Problems of the Adult Industry
Told through real life experiences and people
The adult industry is prospering and constantly growing. The numbers are impressive and the industry is valued at approximately $103 billion, so why would such a robust industry need a new solution? Behind the glitter and glamour, businesses and individuals struggle to control their finances and bank accounts, and consumers continue to face a problem with remaining anonymous. Here we will explore these problems with real life examples and explain the solution we are building which will fix everything once and for all.
Blocked from the Banks
Colin Hodge is a businessman and creator of the ‘Down’ app. The app was designed with a simple premise; letting people around know that you are ‘Down to bang’ and this applies to friends, friends of friends and people nearby. The app does not offer sex it simply opens up doors for people and makes the hooking up process easier.
Hodge was rejected by Chase bank because it didn’t allow accounts in “that industry”.
Cindy Gallop, founder of MakeLoveNotPorn faced the same problem from several banks including Silicon Valley bank and Square One bank both of which “wouldn’t touch [her]”.
Simply put, finding merchant accounts or opening personal bank accounts is extremely difficult for any participants of the adult industry. As long as they are forced to use fiat currencies and go through banking procedures, they will continue to face this problem.
Kitty Stryker is a feminist, writer and sex worker. She had a profile on Patreon — a platform where artists and creators can connect and work — from which she had funded her trip to the Feminist Porn Conference in Toronto.
She received a message from Patreon saying that PayPal — a payment provider — had threatened to freeze all creator pages unless Patreon flagged adult content and blocked it from being funded via PayPal.
Andre Shakti, also a sex worker was turned away from payment processor WePay after raising $500 for a trip to the Feminist Porn Awards through crowdfunding site Fundly.
This threat looms over the heads of all sex related workers and businesses who could lose their accounts and money at any moment that a payment provider decides to instate a ‘no adult content’ policy.
High Risk, High Fees
Payment companies and banks can classify certain accounts as ‘high risk’. This does not mean that a business or person is illegal, it simply means the nature of the business has a greater chance of not being viable financially. Every business and individual related to the adult industry is classified as high risk.
What happens when a company is classified as high risk? The expenses and fees stack up. These usually include the following:
Set up fees for registration become higher. Capture fees are added and these alone can be a few hundred dollars. Processing fees add fixed monthly charges and thereafter an additional percentage is charged on every individual transaction which can be as high as 20–30%.
Any chargeback is charged with a penalty fee, and merchant account require reserves to remain in the account at all times, these are between 5–10% of monthly sales.
Now calculate how much money is lost every month from every adult industry related account.
“The anonymous nature of internet pornography creates a buffer from reality and consequence. Internet pornography has increasingly become a secret addiction. Unlike violations of the World of Wisdom, you can’t smell it on someone’s clothes or see it in the way they stagger drunkenly to their car.” Charles D. Knutson wrote in Digital Mists of Darkness.
What he missed is that adult consumption can be traced through every payment and transaction. In this day and age there is no true legitimate way to bank with true anonymity. All information is traced and stored and people’s online purchases are clearly stated.
In 2009 the BBC news reported a public apology from the husband of Home Secretary Jacqui Smith, because he had watched two pay-per-view adult films charging them to his wife’s expense form. The purchase was part of a mainstream cable TV package which allowed them to view all kinds of content including naughty movies. The record of these two adult movies created a mountain out of a molehill.
Such records affect people’s lives on a daily basis and the fear of such records reduces the amount of consumers willing to purchase pornographic material. Imagine a world where people could do as they wish without being traced.
The solution: BunnyToken
The BunnyToken payment solution will solve all these problems through the power of blockchain technology.
How will BunnyToken solve these problems?
- BunnyToken will accept merchant accounts for all legal businesses in the adult industry.
- With BunnyToken there is no risk of accounts being blocked.
- Cryptocurrencies like the BUNNY token cannot be blocked from their owner.
- Fees on the BunnyToken platform will be low thanks to the low charges of blockchain transactions.
- All transactions are linked with electronic addresses only which do not disclose any personal or financial information.
With BunnyToken the adult industry is ready for a complete makeover. Every business and individual will have a reliable and fair payment solution.