Being a successful graduate of Belarusian State Economic University (BSEU), Maria has acquired competencies in economic and social studies. Given Maria’s previous research working experience, and desire to explore what's really shaping the future, the main research focus is placed on FinTech and Blockchain Technology.
Its common knowledge that direct purchases present higher benefits than deals that are closed through intermediaries in any given marketplace – that is why Blockchain takes Apps marketplace in hand now.
As a matter of fact, when a consumer arrives at the point of direct access to the merchant, or original distributor of a given product, increased benefits become inevitable. Such benefits appear in the forms of reduced costs, assurance of originality of products, lesser transaction risks, etc.
A System That is Ripe for Disruption
One of the major achievements of the implementation of Blockchain technology so far is the effective and convenient elimination of middlemen. This is possible by the introduction of a secure and decentralized platform where product creators and consumers can interact and transact without any form of interruption from the side of a third party.
The Apps marketplace has endured a protracted configuration that is centered around intermediaries. In such a way, developers do not have an effective means to publish or distribute their products to the global audience without the services of centralized platforms. The most popular platforms for this course are the Google Play Store and the Apple Storem, both of which stand as the giant app download centers for the ever-growing mobile technology market.
Regarding rewards and revenue for work done, developers have so far been short-changed – in most cases, they incur charges and fees before their apps can be published on centralized platforms, and also the payment procedures during purchases involve certain risks they must contend with. For instance, there are always exchange rates contingencies and fees between user-store and store-developer, bank transfers fees, the risk of chargeback and the possibility of card fraud.
Benefits of Blockchain Technology
In finding a solution to these inconsistencies, the processing of in-app purchases inside Apps through Blockchain, using the AppCoins protocol, brings several important benefits to the developer:
- Blockchain transactions are secure, transparent and immutable. Therefore, the guarantee of transactions both on the side of the developer and app consumer is assured.
- These transactions are powered by the platforms AppCoins’ Ethereum based tokens on an Ethereum Smart Contract. Therefore, there are no centralized interventions that may render transactions inconclusive and monies missing or stuck in transit.
- Developers receive the money in real-time directly from the user, as the smart contract implements the revenue share between the developer and the store. No exchange rates and fees, everything in real-time and in the same currency.
- Blockchain being public and standardized means that the developer has to integrate the protocol API only once and it will work with all App Stores that follow the protocol. The protocol is already adopted by Aptoide (the largest independent App Store with 200 mln users) and is expected to be adopted by others soon.
- Overall, given the efficiencies of using the Blockchain, the revenue share can be much better for the developer: instead of 70 percent of Google Play or Apple App Store, the developer receives 85 percent with Blockchain based AppCoins protocol.
Change is Inevitable
There is no doubt that the existing centralized platform has been of immense benefit to humankind as a whole. However, it is only natural that superior systems will eventually overtake existing and traditional patterns whenever the time is appropriate.
The Blockchain is a disruptive technology, which effect is currently felt across various industries and marketplaces. Experiencing this same disruption within the apps marketplace is a development that was meant to be and the key players within the system have all chances to gain whatever benefits with its implementation.