49 cents of every advertisers dollar is spent through these intermediaries before it even reaches the publisher and one third of these supply chain costs are completely untraceable. In an article from ADWEEK, Marc Pritchard, P&G Brand Officer states, “We have a media supply chain that is murky at best and fraudulent at worse. We need to clean it up and invest the time and money we save into better advertising.” It’s obvious that this “ad tech tax” makes it extremely difficult for digital marketers to engage with their desired demographic, let alone get what they pay for. Donald Draper once said, “I won’t settle for 50% of anything, I want 100%”. This is exactly what the team at Alkimi is going to do.
Just like DeFi removes the intermediaries between users and their money, Alkimi is a decentralized replacement to the programmatic legacy system with the mission to restore the value exchange between advertisers, publishers and users. The Hypergraph powers Alkimi; it’s an “asynchronous, infinitely scalable and consequently built to handle large sums of data”. This revolutionary blockchain technology, created by Constellation, is even trusted by the U.S. Department of Defense. The Hypergraph records every transaction insuring total transparency, zero fraud and significantly lower user fees. That 49-cent ad tax will be reduced to 1.5 cents, which would make 98.5 cents of each dollar go to the publishers compared to 51 cents.
Alkimi was meticulously engineered to give publishers incentive to improve the experience of the users. This will create an environment where engagement with advertising significantly increases. By holding and staking Alkimi’s native token ADS, users will be rewarded for participation in a system where advertising treats you as a person, not a product. “Using the principle of Generative Economics, the Alkimi Exchange will reward users, publishers and advertisers for rebuilding the intended value exchange of the Open Web. Fewer Ads, better user experience, increased engagement.” Using Constellation’s Hypergraph gives Alkimi the backend to build and define a state channel, which transforms what we know about smart contracts. These state channels allow Alkimi to create custom consensus mechanisms that function on custom data. This enables projects like Alkimi to decentralize their ad exchange operations while bringing more transparency, auditability, fast transaction times and unlimited bandwidth to advertising.
The Digital Advertising Duopoly from Google and Facebook suffocates the legacy system. They dominate the digital ad market and together they take up 53.3% of all the digital ad revenue. Publishers are at the behest of Facebook and Google, and these big tech corporations aren’t playing by the rules either. For years Google has been running a secret project known as “Project Bernanke” that uses large amounts of data to give its own ad-buying system a significant advantage over competitors. An article from the Wall Street journal from April of this year states, “Texas is leading an antitrust lawsuit against Google that accuses the search company of running a digital-ad monopoly”. How fair is it that they act as a buyer and a seller at the same time, buying ads from themselves, just to sell them for themselves? “Google acknowledged the existence of Project Bernake in its response and said in the filing that, “the details of Project Bernake’s operations are not disclosed to publishers”. (WSJ) The same publishers that only receive 51 cents from every dollar spend on digital advertising. The Wall Street Journal article also sheds light on a secret deal between Facebook and Google called “Jedi Blue”. This allegedly guarantees, “Facebook would both bid in- and win- a fixed percentage of ad auctions.” This type of blatant corruption is what Alkimi is going to put an end to.
Andrea Coscelli, CEO of UK Competition & Markets Authority stated, “We are already actively scanning the players and the complaints we have received. We certainly expect to open more cases during the course of this year.”
Bad advertising broke the Internet. This is why you see these annoying, repetitive ads trying to slowly recover all the money they lost from the series of legacy intermediaries. The goal of Alkimi is to fix this problem, in fact, they’re already well on their way. Not only are they saving digital markers 47 cents on the dollar for each dollar spent, they’re also addressing a 66 billion dollar problem in the global digital advertising space. A tweet from Alkimi points out that “The lack of transparency in the ad tech ecosystem has allowed bad actors to prevail; global ad fraud costs $66 billon dollars last year” That constitutes 20% of global digital advertising spending. “Alkimi Exchange’s consensus will identify and restrict fraudulent actors from entering the exchange”. This gives customers a real- time fraud prevention tool.
The Evolution of Alkimi Exchange will allow them to compete in increasingly larger markets. Alkimi currently captures a 1% share of the top six centralized exchanges. It’s possible for them to obtain even more of this market once marketers and publishers realize that this technology is going to maximize every dollar spent and also significantly increase user engagement.
The genius of Alkimi is that they take the traditional model of ad monetization and flip it upside down, this is a benefit to everyone. Publishers can Monetize Bandwidth with ads; rather than monetize ads with bandwidth. Users of the Alkimi Exchange will require the $ADS token for both access to the exchange and to facilitate their throughput/ bandwidth. In order to access the Alkimi Exchange, entities wanting to transact will be required to hold or lease the $ADS token. To facilitate bandwidth of the network, users can either stake their own ADS tokens or lease tokens from the Bandwidth liquidity pool. The incentive for the community is that token holders will initially receive 25% APR distributed on a quarterly basis to $ADS stakers. The L_Zero ADS token will be traded on the Lattice exchange allowing L_Zero swaps for other assets listed.
On August 26th Alkimi went live and Alikimi started trading on Uniswap for 61 cents. After a retracement its now trading for 34 cents per coin. You can swap your wrapped ETH tokens to purchase $ADS on Uniswap. The tokenomics of Alkimi are strong and worth taking a look at. With a market cap sitting at 5 million, it’s a low cap gem for sure. Alkimi CEO Ben Putley did an AMA with the Bitsquad and broke down what makes Alkimi special, “If you’ve ever been annoyed by an ad on your favorite website, By holding and staking an $ADS token, you are helping support an ecosystem with fewer, better ideas and being rewarded for seeing them.” ADS holders are rewarded for using the Internet. Instantly participating in the value exchange of the Internet leads to fewer ads, better user experience and increased engagement. It’s only a matter of time for this first of its kind technology makes a serious impact in the crypto and digital advertisement space. In time, this will put an end to the corrupt monopoly being run by the big tech elites. This technology saves time and money, increases speed, transparency and engagement, decreases fraud and wasted ad revenue as well as undercutting the dirty deeds of Big Tech. I love Win, Win, Win situations for the entire community, and Alkimi has positioned itself to be just that. you heard it from us first.
But that’s all I got, be blessed, BitBoy OUT!