VideoCoin AMA with Wolf Crypto — Part Three
We held an AMA with VideoCoin in our public Telegram channel on June 9th.
The VideoCoin Network is a decentralized video platform, powered by the VideoCoin token (VID) from the VideoCoin Development Association Ltd. and its strategic, advisory, and implementation partner, next generation video company Live Planet. By using the blockchain in combination with unused distributed computing resources, the VideoCoin Network brings significant innovation and cost reductions to processing, storing and distributing video content on and across the Internet.
VideoCoin is the first PoW network to reward miners in fiat as opposed to tokens. Clients using the VideoCoin Network pay for services in fiat which is then distributed to miners and stakers in fiat based off their contribution to processed work on the network. In this sense, VideoCoin stakes a claim to be the first Fiat-Based blockchain business.
VideoCoin recently released their Everest mainnet —
Along with details of their mainnet Genesis staking program —
You can visit the VideoCoin Telegram channel or VideoCoin website for further details.
Here’s what VideoCoin Founder & CEO CEO Halsey Minor, CTO Devadutta Ghat and Director of Ecosystem Development Kellam Ames had to say in the AMA.*
*This AMA has been edited for clarity.
WC (Wolf Crypto Telegram Member)
Welcome to another edition of Wolf Crypto AMA, this time with VideoCoin!
We’re up to part three of our AMA series with the VideoCoin Network now, you can check the previous AMA we did with the team here —
Joining us from the VideoCoin Network team this time are Live Planet Founder & CEO Halsey Minor, CTO Devadutta Ghat and Director of Ecosystem Development Kellam Ames.
This AMA has special significance as we’re just a few post the VideoCoin mainnet — VideoCoin Network — release, so the focus of this AMA will be on that and all mainnet entails, which for many token holders out there is about staking and delegating!
RECENT PROGRESS
WC
Welcome back guys, it’s been a moment since we last spoke to you.
Before we start getting into the crux of the VideoCoin mainnet and the Everest release, for those who are joining us for the first time tonight, can we get a brief intro from each team member and a short synopsis on what the VideoCoin Network is and what you’re trying to achieve with your project?
HM
Great to connect with you again Winston. I’m really excited to talk about the delivery of the project today.
Just a quick background for those who don’t know me. I have founded or cofounded businesses that today are worth over $175 million. Those businesses have a total traffic of unique users of 340 million each month. As a founder of Salesforce.Com and founder of other companies like Google voice and open DNS my previous life was about building cloud-based services.
Today the emphasis is shifting back to the edge and Videocoin Network is about harnessing all of the computing that is underutilized in computers and data centers around the world.
This launch provides a solid platform for growth and its about meeting a commitment to launch that sadly is not done by very many projects. I feel there is a real disconnect in what we have accomplished and the recognition we should get from the broader community in crypto. Our goal now is to reduce the distance.
DG
Hey all!
I’m Deva. Started my career as an engineer and now I’m here.
I have 6 patents in video and related technologies.
Got into crypto in 2013 when I got interested in Bitcoin and arbitrage trading.
KA
Kellam here.
So I am a 20 year veteran of sales and marketing at both GE Information Services and JDA focused on the technology sector.
I have an MBA in Intl Business and have invested in or been part of start-ups with Halsey since 1994 with CNET.
I love working with high performing teams that are changing the world through disruptive tech and that’s precisely what we do at the VideoCoin Network.
WC
So the last two times we spoke to you was in the lead up to Fiji and Kilimanjaro releases.
Can you give us some background on those releases, what they involved and how they’ve formed the background for this “Revolution is Coming” message you’ve recently been touting?
HM
Yes. So for anyone new here. The Videocoin network is a decentralized video encoding, storage, content delivery system that turns all cloud-based video services into an efficient algorithmic market running on a new block chain with a native protocol token, Videocoin…Think of it as the Uber or Airbnb for video delivery on the Internet.
Over the last year we’ve delivered four major milestones on time. Each release brought new functionality to the Network — functionality that was crucial to bringing the cost of video streaming and transcoding down to lowest possible levels.
