Why Blockchain Needs New Business Models
Blockchain has been praised as being the most innovative technological development since the internet itself. Every day, we’re learning new ways how we can integrate blockchain technology into contemporary society, making it easier and safer for businesses to send and receive money across the world. But in spite of all of this, blockchain still faces a huge obstacle in its path: its reputation.
Blockchain, Cryptocurrency, and Why Onboarding Investors Is a Challenge
Since its inception, the blockchain community has struggled to shake its lawless image. Between 2011 and 2013, Bitcoin was used to buy and sell illegal goods online. And while facilitating illegal transactions is not what Bitcoin was designed for, the uninformed public still associated the world’s first cryptocurrency with the black market.The unfortunate truth is that the actions of a few have tarnished the image of cryptocurrency, causing uninformed members of the public to view blockchain technology as dishonest or illegal. Some examples of this that have drawn public attention include:
- The Bitconnect Crash: A Ponzi scheme marketed as a lending service, Bitconnect went from being worth $2 billion in market value to a total value of $9,200 as it quietly decided to shut down — wiping out life savings for some investors.
- The BTC Global Scam: Nearly 30,000 people, mostly from South Africa, Australia, and the United States, were scammed out of $50 million by scammers pretending to be an investment management company.
- ICO Scams: There have even been a few cases of fake businesses taking the time to build legitimate websites, create fake employee profiles, and establish an active presence on the internet, all so they can give the appearance of being a legitimate blockchain project so they can attract investors. After their ICO, they vanish without a trace — taking investors’ money with them.
And those are just some of the more publicized scams. There are countless scammers on Twitter, as well as chat apps like Telegram and Twitter, who claim to be blockchain developers who promise you thousands of dollars of free cryptocurrency as long as you send them a small investment of $200 or $300 beforehand.These scams have become so prominent that Ethereum cofounder, Vitalik Buterin , has addressed the concern on Twitter countless times and has even changed his profile name to “Vitalik ‘Not giving away ETH’ Buterin” as a reminder to people that anyone that the real Vitalik Buterin will never ask for donations in exchange for Ethereum.
Cryptocurrency and Volatility
Along with scams and Ponzi schemes, hints of insider trading and market manipulation have scared away many traditional investors who fear the risk of investing in blockchain projects isn’t worth the reward.Generally speaking, there has always been a higher level of volatility in crypto markets. But with recent talks of cracking down on exchanges in China and South Korea, as well as SEC probes into ICOs in the United States, cryptocurrencies have been especially volatile, with the overall market losing nearly $110-billon in just one day in January .
Shifting the Focus from Investors to Entrepreneurs
The problem with the current business model commonly used in blockchain projects is that it focuses on investors who’re already involved in cryptocurrency. And many of these crypto investors aren’t interested in what these projects can do, but rather how much money they can make buying and selling coins and tokens.SuchApp believes that the future success of blockchain requires onboarding the people who stand to benefit the most from the various projects. For this reason, they have played a big role in promoting their services to entrepreneurs and traditional business investors that stand to gain the most from its services.
Exclusive Country-Based Revenue
One of SuchApp’s most successful strategies targeting investors outside of cryptocurrency has been its Exclusive License Program . This program grants one investor from each country 100% of all platform revenue generated in-country from:
- Group name purchases.
- Sponsorship agreements.
- 4K media.
The license runs for a year and can be renewed upon its expiration. Currently, entrepreneurs from all participating African countries and the UK have already been issued exclusive licenses.
Premium Group Names
SuchApp’s premium group names allow businesses to establish themselves on the platform. By spending money on a premium group name, businesses have group addresses that are easier for users to access on the SuchApp platform and that aligns with their brand. These groups also allow entrepreneurs to:
- Quickly resolve customer service issues.
- Create an open channel of communication to their customer base.
- Create marketing campaigns and questionnaires.
- Broadcast advertisements in the group using videos and text.
Empowering Local Businesses Everywhere
SuchApp values the contributions of local businesses and is committed to creating an online ecosystem that helps businesses around the world reach new levels of success. This is especially true in developing African and Asian countries, where brilliant entrepreneurs weren’t able to expand because of a lack of resources and infrastructure.With SuchApp, entrepreneurs in developing communities are able to use the platform’s advanced communication and marketing services to connect with major economic hubs within their country, as well as bringing their services beyond borders. This allows for up-and-coming entrepreneurs from developing countries to have a greater chance of expanding their customer base both domestically and internationally.
The Bottom Line
SuchApp aims to bring value of blockchain technology and apply it in a very real way — by enriching the lives of everyone who uses it. Governments can create an open line of communication to different departments and to citizens, people can use it to connect with their friends and family, and businesses can create in-depth marketing campaigns and facilitate on-platform transactions thanks to SuchApp and blockchain.More than just another blockchain project, SuchApp is committed to fulfilling the needs of entrepreneurs first and cryptocurrency investors second. And by taking that business approach, the company is one step closer to achieving what every blockchain project aims to do: mainstream blockchain adoption.At SuchApp we believe the blockchain community is ready for new, innovative business models that don’t cater only to speculative mindsets. We envision a future where the true benefits of this amazing technology are leveraged to improve the lives of real people all around the globe.
This content was originally published here.