Everyone is talking about blockchain technology these days, and for good reason. It first came about as the brainchild of the person known as Satoshi Nakamoto, who invented Bitcoin. Of course, Satoshi Nakamoto is a pseudonym, but blockchain technology and bitcoin are quite real.
With the increasing popularity of cryptocurrencies, it was just a matter of time before blockchain technology became more mainstream. The innovation is impressive, and now, it’s moving into the digital advertising space. Called the Internet’s second generation, there are many uses for blockchain technology, we’ll tell you more about it here.
So, what is blockchain technology?
Blockchain technology can duplicate records across millions of computers, or blocks. In addition, it’s difficult for hackers to reach since there is no centralized space for the saved data. Not to mention, the data can be accessed by any intended party at any time. It offers shared access values. What makes blockchain technology unique is it does not have a single point of failure, nor is it controlled by a single enterprise.
Using a peer-to-peer network, users can view transactions or executions without the need for a central authority. It’s similar to multiple users viewing a cloud-based spreadsheet such as offered by Google Docs and updating the information in real time.
Enter the advertising realm
Now that you have a general idea of blockchain technology, imagine this type of innovation applied to digital advertising. It was only a matter of time before advertising disruptors took advantage of this relevant technology. Still in its infancy, the terminology is currently called Bladtech, which is blockchain plus adtech.
The blockchain contains a string of blocks, with data inside each block. Each user is called a node and can retain a self-hosted copy of the data. Now, here’s the thing: Every block has a hash. So, if you tried to edit or change a block, it would change the underlying hash of the string of blocks and get rejected. Now, you can see the difference between blockchain technology and traditional tech. Multiple users, or nodes, can view the data and save it too.
How does blockchain work with ad tech?
In terms of advertising, part of the process includes collecting campaign data, managing ads, distributing ads, and collecting marketing insights from target audiences. All these factors are calculated into overall digital advertising spend. And even today, traditional ad technology can be prone to hackings and even some fraud. But, bladtech may change all that.
According to data from Juniper Research, advertisers will lose around $19 billion in 2018 due to ad frauds such as publishers putting out hidden ads and so forth. This can certainly tarnish the overall image of the digital advertising industry.
With bladtech, you can verify publishers to separate the whey from the chaff. You can also use bladtech to contain malware. Then, there is the issue of privacy data and customer data breaches. Yet, with bladtech, nodes can control who has access to their data. Again, this is all being developed and tested but it’s just a matter of time before it goes mainstream.
Blockchain is the future of ad tech
Many major companies are adopting blockchain technologies. For instance, Forbes has recently moved towards publishing its content on a blockchain platform. This decision by Forbes is more proof that blockchain technology is becoming more widely accepted. Companies such as Beachfront are incorporating blockchain technology to improve campaign verifications and targeting.
Blockchain offers more transparency around digital advertising. Even Sonly now uses block technology to verify ownership for copyrights of written works. Then, there is Bidooh who is utilizing blockchain technology with its digital board advertising platform. This means, no subcontractors are needed; customers can get their ads published directly for their intended audiences. Also, publishing occurs much more quickly.
It appears we are at a turning point in the digital advertising space with blockchain technology. Blockchain is the Internet’s second generation. Malicious hackers are breaking consumer trust, and the digital advertising space is not immune. Just consider the recent Facebook debacles around data privacy. Blockchain technology can restore trust back into the space, at the previous levels. You will see the next few decades to be about the blockchain story. The technology has promise for every industry. Simply because blockchain technology can address major issues often connected to the Internet. It can verify transactions, publishers, and more. It also promotes a more efficient and transparent business process.
You can build a better advertising industry with blockchain technology even within highly complex systems. So, are you excited about bladtech?