You can read more about each milestone here —
WC
As Tracy Chapman might say, let’s “talkin’ bout a Revolution’ then…
Why is a revolution in the video industry necessary?
Who is revolting and how does VideoCoin Network and this Everest release help these freedom fighters of the video industry?
KA
Building a real product that meets a market need is the best strategy. That puts us well ahead of most projects. The vision of decentralized computing is an amazing one. We’ve taken advantage of it and built a product that is commercially available and solves legitimate needs.
There are a lot of companies that drop non sensible partnerships.
Our goal is simple. Mass adoption. I’ll be honest, in this market, it has been a challenge, not just in building a crypto project, but in trying to demonstrate the viability of this revolutionary model, not just to the crypto space, but also to the overall video and tech industries as a whole…Thankfully though, we are finally reaching the summit! While we aren’t the typical crypto project in many ways, delivering the commercially available platform has always been our major milestone in the journey.
To be clear — the vast majority of the industry spent heavily on marketing the last two years while we spent heavily on development and engineering. What we have built is enterprise grade, and a first of its kind.
Most of these projects (many have since exited) are playing the hype game with marketing. Enthusiastic crypto people buy it, but these projects have ZERO chance whatsoever to get any real enterprise companies to onboard.
Where is the mass adoption? Why are we still only a $251B industry? I think it’s going to come from building things that are real. A viable commercial product is the only way, and while it takes time for adoption, most projects are playing the marketing hype game and sorely lacking a business model for success.
WC
Sounds like you might be firing a few shots there Kellam…Spicy! I love it…
Can you clarify what you mean though when it comes to the crypto space and they hype style marketing and lack of adoption?
KA
Sure. The single biggest reason why our industries innovative projects have not achieved mass adoption is almost all crypto projects’ Achilles heel. Namely, requiring customers to use a crypto token for payment. Stablecoins have provided a stopgap, but they don’t address the core issues: volatility. Instead, we offer ease of use and financial inclusion to our ecosystem.
So with Everest, we released an enterprise grade platform to transcode, store and deliver video content over the internet at scale — our competitors are AWS, Google, or MUX. But we believe we can gain adoption because we have a fiat based payment mechanism — customers pay in dollars, workers get paid in dollars.
This is revolutionary for the typical blockchain projects. The other projects simply won’t work for real world media studios because their tokenomics have a “poison pill” built in to their very core, and they don’t realize it yet.
WC
A poison pill is an interesting way of phrasing it…Is the poison pill a blue pill or a red pill?
Can you expand upon what you mean by this?
KA
Let me explain. What we learned via executive meetings over the last 2 years with key players in Hollywood Media and others in video is quite simple and absolute — NO media company will use a token to pay for services. PERIOD. NONE. Real world companies have Accounts Payable and Accounts Receivable department procedures and budget forecast. P&L responsibilities cannot operate with a volatile form of money that goes up and down in value, muddied even more by the incredible friction of exchanges, gas fees, trading pairs, etc. This is the hard truth, and frankly one that project teams in 2020 should all be hearing IF they are trying to onboard real world enterprise companies.
As a poignant example, several Hollywood media executives literally “laughed at” a team pitching them blockchain media services when they were told the studio must buy their token to pay for services on the platform. Lack of adoption is crypto’s fatal flaw and while stablecoins have filled some of the gap, it doesn’t solve this industry wide solution. That is why the crypto industry is $241B and the global industry is $127T.
This is not being dramatic, this is where the market is going. At Consensus+Distributed, there was a lively debate about this very issue as the industry waits for its “killer app” to emerge. This notion of a new set of tools for financial inclusion, a digital dollar if you will, is exactly what is required, and it is exactly what the VideoCoin Network is delivering.
WC
From my understanding Kellam, you’re the man when it comes to strategy and partnerships, not just at VideoCoin Network but from previous roles also.
With that in mind, what lessons have you taken from your previous roles that have been applied on VideoCoin Network during your tenure there?
