BitRewards: Overcoming the Obstacles of other Growing Blockchain Startups
Blockchain is booming in 2018. It’s predicted that 2018 will be the year that the cryptocurrency market valuation hits $1 trillion, while a report from research firm MarketsandMarkets estimates that the blockchain market will grow from $411.5 in 2017 to an eye-watering $7.6 billion in 2022.
With these kinds of numbers being thrown around it will be of little surprise to you to hear that Initial Coin Offerings (ICO) are soaring, with around 30 new ICOs being launched every day, some of which will raise as much as $200 million.
But market potential and millions of dollars in investments are by no means a blueprint for success. Far from it. In fact, nine out of ten startups will fail. And that doesn’t just go for blockchain startups, but every startup in every sector and region. Blockchain companies, however, face some significant barriers to success. Namely, the ability to breakthrough to the mainstream.
Blockchain in the mainstream
Blockchain companies have the potential to rival and even surpass the likes of Apple, Google, Facebook, and Amazon. Newsweek recently looked at how blockchain could topple the tech monopolies thanks to its open source, collective owned-by-all-who-participate nature.
But no blockchain company has yet to really penetrate the mainstream in a way that would suggest they could hit the heights of a Google or Facebook.
Of course, no company is an overnight success. It takes time, money, experience, and the right product for any startup to think about becoming a household name. Things that a lot of companies entering the blockchain market at the present time either don’t have the resources for or, in the case of time, the patience for.
A recent article by Nasdaq looked at what is potentially stopping blockchain technology from widespread adoption. It listed five areas of concern:
1. Initial costs — software is expensive to build, implement, and scale.
2. Integration with legacy systems — software must overhaul or integrate with existing systems, something most solutions cannot do.
3. Energy consumption — blockchain and cryptocurrency requires a large amount of energy to produce and stay in operation — although new innovations are aiming to solve this issue.
4. Public perception — most people understand blockchain or its benefits.
5. Privacy and security — the are questions over how secure blockchain is.
All of these things are true, and they are certainly what’s holding back a lot of blockchain companies. BitRewards, however, has already overcome many of these obstacles. Couple this with our experience and its why we feel we’re best placed to succeed where many other companies fall short.
Built for the mass market
Let’s look again at the roadblocks put forward by Nasdaq, but this time with the ways that BitRewards has navigated them.
1. Software is too expensive
BitRewards isn’t expensive at all. And it’s not just that it’s cheap, it’s that it’s completely free for merchants. We offer premium software valued at $200-$2000 per month at no cost to the merchant. Not only has this helped set us apart from the competition, it has encouraged over 100 online stores to independently connect with the platform before we launch, with partnerships connecting us to thousands more.
2. Integration with existing systems is problematic
For a lot of blockchain products, integration is difficult. That’s because a lot of ICOs launch without an existing product to show. BitRewards, however, is built on the suite of solutions of GIFTD, which are widely applied in e-commerce. The GITFD API works on any device and on any platform, which means BitRewards works anywhere too. WordPress, Magneto, Joomla, OpenCart, Mailchimp and more, all integrate seamlessly with BitRewards.
3. Blockchain uses too much energy
While it’s true that energy consumption is high with bitcoin, BitRewards is based on the Ethereum network which is adopting the proof-of-stake mechanism to drastically reduce energy consumption.
4. The public isn’t convinced
Trust is a huge factor in blockchain becoming a success in the mainstream. BitRewards is a long way ahead of other blockchain companies in that we’ve already been able to build a portfolio of outstanding clients including TUI Group, Wild Orchid, and Lostroom, and have garnered mainstream press with features in Inc., Entrepreneur, and Bitcoinist to name but a few. Our transparency in budget allocation, and our project roadmap allows clients to see how we’re growing and join in the ride.
5. Security is a concern
Privacy and security is always a concern with any new product, and it’s a particular worry in an industry as shrouded in confusion as blockchain. The technology, though, has proven to be remarkably resilient to hacking. All data sent to users via BitRewards recommendations is encoded, and any fraudulent data is immediately detected and placed on the Ethereum blockchain.
BitRewards is uniquely positioned to grow within the blockchain market as we’ve built a proven product and possess a level of experience that many currently entering the industry don’t. Over five years, GIFTD has helped more than 500 online stores increase revenues by an average of 17%. Our knowledge of blockchain product development and finance expertise make us a safe bet in a market where success is the exception rather than the norm.