What is Basic Attention Token (BAT) ?
The Basic Attention Token (BAT) is a brand-new token in the digital advertising industry. Through an open platform, it allows publishers, advertisers, and users to benefit mutually.
According to their website, ‘The Basic Attention Token is the new token for the digital advertising industry. It pays publishers for their content and users for their attention, while providing advertisers with more in return for their ads’.
Brendan Eich, who co-founded Mozilla and Firefox, created the Basic Attention Token (BAT) to improve the capability and security of digital advertising through the use of blockchain technology.
Who created BAT?
Brave Software’s founder is Brendan Eich, whose resume includes creating the JavaScript programming language and co-founding the Firefox web browser.
In 2017, Brave completed an initial coin offering (ICO) for BAT, raising $35 million in 30 seconds by selling 1 billion BAT. At the time, 500 million BAT was reserved by Brave Software.
Of that total, 200 million BAT was set aside for the Brave team, with 300 million BAT reserved to be sold at a later date to promote the platform.
Primary features of Basic Attention Token
- It is a blockchain-based system built on Ethereum.
- It tracks the user’s time and attention on websites through the Brave web browser.
- The native token for the Brave browser is BAT. It focuses on privacy and blocks trackers, cookies, and other malware. So, the browser does not track sensitive data, but publishers can generate revenue through the users landing on their page.
Pros & Cons of Basic Attention Token coin
Pros of Basic Attention Token (BAT)
- The Brave browser aims to block malware, trackers, and invasive cookies that invade the user’s privacy.
- Users see fewer ads and can earn BAT for their attention.
- In this age of diminishing ad revenue, it can be an alternative source of income for publishers.
- The developers of the platform have introduced various security measures into the browser and digital token system.
Cons of Basic Attention Token (BAT)
- Users can use BATs to access premium content. However, it is not clear about the nature of the premium content.
- Although there are not many players in the decentralised ad market, BAT cryptocurrency faces stiff competition from giants such as Google and Facebook.
- There are higher chances that it might attract users who are motivated to earn quick cash and manipulate their views and may not intend to buy or use the product.
How does BAT work?
All BAT transactions settle on Ethereum, a public blockchain that allows developers to create and deploy custom cryptocurrencies and applications.
Brave Browser
BAT operates on a web browser called Brave, developed by the team that created the token. Brave is a free browser, which claims to load 3-6 times faster than competing offerings, as it only serves advertisements if users opt-in to seeing them.
Brave browser users can sign up for the Brave Rewards program, which allows them to be paid in BAT for viewing ads or to send BAT to content creators whose work they want to support.
Brave’s default setting is to block trackers and ads. It only turns on ads if the user opts in. Brave then serves up native ads from trusted partners, which users are rewarded in BAT for viewing.
Brave Micropayments Ledger
To track the movement of BAT, Brave uses the Brave Micropayments Ledger.
The idea is that the Brave Micropayments Ledger will allow advertisers, publishers and readers to enter into smart contracts to move payments between each other.
Brave is exploring the use of zero-knowledge proofs for its blockchain, with the goal of providing anonymity to stakeholders in online media transactions.
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Cryptocurrency