KA
I live in the strategic partnership side, so understand that my context here is one that I took from my 15 years of enterprise software experience in GE and JDA software while implementing software solutions for Ecommerce and Supply Chain. I am all about the amazing new business models we can create in the sharing economy via the blockchain. But at the end of the day, for a start-up to gain traction and thrive — it’s customer, customer, customer. You must deeply understand the business process of your target customer’s pain and then iteratively work to solve problems. As this market matures, and looks to garner actual revenue paying customers, it’s not enough to be a shiny new thing if you don’t solve business problems.
So what problems does the VideoCoin Network solve? Lower Costs and Ease of Use for video infrastructure. Incredibly difficult to build but simple in its requirement. While it’s great that we have used the blockchain to build a decentralized peer to peer cloud service, crypto is anything but easy to use and hence the lack of mass adoption. The VideoCoin Network solves that problem by providing a seamless bridge between the best of crypto with the familiarity, security and ease of use of a dollar based payment system.
It is important to stress that when Everest Launched on the 27th we had 26+software and 60+ microservices — all commercially available and downloadable. Supported by a white label, fully automated fiat payment rails that make onboarding enterprise customers easy, familiar and open. This is the Revolution that the Videocoin Network brings to the industry. We have removed the barriers for real world adoption.
WC
While we’re talking about the ethos of VideoCoin Network and the VID token, can I ask, why did you go down the path of using the token as a reputational token as opposed to a transactional token?
It seems like making the VID token a transactional token would have been a much easier option then a reputational token?
DG
Transactional tokens would have been easy for us, but it would have been impossible for real companies to use. Imagine a Fortune 500 Company based in the US trying to attain ERC-20 Tokens to pay for Video services along with acquiring Ether to pay for GAS. You would have lost the sales opportunity as soon as you started describing what Ether was.
Compare that to our new revolutionary model. Transactions work in Fiat and Reputation works in VID. Those who want to run workers, stake into workers, are more savvy and crypto aware than a CFO at a fortune 500 company. We cannot expect them to acquire VID and use it.
The VideoCoin Network is developed in response to what its customers want!
WORKERS, STAKING, DELEGATORS AND EVEREST
WC
Before we get too far into this topic, can you give us a recap on who workers and delegators/stakers are in the VideoCoin Network ecosystem and what role they serve in the overall functions of the network?
DG
Workers — Those who run VideoCoin Network Worker software. They do a minimum direct stake, set themselves up for slashing and accept video workloads and get paid in Fiat in return
Stakers/Delegators: Delegate tokens into workers, to increase their reputation
WC
I saw that you announced a staking pool of your own.
Can you tell us about that?
HM
Yes. Yesterday we announced the Genesis Staking Program. This is a quick start temporary staking program that will run while our industry first fiat-based staking gains momentum.
The Genesis Staking Program is expected to award 8–10% in non-inflationary VID as a reward which will be calculated based on the amount of time a staker supports the minimal functional confirmation of the network through staking in a given month. Details about the calculations of rewards will be in the program terms that will be published when the program initiates on the 25th and may also be reported by 3rd party staking services.
Now, staking and withdrawing are as simple as sending VID to a delegator address using a VideoCoin Staking wallet, to be released on the 25th. This new pool, the VideoCoin Genesis Pool, is built to allow users to easily delegate tokens to help enable certain basic network functionalities and rewards users with non-inflationary VID tokens in return for staking into it. No new tokens will be added to supply, unlike typical delegated staking programs.
WC
Along with the Genesis quick-start program you are planning on different approach to staking as compared to other crypto projects.
Can you give us some background as to why you’ve made strategic decisions to pay workers/delegators/stakers in fiat as opposed to purely VID tokens?
It seems to me this would be a much more difficult process than just paying out more project tokens like pretty much every other crypto project does?
HM
We’ve heard from every potential customer they want to use a credit card. They will not go to an exchange, set up an account, send money to the exchange, hire someone to trade to get the best price and then send those tokens to the VideoCoin Network while the actual value is going up and down. Our customers are not traders.
I think this is a major flaw in the crypto model, not just us. It’s going to take some time for customers to trust our business model just as it did at salesforce.com when the cloud was new but putting payment friction in the way would guarantee no customers of any size other than a few dollars.
https://www.videocoin.io/rewards/
WC
You mention that you’ve given workers the option to choose as to how much of their rewards they’ll receive in VID tokens and fiat.
