John Derbyshire
Jul 19 · 4 min read

A few days ago we introduced you to the concept of ‘instant settlement’; a way for users to receive their nahmii withdrawals instantly in exchange for a small fee. Today, we’re focussing on another innovative and patent-pending)feature of nahmii that builds on instant settlement: something that we call the ‘anti-subscription model’, or ASM for short (we’re open to suggestions for the name). The ASM allows users to access premium or subscription only content without paying for a subscription. Sounds too good to be true? Read on and find out why it’s not.

Instant Settlement: A Quick Recap

Let’s start with a quick recap of our last blog post on instant settlement. When a user wants to withdraw funds from nahmii, they first need to reconcile their off-chain transactions with the on-chain record. This process is known as settlement and it currently includes a configurable five day waiting period, during which other users can challenge fraudulent settlement requests in exchange for a reward.

Instant settlement offers a faster withdrawal in exchange for a small fee. If Alice wants to withdraw her balance from nahmii, Bob can facilitate an instant payout in exchange for a small fee. Bob provides liquidity and is paid for the service, Alice gets her funds immediately — everybody wins.

So how will instant settlement allow you to access premium content without a subscription? The answer lies in genuine micropayments, something that is only possible on nahmii.

Small Fees, Big Impact

With nahmii, content distributors can now access what we call genuine micropayments. The idea of micropayments replacing paywalls and subscription revenue has been around for some time, but previous implementations have met with various problems. Consider the Ethereum network; transactions fees vary depending on how busy the network is, but usually work out at around 0.05 USD for a typical payment. This is unsuitable for genuine micropayments, as any payment below that amount will have a fee in excess of 100%. Ethereum, like VISA and Mastercard, has a minimum fee for transactions — they simply don’t scale in proportion with micropayments. High minimum fees have made direct micropayments to content producers unviable.

Today, a 0.05 USD payment using nahmii will cost just 0.1% of that amount in fees. Genuine micropayments can be much smaller than this too, because nahmii’s fees are proportional to the transaction size (with discounts for larger payments). Even better, content distributors can receive these payments directly without paying a middleman. Finally, genuine micropayments are possible thanks to nahmii.

Now it’s time to put the two ideas together — instant settlement and genuine micropayments.

Two Innovations, One Killer App

In the non-too-distant future, users like Bob with a balance in nahmii will be able to allow a third party to provide instant settlements with their funds. The third party receives the fees from these settlements, while the user is given something in return: access to premium content. Importantly the third party does not have custody of and cannot steal the user’s funds; they are only able to use these funds to provide liquidity. Bob can now view the subscription-only content on that website without having to pay a subscription up front.

Previous attempts at making micropayments work for both users and content distributors have failed because the underlying technology could not support genuine micropayments. With nahmii, Bob can pay per video, per article, per second or even per mouse click. Even better, Bob can use nahmii’s ASM service to gain access to premium content without paying for a subscription.

Thanks to nahmii, content distributors can finally take advantage of radical new pricing models using genuine micropayments. Combine this with instant settlement and you have a unique proposition: subscription-like regular revenue for content distributors paid for by a simple service like instant settlement. Once again, it’s a win-win!

An Ecosystem of Products

Innovations like the Anti-Subscription Model benefit all users of the nahmii protocol, including NII token holders. It’s all part of our vision here at hubii to encourage a world class ecosystem of products based on nahmii. We’re passionate about content, something we know well from our previous products, and we think that nahmii can make a real difference to the industry.

As always, stay tuned for more updates from the hubii team over the coming days — just because the sun is shining in Norway, it doesn’t mean that we’re on holiday!


All about hubii and its Ethereum scaling protocol, nahmii

John Derbyshire

Written by

Product Lead for hubii AS.



All about hubii and its Ethereum scaling protocol, nahmii

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