TV-TWO is not your ordinary blockchain startup. Simply put, you can now earn crypto for watching TV using their innovative platform. You read that right. Not only do consumers benefit, but advertisers and content providers also benefit from the use of blockchain technology.
In short, the company is an application for Smart TVs used as the new gateway to linear broadcast combined with a personalized video stream as an additional channel. The TTV token will be used to incentivize all parties in the ecosystem while ensuring safety with its underlying blockchain technology.
To learn more, we got the inside scoop from TV-TWO’s co-founders, Jan Phillip Hofste and Philipp Schulz.
1. Tell us a little bit about yourselves. How did you get started in blockchain?
We are Jan and Philipp, the Co-Founders of TV-TWO. We met 2 years ago when we led a mobile advertising technology startup in Berlin. In May 2017, the venture was acquired by Telefónica Germany, the largest mobile carrier in Europe, for more than 10 million Euros. Equipped with lots of learnings and some starting capital, we decided to tackle the largest advertising market out there. With our background in marketing, we were intrigued by the opportunities of the trustless nature of Blockchain technology. The major suffering of any brand is the lack of transparency over their advertising spend. This issue is created by the numerous middlemen in the marketing arena that are made obsolete through the Blockchain.
2. What was your inspiration for the project? How did it all start?
We are big believers in both linear entertainment formats and ad-supported content. We thought: How great would it be to have your very own TV channel that only plays what you like, without the bothersome search for new content and the monthly bill that we all know too well from Netflix? When looking at the TV market, its digital potential is largely untapped by TV networks. At the same time, the leading marketing channel with the largest advertising expenditures is still television. We decided that there was an opportunity worth exploring here and that it was tailor-made for blockchain technology. We started the journey to build the future of video entertainment on the big screen.
3. What is your competitive advantage?
We see three necessary players for a subscription-free video entertainment model, namely the viewer, the content creator, and the advertiser. Some of the value we create for those players compared to our competition includes:
- Consumers get to watch a personalized TV channel for free.
- Consumers are rewarded for watching sponsored messages.
- Advertisers achieve transparency over their TV spendings.
- Advertisers get to use their first-party data for TV campaigns.
- Independent content providers get to make it to the Big Screen.
- Independent content providers can finance videos with TV ad spendings.
While TV networks and players like YouTube optimize for their shareholder value, TV-TWO is optimizing for utility to users, video producers, and token owners in order to maximize token value. For us, this is not purely altruistic. Our bet is that a decentralized platform grows faster than a centralized one. We as a team own 15% of the Tokens for Television, vested over three years. This way, our interests are fully aligned with stakeholders of the project in sustainability growing the open platform.
4. What is the biggest problem currently in the market?
TV networks have a vice-like grip on advertising, production, and viewer choices. We believe that the value exchange between users, content providers, and brands needs to change. It is time that people not only start enjoying broadcast TV again, but actually start profiting from sharing their attention and data.
While other online video services are using advertising effectively, YouTube’s focus on clicks and pre-roll ads seems misguided to us. Watch statistics are the most important KPIs for advertisers and content providers. The ‘click’ metric has misguided ad dollars for too long.
5. What does 2018 have in store for you guys?
2018 will continue being an extremely exciting year for TV-TWO. First, we will launch our ICO, which runs from May 24 until July 24. Next to that, we will release our application to a broader public and continue adding renowned brands to our partnership network. We are also looking forward to growing our user base and help consumers earning crypto while watching TV. 2018 is just one step in our long mission of decentralizing the television industry.
6. Anything else to add or you would like to include?
Feel free to follow us and our ICO (launching on May 24, 2018). Here are the links to the most important documents and outlets:
Let’s bring the Ethereum Blockchain to living rooms around the world!Opinions expressed here by Contributors are their own.