Can I ask why this choice was made? Are there any upper or lower limits on this?
I.e. Could I choose to be rewarded in 100% fiat or 100% VID tokens? Are there any limitations here?
If they choose fiat how will they receive the payment? In the form of US dollar? USD stable coin? If they are located in other country how will then receive payments? In mail?
DG
We gave this option to let workers choose what is important for them — Increase in reputation vs. cash flow. You can easily see an up and coming worker pool accepting 100% VID to re-stake that and increase chances of getting more work. Similarly, another worker pool can accept 100% cash if they want immediate cash to pay their expenses.
The beauty and power of our staking program is the flexibility and practicality of it.
People can get cash paid to their bank accounts using our payments provider — Public Mint. The cash is available on the Public Mint blockchain almost like a ‘Digital Dollar’ that can be sent around on that Ethereum compatible blockchain. When you decide to pull out the ‘digital dollar’ from any account, they trigger a KYC process with Public Mint. They can process payments out to any bank, as long as you pass KYC/AML requirements. Based in the country of residence, USD will get converted by your bank.
WC
In your initial token metric revision, you reduced the VID token supply significantly. Part of the tokens you burnt was a huge amount of tokens dedicated towards paying delegator/staking/worker rewards. (approx. 600M tokens burned)
With that in mind, where will the VID tokens come from that will be paid out as rewards, should a worker/delegator/staker choose to receive their rewards in VID?
HM
It’s unfortunate people do not fully understand all the great things we’ve done. Getting rid of inflation is huge and I don’t know anyone else doing it.
For those who want some portion or all of their payout in VID, the VideoCoin Network automatically purchases from the market, at the then-prevailing price, and distributes to the worker when a payment for a job completed is due.
WC
So one burning question I have over the fiat based payments is, how will workers/stakers/delegators actually receive fiat from VideoCoin Network?
Will you require each user to have a US bank account?
HM
Subject to completing KYC checks and processes, each user will have an address and tokenize Fiat will be sent to that address. That Fiat can be sent to anyone else who has a wallet or it can be transferred to any bank, or exchange via our partner Public Mint.
You can literally take the value in any form that you want including sending it to the bank as dollars. Providing an option for the funds to move seamlessly amongst many partners and 3rd party institutions is the maximum in flexibility.
WC
What are the minimum requirements to become a worker on the VideoCoin network?
In both tokens and hardware required…
DG
Token requirements are constantly updated and available here —
It’s presently 50,000 VID, but may be increased by community consensus.
We’ve written extensively about this here —
You can use anything from a Raspi 3 all the way to Xeons with Nvidia Server Grade Graphics cards
WC
At the current price, 50K VID tokens is around $5K USD.
Do you feel this is too high of an entry point in regards to start up costs?
Especially keeping in mind a worker not only needs to fund their worker with these tokens, but also has to provide (and pay for out of their own pocket) computing resources for the worker?
DG
We are considering and reconsidering the amount of VID necessary for staking.
Those that are staking do not have to provide their own working servers they can also place their VID on other staking pools.
WC
How about the minimum requirements for becoming a delegator (staker) on the VideoCoin network?
DG
No minimum requirements for delegators. You can delegate 1 VID.
WC
Do you have any process guides on how to become either a worker or delegator/staker on the VideoCoin network?
DG
Yes, we do on our tutorials page, but we also have a webinar planned for next week where we will go over the whole setup and also answer questions.
Worker
Example of a Worker setup using a Raspberry Pi
Overview of Staking program
WC
How many workers do you expect to be active on the network from day one?
Do you prefer individuals first or large hosting or CDN partners?
I assume that you’ll need workers in place before token holders who wish to delegate/stake and do so for those particular workers?
How soon can you run business on Videocoin Network?
How long it will take to get enough workers to be commercially ready?
HM
Every project has a development cycle. In parallel with our on-going prospective customer acquisition focus, having achieved Everst, we are getting a pool of workers developed first and then on-board the demand to match.
The platform has launched and is ready for prime time, however, with any new revolutionary platform of this magnitude that encompasses decentralized encoding, moving into the cloud — and the arbitrage of compute efficiency, it will take time to ramp up. Stay tuned for announcements!
