BAT Basic Attention Token
0 % 0.0001093960369 DXAU
What is Basic Attention Token…
Advertising is one of the most critical revenue models for most of the businesses online, however, to put it mildly, the advertising industry is a dinosaur. The model has not changed for years and is desperately in need of an overhaul. This is where Brendan Eich’s Basic Attention Token (BAT) is looking to change the game completely. Basic Attention token [BAT] is looking to monetize attention by paying users for watching ads.
The Modern Age of Digital Advertising
Back in the day, advertising used to be a different game. We went from street proclamations to billboards to the television. However, the game is a little bit different now. On the surface, it looks like modern advertising is easy.
We have search engine giants like Google and social media platforms like Facebook. Facebook, as of right now, has over 2 billion users. That’s nearly 30% of the world’s population. Because of this, advertisers and marketers flocked over to social media and used various methods to target their audience.
In fact, digital advertising has become so lucrative, that in 2017 it crossed television ads in total collected revenues:
What is Basic Attention Token?
In 2016, Google was the largest recipient of global ad revenue having collected $79 billion while Facebook also collected a staggering $27 billion in revenue.
However, the thing with Digital Marketing though, is that it is pretty much hit and miss and not compelling enough to hold someone’s attention. Most of it is exceptionally unsubtle and consists of annoying pop-ups which no one clicks on anyway.
No Incentive for Users
What is Basic Attention Token?
Before we go any further and show you how bad the current situation is, you should know about the general hierarchical structure of the digital advertising industry. There are three major players in the system. Imagine that you are about to watch a video on Youtube and before that video begins, you see an ad.
In this context, you, the video watcher is the User. The person whose video you wanted to watch is the Publisher, and the person who created the ad is the Advertiser. In this dynamic, you, the user, is interested in the publisher’s content, the advertiser is in the same niche as the publisher and wants to target you with content.
Now, in this entire dynamic, the advertiser is selling their product and the advertiser is getting their commission from the publisher. However, what is incentivizing the users to watch the ads in the first place? Sure you can say that the users are getting free content and they may end up stumbling across something they like. However, users don’t like to sit through ads, if given a chance, they will probably skip it.
Along with users, advertisers, and publishers, there is another player in this ecosystem that we haven’t mentioned yet, the Platform. In our example above, Youtube is the Platform. In order to maximize user attention, and to make sure that they are watching ads that they are interested in, these platforms took their game to another level. They started researching the private data and internet searches of their users and handed over the data to behavioral scientists.
Using this research, they were able to fine-tune and direct specific ads according to the user’s needs. Incorporating machine language and AI, these platforms were able to show exactly what you wanted to see. This is exactly what happens when you Google “Best hotels in Jamaica” and your Facebook page gets littered with beautiful Jamaican hotels.
So, the most obvious question to ask here is…”is this legal?” Well… yes, and no.
A company can analyze the behavior of their customers, however, it becomes problematic when they sell this data to another company. Now, why is this so unethical?
You are, quite literally, violating the privacy of your users. You are giving the data that the user may have willingly (or not) given to you. You are giving away your user’s interests, likes and dislikes on a silver platter. In fact, this very issue has been under the spotlight until very recently (as of writing).