Bitcoin, and Blockchain. Kumasz?

Speculative bubble or currency of the future? The most popular cryptocurrency of the world arouses extreme emotions of supporters and opponents. Bitcoin, however, is mistakenly identified with blockchain technology used M. in. In advertising and marketing.

For several years, Blockchain is a sensation in the world of new technologies and many experts believe that blockchain -based solutions can significantly affect not only the world of technology, but also on the functioning of financial institutions, countries and politics.

The first application of distributed databases technology called Blockchain was the introduction of Bicoin cryptocurrencies in 2009. Its value is based on computational, not on gold parity, state and international regulations. Today, the Bitcoin course has been high to over $ 4,000! Using an example taken from the internet (re -tagged), a rapid increase in Bitcoin’s value can be described:

Eight years ago, two pizzas cost 10,000 bitcoins, which meant less than $ 20. If the owner of a pizzeria, who was then paid with cryptocurrency, until now he would not spend this money, then he would have over $ 40 million in his account.

Bitcoin arouses huge emotions – For supporters, it is proof of fulfillment of hope for the development of the global financial system and the recovery of the global economy, opponents warn by a speculative bubble, financial pyramids and money laundering.

For clarity, in many cryptocurrency countries they are subject to different types of restrictions, including a ban on trade or use, but there are countries where Bicoin is an official currency (e.g. Japan).

Blockchain technology itself has many advantages and applications.

What blockchain is?

Blockchain (in Polish: block chain) is an open, distributed, digital register that allows you to save encrypted transactions between two pages in a possible verification and lasting way. The process itself can be programmed to automatically run and record transactions.

One of the main properties of blockchain technology is the inability to make any changes in historical records. Blockchain does not have a central server, it is decentralized, based on the Internet Typical Peer-to-Peer (P2P) solutions, so it is hardly susceptible to cyber attacks. The main disadvantages are a relatively long transaction time and low performance. Translating more vividly for laymen like me – Blockchain is like a huge spreadsheet operating in a distributed network.

Blockchain is not bitcoin. The first is technology, the second – digital currency based on blockchain technology, originally developed especially for the needs of this cryptocurrency, Other applications of technology were introduced much later. Bitcoin works anonymously, but in the case of other applications of blockchain technology there is no requirement for anonymity, especially when we care about the credibility of real data (e.g. in the case of automated purchase of ads).

Hundreds of blockchains have been created since Bitcoin in 2009, including Ethereum – enabling the conclusion of smart contracts and currently considered the fastest technology of the relatively new Dascoin cryptocurrency market.

Records of contracts, contracts and transactions regulating various relations between various entities (nations, organizations, communities and people), it does not keep up with the digital transformation of the economy. In the digital world, the way we establish and exercise control in many areas must change. And here is the place for blockchain.

According to Gartner’s report from July 2016, blockchain technology is almost at the peak of interest and expectations from users and within 5-10 years it should spread massively.

What the banks say

How different the official positions of the most important representatives of the largest banks regarding Bitcoin are visible in the video above. Unofficially, however, there is talk of the involvement of some banks in the trade of cryptocurrencies. In addition, the world’s largest banks and financial institutions have established a R3 company, which develops its own blockchain platform. It can therefore be said that banks are flirting with Bitcoin and with blockchain.

Blockchain in advertising

Also technology companies, publishers and media houses began to experiment with platforms built on block chain technology. Although there is no certainty that blockchain will change the rules of playing in the marketing industry, some say that it has the potential to ensure transparency so much needed advertising, eliminating artificial movement and providing brands to Brand Safety, about which M. in. I wrote in this article.

Here are practical examples of the use of blockchain technology (all from 2017):

1. CONTENTS CONTENTS – The blockchain distribution platform of the Decent content has announced the launch of a public tool enabling creators to publish content and immediately transferred the salary to them.

2. Advanced TV – Comcast and its blockchain technology for the purchase of TV ads on both terrestrial and OTT television. M participates in the project M. in. Disney, British Channel 4 and Italian TG1. Already in 2018, marketers are to receive data of such content manufacturers, such as. Hulu, in order to use them for more effective purchase of ads.

3. Eliminating the artificial movement – Metax startup and date & Marketing Association (DMA) has launched adchain, an open protocol of Ethereum technology, which means (tags) and monitors advertising on the Internet to find out who sees them, who he is and what actions he took.

4. METAX together with Conszens also introduced Whitelisting publishers and advertisers using blockchain and voices of Internet users.

5. Purchase of ads – In 2017, New York Interactive Advertising Exchange in cooperation with NASDAQ is to launch the platform (Marketplace), where you can buy and sell future advertising resources of digital media through the so -called. Smart Contracts.

6. A small Central European accent – Adex, Bulgarian Ad Exchange, built on blockchain, specializing in video streaming.

Time on the antidote

We do not know if Bitcon and other cryptocurrencies will replace the official currencies and whether we will pay them, for example. for advertising, but let’s hope that the impact of blockchain -based solutions on the world of advertising and marketing will be so large that such ills as lack of transparency, artificial movement or inappropriate content will be eliminated there.