WC
While delegating/staking seems super simple on the VideoCoin network, becoming a worker seems infinitely more technical. In researching for this AMA, I also found some mixed information as to exactly who workers will be.
Some information indicates this will be more larger scale data centers and the like, selling their unused compute power to process video for the VideoCoin Network, however you then have examples like the one listed above, which uses a Pi for the worker hardware.
My question is, in an ideal world, who do you expect to be workers and what type of compute power will be necessary to have the ability to work videos for the network?
I can imagine that a user running a Pi as a worker on the VideoCoin Network will see much traffic? Is that a correct assumption?
DG
Worker selection is quite comprehensively covered here —
VideoCoin Network is expected to have a lot of workers, both big and small. This means that workers need to be chosen from a pool to make sure that they are qualified and have the capacity to finish the work sent to them.
The worker node runs capacity benchmarks in realtime and establishes how much work a worker can take. Based on that, and stake, a selection is made.
Workers only get a small chunk of a video, which is the part of an overall workload. So irrespective of whether you run a raspberry pi or high end xeon, you can get work done.
With higher compute power, you can accept MORE work as you can finish it up quickly.
WC
Is delegating/staking custodial on the VideoCoin Network?
I.e do I hold the VID tokens required for delegating/staking on the VideoCoin Network in my own wallet?
Or do I need to send these tokens to a VideoCoin Network address and hold them on my behalf while my staking period is active?
DG
No, tokens transfer out.
WC
What are the minimum delegating/staking periods on VideoCoin Network?
DG
VideoCoin DPoS is explained here —
WC
Workers on the VideoCoin network are rewarded for processing videos on the network, i.e their good behaviour is incentivised, however, you also have “slashing” as a disincentive for bad network practices.
In this scenario, if I was delegating my VID tokens towards a worker that was a bad network actor, and as a result is slashed (i.e. tokens are removed from their stake) does this just affect the worker itself? Or does it also flow down to the delegators who are staking tokens to that worker?
DG
Delegators are not affected, the direct stake is affected. In the event of slashing, all delegators are unbonded from the worker.
WC
In a similar scenario, if I delegate my tokens to a particular worker, am I bound by the choice they make to take a particular percentage of fiat or VID tokens? Or do I have that free choice as a delegator/staker?
I.e. If I stake my tokens towards Kellams worker on the VideoCoin network, and Kellam chooses to receive his rewards in 100% fiat, do I have the option to choose to receive 50% fiat and 50% VID, or am I bound to the choice Kellam has made as the worker?
DG
It is up to each worker to decide how they pay out their delegators. In short, the worker decides all rules of delegator payout.
WC
A huge part of the conversation when it comes to crypto and staking is the ability to easily stake tokens on an exchange.
As part of your delegator/staking program, do you have any plans to introduce this feature into the program?
Often we find users who hold tokens and would like to stake on a network, but don’t have the technical ability to do so…Exchange based staking is an easy way for these users to become participants in the network…
KA
So I don’t want to give away all our cool new programs. Suffice to say, just as we were the first project to tackle dollar payments on blockchain to facilitate adoption of real companies, we have a few tricks up our sleeve that we are developing now with a partner.
We will announce this shortly, but just know that we intend to deliver a multi-faceted staking program that allows users to contribute to the network and receive rewards in a variety of ways.
WC
Dev, this is a question for you.
If we were to envision a scenario in which I held 500K VID tokens and I set up a worker on an AWS server.
Say there is only one other worker on the VideoCoin network and they have the minimum amount of tokens, 50K VID delegated to their node. Their worker compute power is the same as my worker.
Based on the reputational system VideoCoin Network uses, in which more delegated tokens = a higher reputation, is it correct to say I would get the option to work all traffic before the other node?
Are there any other considerations that would come into the equation?
DG
No, the worker selection is weighted random selection, so in this case, you will get 60% of all work and the other worker will get 40% of the work. We describe worker selection in great detail here —
WC
To expand on that previous scenario, if the other worker was sick of not getting any work, or just getting the scraps that my worker didn’t touch, and they wanted to increase their delegated stake in order to compete with my node, is it just a matter of sending more tokens to the delegated address for the worker?
