An introduction to brand-centric decentralized marketplaces
TL;DR: Here is some fuel for the CryptoTwitter warriors:
- Internet [web2.0] mass adoption did not start with money, and neither will blockchain [web3.0] mass adoption.
- Decentralized Finance (DeFi) will be a fast follower, not a leader.
- As exciting as DeFi is, the tethering of use cases into regulatory frameworks that are not designed for seamless user experiences does not lend itself to rapid blockchain mass adoption.
- DeFi will be a fast follower, not a leader.
- Applications that combine the following will enable blockchain mass adoption:
- Hyper-productivity for Gen Y and Gen Z
- End-user engagement and incentivization technologies such as AR/VR with AI and blockchain
- Experiential communities that give people a sense of “belonging”
- Economic utility and control for end-users
- Minimal adoption friction
- Seamless and fun user experience
- More than half (58%) of consumers aged 25 to 34 say they’d be likely to spend more money on a brand’s products and services if they are part of meaningful brand communities.
- Decentralized brand (follower) economies targeting Gen Y, Gen Z, and Gen Alpha with no direct bridges to the world of fiat money will bring the first wave of blockchain mass-adoption.
This paper presents a concept of “decentralized brand economies,” demonstrates how blockchain technology can be leveraged to build an engagement infrastructure, outlines the set of core principles a brand should follow to deliver value aligned with the needs of Gen Y, Z, and Alpha, and gives a practical implementation approach for a blockchain-based brand community engagement platform.
What is a Decentralized Brand Economy?
A decentralized brand economy is a combination of two elements: a brand community and a decentralized market. A brand community a specialized, non-geographically bound community based on a structured set of social relations among admirers of a brand. A decentralized market is a market structure that consists of a network of various technical devices that enable investors to create a marketplace without a centralized location. In combination, when brand communities leverage distributed ledger technology to create a decentralized marketplace, it is called a “decentralized brand economy.”
If blockchain is to become the new global fabric for value exchanges and thus value democratization, it is imperative to find a path to rapid mass adoption.
How do we get 1 billion+ people utilizing blockchain in their daily lives?
Read the rest of this white paper at the ConsenSys Blog.
Find out why we’re migrating from Medium.
Disclaimer: The views expressed by the author above do not necessarily represent the views of Consensys AG. ConsenSys is a decentralized community with ConsenSys Media being a platform for members to freely express their diverse ideas and perspectives. To learn more about ConsenSys and Ethereum, please visit our website.
Decentralized Brand Economies: The Key to Blockchain Mass Adoption was originally published in ConsenSys Media on Medium, where people are continuing the conversation by highlighting and responding to this story.