Vlog 370: Dapps, building communities and the importance of second revenue streams besides delegation.
My vlog from Krakow about my biggest insight from Steemfest 3.
It's about Dapps, building communities and finding revenue streams.
It's a continuation from what I wrote about here
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I think I mentioned this to you yesterday. But if you want a real world example of how @steemmonsters is going to be huge for steem.
We saw a teenage user join SteemMonsters on Thursday morning...He hasn’t stopped playing it since!
He’s not about delegation. Doesn’t care about the ‘blockchain’ per se...He just loves the game. That’s the future.
Great message and video man as always!
Posted using Partiko iOS
That's nice! Until he starts nagging his dad to buy packs :)
hey if you ever wanna do 'steem dragons' -- a dragons den setup, i'd help out with the video and streaming! :)
That would be interesting. I'd definitely watch that.
yeah i think a lot of people would actually, we certainly need more 'blockchain' style content.
lol, maybe one day! I think it could work with a $50 STEEM price :)
Hi @exyle, you should have a look at the funding model eosBLACK is proposing. I was researching the project this week and the model is quite unique in creating a platform for DApps to be funded by the community. A similar model could potentially be used for STEEM DApps too.
Thanks for the heads, I will check it out.
Sure do!
In summary, it is supposed to work like this:
the eosBLACK blockchain will only allow for DApps to operate after being approved by the community. After a certain DApp gets approved, the developers of the DApp will receive funding via the inflation of the eosBLACK token (similar to how STEEM is inflated) and in return the eosBLACK token holders receive the "DApp tokens" airdropped in their account.
In this way, the community is incentivized to only vote for DApps to be developed that actually have value to the community.
It's only a theoretical proposal at this moment, but I can already imagine how this could actually be an interesting funding model for DApps.
Thanks for useful information.
Hi @exyle. SteemMonsters : what a great success in just a short period of time – a great duo behind this and they have been smart to build a self-sustaining business model with zero need for delegation. I wondered if you had managed to speak with @starkerz at SF3 about the sustainability behind @Oracle-D – potentially huge amount of revenue from external sources. I agree the seed finance/ incubator zone which is experienced under delegation is useful for building the community and app – and the projects will need to be thinking about multiple revenue streams and de-risking their business. Thanks for sharing your views from Krakow.
I talked to @starkerz and see the potential he sees!
The developer should invest in their product, not wait for a handout. If they invest, put their money where their mouth is, then it might be safe to match their investment with delegation, to help. Then, once they are established with a proven business model, it's safe to pull the plug on the delegation. I'd prefer to see people fully invest in their product though, without needing help.
It seems like you frown upon bloggers/content creators. I don't get that. Content creators generate revenue for apps. They play a critical role, if the app is content based and offering rewards as an incentive.
I said for months, "I hope those Dtubers are powering up their earnings. If Dtube loses it's delegation, the place is finished unless the content creators have enough skin in the game to help keep it afloat." Handouts lead to more handouts and of course that's not sustainable in business. It's irresponsible.
Here's where the 50/50 split comes into play. If a developer invests, they earn rewards that way, through curation. People don't seem to see the potential. I don't understand that. They say people won't want to produce content for a 50% share. That's ridiculous.
and
I apologize for being hard on you the last time I left a comment here. It's nothing personal. I simply don't agree with some of the things you say at times. I'd like to see everyone working together, not against each other.
Water under the bridge as far as I'm concerned.
Anyway, I don't agree with you.
The beauty of the incubator model (SP delegation) is that the developer (with no money) can pitch an idea to any investor with SP (When they do bring in actual money themselves it's just an extra plus for any investor to delegate to them). I just don't think it's up to you or anyone to decide what an investor should do with their SP.
I don't frown on content creators, I am one, I just don't understand the discussion about 50/50 when the solution is around the corner in the form of SMT's. That's the time to try out new models, you don't to this now with the core token with a risk to destabilise what we have build and what developers currently count on.
Example: On Steemit we can introduce a Steemit SMT and tryout any new reward model safely without changing the economy of Steem Monsters or Steem Hunt.
Also I believe that in the future SMT's will be used to reward content creators it won't be (much) STEEM anymore. STEEM is what drives the platform and what makes it work (RC's for instance).
I am all in favour of content creators and users in general. They are what apps need to survive but we are in a limbo period between SMT's and now. They will just have to wait. Some leave, they have no patience, I don't care, they will be back when it all works. But in the meantime they miss out on any STEEM earning now which I believe will be very valuable in the future.
STEEM as 1 token simply can't fulfil all the roles we want it to fulfil. Every app and users have different incentives.
SMT's will open the door to all kinds of economic models and the market will decide who wins.
This limbo period has been stressful. Many left, indeed. Now there are clones of this place, clones I don't have any use for, where people went to get a head start on earning something like an SMT. Will they be back when all is well here and they find out that other token holds no value? It's hard to say, and it's unfortunate they were pushed away. They might stay in limbo now, hopping from one train to the next, seeking that perfect place and never finding it.
Not all who left departed due to impatience. Their needs were not being met. There weren't enough curators to go around, too many delegated away their SP to bots, bots don't have eyes and the content producer depends on those to earn STEEM.
We both agree STEEM will hold value and be worth a lot more, eventually, so I'm glad I got that part right when I encouraged people to follow my lead, power up, use it as a tool, and hold for the future that looks bright. I haven't spent a dime of what I've earned in two years so of course I'm going to be concerned about where my investment is headed. It's stressful, for me, to have that power placed in the hands of someone else. I have to have faith now in developers, they better not act like dLive. I can only hope people invest wisely when they delegate.
Again, this limbo period has been stressful, not many see the value in earning .5 STEEM. Maybe it is for the better so many with intentions to simply produce content and ditch the tokens on the market have left. Those types were not receiving my support anyway.
Thanks for taking a moment to explain how you see things. It's a little more clear now on this end.
Thanks a lot for all of these deep insights and the good explanation of the aspect of income streams from dapps.
I hope this wake up call can turn this - let me call it "unsafe" - situation of the dapp-runners into something productive and even into something positive for us all by attracting more users.
I am on my way to just hang around with some of my blockchain friends and even without arriving Krakow yet I know it is worth it :D
Have a great day!
#engagetogrow
I can see the risk if a dapp is relying on a big delegation from one entity but isn't that mitigated if they have lots of small delegations from many different people?
Yes, it's true. But right now only huge delegations will help you and there are not many.
I left my opinion about this on your post yesterday. One thing important to mention is that any type of business that depends on a small amount of investors is already half way close to die.
Looks like we have a new idea for a show... instead of "Shark Tank" or "Dragons", we should definitely create some better conditions for projects to captivate the right persons to delegate SP.
Whale tank?
Hahaha, good example!
Next step, choosing the right whales :D
The new ICO model you mentioned is so genius. I knew that SP delegation is not sustainable for businesses because people can just take it away. However, the positive side of that is that people aren't giving away their bitcoin or ethereum for something that will probably become a ERC-20 shitcoin. SP delegation doesn't cost the investors anything and it also allows a business to get on its feet with an incentive to actually deliver something.
Every post you make about SteemFest makes me sad that I wasn't there.