If so, how long does it take for these additional tokens to be picked up and the weighting adjusted for the reputation of the two nodes?
DG
Exactly for this reason, our worker selection is weighted random selection, where the probability of you getting selected is weighted on your stake (reputation).
WC
To follow on the previous question, your worker setup consists of a Docker image that you can install on a server.
Is it possible to install this Docker image on multiple servers and connect them up? Similar to how on a traditional PoW network you can add in additional video cards or entire mining machines and they can all work the same jobs?
I guess in a more simplified manner, can you use the Docker image to connect up and infinitely scale up your worker/mining power on the VideoCoin network?
DG
Absolutely.
There’s a ton of open source tech that exists to do this in a heartbeat.
Kubernetes is our favorite, and we do this internally using Kubernetes.
WC
As part of the upgrades happening to the VideoCoin network as part of the Everest release, can you detail what aspects will allow outsiders to look into the VideoCoin network and see some of the things we;ve just discussed in action…
I.e How will I be able to see how many workers are active on the network and how many tokens they are holding? How can I see the work they’re processing and the rewards they’re receiving as a result of said work.
How will I be able to see how many tokens are being delegated to particular workers, new workers and delegators joining the network and etc…
DG
Most of this info is already available on our block explorer —
Some of the things you describe requires additional steps, but can be done with a couple of steps.
THE VID TOKEN & EXCHANGES
WC
Your token release schedule still has one major tranche to be unlocked, an additional 15% bonus for private sale contributors on August 27th…
Firstly, what is the total amount of bonus tokens that will be released on the 27th of August?
Secondly, how many of these tokens do you expect to hit the open market and how many do you expect will be delegated or used for workers?
KA
In conjunction with the VideoCoin Development Association, we have completed all four (4) releases now on our climb to Everest, which amounts to 115M tokens.
You are correct that a final small amount of bonus tokens will be airdropped to our token holders in August as a thank you for participating in the phased climb to Everest. By and large, the vast majority of token holders are holding tokens to participate in the exciting staking program that is going live June 15th.
The interest in the VideoCoin Network’s delegated staking program has been excellent and captured the interest of many who want to help the network enable arbitrage of low cost compute resources across its decentralized network.
WC
There are several other tranches of tokens that will only be unlocked after the first year…This happens on the 27th of August and potentially affects the Service Provider, Advisors, Acquisitions and Foundation tranches.
Is there any update as to how these tokens will be released?
Based on my quick mafs, this is a possible 32m tokens hitting the market as of August 27th 2020.
Ideally for investor confidence, there would be some clarity as to how and when the tokens are released, especially since you have made a point of your staking program being non-inflationary and these tokens have the possibility of inflating the VideoCoin network by over 100%…
HM
At the end of August the VDA will be releasing the 15% bonus tokens due to presale contributors as well as remaining advisor tokens that had been locked up for the first year.
This will total approximately 32MM tokens that will be added to the 115MM in circulation now.
There are no plans at this time to release any additional tokens except for any marketing tokens that will be used to provide rewards for the Genesis staking program.
WC
What will the Service Provider tokens be used for?
HM
‘Service Provider’ tokens are company tokens held by Live Planet which is the service provider building and operating the VideoCoin Network.
There are no present plans for using these tokens.
PARTNERSHIPS & COMPETITORS
WC
Since the big inDemand announcement, we haven’t heard too much from the team on the partnership front.
Is there anything of note that we can look forward to?
HM
Yes. Our community should expect a much more steady stream of exciting announcements now that we have achieved our Everest mainnet.
I am proud to say we arguably have the best Hollywood and technical business development team in the entire industry. Relationships are crucial for early adoption of new technology.
Our strategy was sound if not popular (heard this everyday in Telegram) we spent on engineering and product development — not marketing. Now we have a product to point to and address
WC
Now that you have an actual functional mainnet, how does this change your approach to approaching potential partners of the VideoCoin Network?
Surely this takes these conversations out of the realm of possibility and into the realm of practicality?
