When Would an Industry Heavyweight Launch Their Own Coin?
When a KodakCoin was announced in January 2018, Eastman Kodak brushed the news off and steered away itself away from the crypto-craze. As it turns out, WENN Digital, a Paparazzi photo company is the original issuer of cryptocurrency. Case in point, what would happen if industry biggies launched their token? Let’s find out.
The Bleeding Edge of Technologies Dominates Two Sectors
The gaming and porn industries are usually the first to employ any new technologies. As such, many cryptocurrency investors hold the opinion that the adult entertainment industry would be the first to issue their own coins.
TokenStars Advisor Elena Masolova was quoted saying, “There are rumors of Pornhub and its 500 million users joining blockchain.” TokenStars is a Bay Area startup with its own token that allows investors to sponsor certain athletes.
“Their management is rumored to be considering this idea. They certainly participate in a lot of blockchain conferences.”
In the past, adult entertainment was just another use case for new technology, but as repression accelerated in the modern world, people quickly turned to the same innovations to bypass these bans.
Afterall, It wasn’t a desire for Western democracy that inspired young Chinese men to leap the Great Firewall with VPNs, it was more the desire to witness adult entertainment websites, using a technology that had just been developed.
Small adult entertain sites and business already accept cryptocurrencies as payment, but no substantial players have announced anything yet. A single move by a prominent firm would signal a new movement in the industry.
On March 14, 2018, Playboy announced its plans to create a cryptocurrency wallet, allowing for payment of Playboy’s product line in crypto.
The COO of Playboy, Reena Patel, said :
“Cryptocurrency and the blockchain digital ledger system that it operates on gives the millions of people who enjoy our content [more] choices with regard to payment.”
The Vice Industry Token (VIT), a utility token that gives users discounts on Playboy videos, is set to be accepted by Playboy. Launched earlier this year, the VIT raised $15.2 Million via their Initial Coin Offering (ICO).
Could Amazon Launch its own Cryptocurrency?
Amazon, the world’s largest online retailer, is also making a venture into financial services and the fintech sector. The e-commerce announced that they are creating a mini-banking business.
They also are investing in blockchain for their Amazon Web Services division. Hence, the Seattle-based firm certainly has the infrastructure set up for launching its own cryptocurrency.
According to Sam Town, a FinTech journalist:
“An Amazon cryptocurrency wouldn’t just change the face of the world’s largest online retailer. It would change the world. The era of mass adoption would be upon us within minutes of Jeff Bezos announcing either a proprietary AmazonCoin or a partnership with an existing platform such as Stellar or Ripple. And it could happen any day.”
Town may be a voice amongst millions talking cryptocurrencies, but his take on a big brand launching its own coin is a hope among crypto enthusiasts.
Brands certainly have airs about their reputation over innovation, and in a race to the top, the first brand to introduce cryptocurrency would enjoy a historical PR boost. It would also mark the day cryptocurrencies become mainstream, and give way to a wave of investors in the ecosystem.
“This is about so much more than raising funds. Blockchains are consensus databases between companies and their customers and tokens are the incentive machines that fuel that,” says Craig Bromberg, CMO at Kowala Technology, a blockchain tech company with its own coin pegged to the dollar.
“Whether you’re Ford or CVS or Amazon, you can’t not afford to jump on this train.”
Blockchain Promising, Cryptocurrencies Are Not
In the wake of new blockchain startups producing their own cryptocurrencies and raising funds, come voices from the world’s traditional markets questioning the frenzy.
Although Silicon Valley investors and startups have the funds and technologies to launch their own tokens, none of them have implemented the same as of yet.
Mike Poutre, CEO of The Crypto Company, believes that while everyone loves blockchain, not everyone loves crypto. “My immediate thoughts are that Fortune 500’s and blue chips don’t need to issue their own coins unless it warrants a completely unique case or solution to a legacy problem,” said Poutre.