While popular advertising networks like the ones of Google and Facebook allow for some extent of consent and control over what ads users see, this functionality is very limited, and a lot of options are simply hidden from the end user (Facebook, for example, collects datafrom the so-called “data brokers” but it took us purposeful research to find information on opting out of these) . Furthermore, it is directly bound with the targeting parameters of each campaign, launched by an advertiser – if an advertiser makes a mistake when defining these, the ad will be broadcast to people who may not be interested in it and may not want to see it.
Solution: The AdEx Profile
As they mentioned earlier in this paper, each and every user, to whom AdEx serves ads, will
have their own profile where they can be as precise as they want outlining their interests and
preferences. This profile will ensure that consumers only see ads that are relevant to them.
For advertisers this means more precise targeting, less opportunities for mistakes when
setting their campaigns, and higher conversion rates.
Traditional ad networks
There are currently hundreds of traditional local and global ad networks available on the market; however, Google and Facebook are the main players there. Both companies support their own advertising networks that are very popular among advertisers because of the large amounts of data both Facebook and Google collect about the end users.
Decentralized ad solutions
А couple of other similar projects related to advertising with smart contracts have been announced recently: Brave Software’s Basic Attention Token (BAT), NASDAQ’s NYIAX, qChain, adChain. While all these ad exchanges come from strong teams, the truth is we are all sailing in uncharted waters here. This is why it is extremely important to have exceptional understanding of both cryptography and ad tech, as well as to stay as open in possible in terms of platform and device availability.
Once the AdEx is fully operational, it will kick of with Stremio as the exchange’s first publisher. The expertise in the video entertainment industry that we have will help us quickly attract other similar publishers looking for an efficient way to monetize. Advertisers will be attracted by the platform’s merits – clear and transparent reporting, limited to no possibility of ad fraud, cross-platform/device availability, exceptional user targeting, etc.
Within the AdEx ecosystem, the AdEx token (ADX) will be used internally to buy or sell advertising space and time. Advertisers would be able to create ads, and then place bids for them, setting the bid in ADX
token. The advertisers may bid for a specific number of impressions, clicks or conversions (e.g. sign-ups, purchases, etc.). Once the Publisher accepts a bid, the token will be frozen until the Publisher proves that they have completed the goal. When that happens, the token is transferred to the Publisher’s balance.
The architecture of the AdEx Core
● ADXToken: the ERC20 token used to trade advertising space;
● ADXPublisherRegistry: handles information about publishers, such as accounts and individual websites/apps;
● ADXAdvertiserRegistry: handles information about advertisers, such as accounts and individual campaigns;
● ADXUserRegistry: handles information about end users and their legitimacy;
● ADXExchange: handles the bidding, bid accept/execute, payment processes; once a bid has been accepted, it locks the ADX tokens until both publisher and advertiser have successfully confirmed the execution of the bid, after which it unlocks the ADX tokens and transfers them to the publisher.
Jul-11-2018 09:06:49 PM