HM
I want to make something very clear. When I gave up my job at CNET we were a NASDAQ 100 company and we’re highly profitable and had great deal of respect from the media community. All of that happened because of years of demonstrating that we could innovate and deliver on the promises that we had made.
That’s close for us we had to go through an even more difficult process because just about every security officer at every company revolted over the idea of putting customer data in a “website”. A website was not thought of as something that businesses used but rather a place where media showed news stories and where low priced items were beginning to be sold by companies like Amazon. Salesforce took a number of years before people were comfortable with the fact that their security was sufficient and oftentimes better than the companies who are giving up their enterprise applications. Obviously your sales tools need to run consistently full-time otherwise it will stand in the way of your sales so we needed to demonstrate that we could run consistently in order to be trusted.
The video industry is one of the largest in the entire world. There are many different players with lots of different expectations.
We are doing something in the video market that no one has ever done before. I was the cofounder and second largest shareholder at Salesforce.Com for the first 6 1/2 years. I gave up my job at CNET to spin for naff years helping to get Salesforce.Com off the ground. It took some time for customers to trust putting their data into a website. Security people in companies shut down acceptance of the model making it very difficult to get going. We had to earn trust in our model. When that happened we were on our way to creating the hundred and 160 billion $ company Salesforce. is now.
This situation is no different because we have to convince companies that we can reliably and consistently perform our video operations. Nobody is going to immediately unhook their AWS business process just because we happen to have launched. People need to learn the product and develop trust in the VideoCoin Network but the fact remains this is one of the largest industries on planet earth and it is growing very quickly roughly 25% per year.
Lastly and importantly no other competitor is using computing capacity that is drawn from computers and servers that are otherwise doing no useful work.
WC
As we discussed in the earlier part of the AMA, you don’t really consider yourself to have any competitors in the crypto space, however, I have to ask about what I’d consider to be a competitor of yours, Theta…
KA
I think you need to point out that their business model is to pay people to watch videos and pay content providers for the content. While these announcements may temporarily drive FOMO they are certainly not sustainable.
Look.,..it’s simple. We don’t see them as competitors. To be blunt, these crypto projects have spent millions in marketing to keep crypto followers foaming and excited. Our focus has been building enterprise grade software to tap into the $127T real world economy that uses dollars, EUROS and YUAN to pay for services.
These projects entire tokenomics are built on flawed logic that requires the customer to use the token as payment — with many having 2- 6 Billion Inflationary Token Supply (vs our 265m). Much like Bitcoin, alt coins are never EVER going to be used as payment — and thus tokens requiring their use will never achieve mass adoption. It just doesn’t work for the reasons I shared above.
When a project’s entire tokenomics are predicated and built that you MUST use their tokens for economics, now you are trapped. Now you have built a poison pill. Failing to convince the real world to use their token instead of fiat money, it’s too late for them to try and re-engineer their entire tokenomic model. It would destroy the whole house of cards if they suddenly stripped out the token as payment. It would collapse their entire ecosystem full stop.
VideoCoin Network alone, by engaging enterprise-grade customers in the video/media world, could bring in millions of new users to the crypto space. Our differentiator is this: We use the benefits of the blockchain for low cost algorithmic compute and processing, and the ease and familiarity of fiat currency to remove the barriers to enterprise companies.
CLOSING THOUGHTS
WC
That’s a wrap for now, thanks again to the VideoCoin guys for being here!
DG
I’ve enjoy being here. Until next time, DM me if you have any questions or join us on our official Telegram group.
KA
Thanks everyone for your support and stay tuned!
HM
Thanks everyone.
We’re building something very real and innovative — not just in blockchain but in the larger context of video.
We appreciate all of your support!!!!
VideoCoin Resources
Website: https://www.videocoin.io
Telegram: https://t.me/videocoin
Medium: https://medium.com/videocoin
Github: https://github.com/videocoin
Whitepaper: https://storage.googleapis.com/videocoin-preico/VideoCoin-Whitepaper.pdf
Wolf Crypto Resources
Public Group: https://t.me/WolfCryptoPub
News Channel: https://t.me/WolfCryptoAnnounce
Twitter: https://twitter.com/WolfCryptoGroup
