By
Chimamanda U. Martha
April 25th, 2024
Attrace has now launched its referral marketplace in testnet mode, allowing NFT issuers to test the process of listing assets and promoters to flex their referral capabilities.
Attrace has confirmed it is ready to launch a new concept for the promotional space: a decentralized referral layer. This concept allows anyone to earn commissions for promoting or referring assets on a blockchain, in a completely decentralized and trustless manner. It aims to solve the challenges of legacy referral systems using a validator network that can observe any blockchain, featuring instant payments and no invasive tracking cookies. Attrace plans to go live with Ethereum-based NFTs in the first instance, and plans to add support for other token types (dApps) and platforms (Binance Smart Chain and Tron) in the future.
Existing centralized referral programs suffer from multiple issues, as any publisher or merchant on the internet knows well. Merchants have few, if any, ways of reaching publishers directly. If systems do exist, they rely on middlemen who facilitate the transfer of marketing services and associated payments between merchants and publishers.
There are many challenges with this model. There can be problems with the tracking and attribution of referral sales. Publishers can often wait weeks or even months to receive their payments, and intermediaries will invariably take their own cuts. Furthermore, the process relies on the user consenting to invasive tracking cookies on their browser.
However, according to Attrace, these problems can be completely avoided in the tokenized economy, when promoting tokenized assets on a blockchain.
How Does Attrace Work?
Attrace has developed a network of verifier nodes leveraging all public blockchains and – crucially – using their transactions as a source of truth for confirming if a sale has happened or not. In doing so, Attrace’s decentralized referral layer makes referrals possible for any asset on any public blockchain.
For the first time, the token economy has a completely trustless referral verification system, with no dependency on any other party or any centralized middleware solution. The platform takes away any privacy concerns, as it doesn’t use any invasive tracking like cookies or fingerprinting. Furthermore, promoters can receive immediate payments in cryptocurrency upon conversion.
A referral layer makes an ideal tool for promoting tokenized assets as it is completely decentralized, trustless and with zero privacy-invasive tracking of the kind used by traditional referral platforms. Attrace believes a trustless referral network will be key in the promotion and marketing activities of the future.
Any seller who wants to promote their tokenized asset puts it on a referral marketplace linked to the Attrace Referral Network, setting their reward bounty accordingly. The promoter can then generate links to provide to potential buyers, which offers a cashback incentive in the digital asset’s cryptocurrency.
Once a sale is observed by Attrace’s Verifier Nodes, they automatically distribute any commissions to the promoter and the cashback to the buyer. Transactions are processed immediately by the Verifier Nodes, meaning that the promoter doesn’t have to wait long for their funds to be processed.
Due to the lack of any intermediary, the fees are limited to the network fees of Attrace Referral Network.
The entire setup process for sellers and promoters is effectively non-existent as everything works via their crypto wallets. So, with no onboarding pains, another hurdle has been taken away.
From the point of go-live, any seller of an Ethereum-based NFT can start to leverage Attrace’s referral capabilities, having their sale boosted by a network of promoters. Soon after, the project plans to expand the referral program to other platforms and token types, and to support the referrals of users to decentralized applications.
As a precursor to the live platform, Attrace has now launched its referral marketplace in testnet mode, allowing NFT issuers to test the process of listing assets and promoters to flex their referral capabilities.