IAB whitepaper explores use of blockchain for video advertising

The Interactive Advertising Bureau (IAB) today released “Blockchain for Video Advertising: A Market Snapshot of Publisher & Buyer Use Cases,” an in-depth whitepaper that uncovers strong use cases for blockchain technology in digital video advertising, with a focus on over-the-top (OTT) advertising. The paper acknowledges that blockchain has captured the public’s attention through the skyrocketing growth of cryptocurrency, but also illustrates that the technology is a natural fit for the digital advertising supply chain—potentially enabling increased efficiencies and a more trustworthy supply chain, as well as reducing cost and fraud for publishers and buyers.

The report outlines the foundational structure of blockchain technology, including terminology and then deep dives into blockchain use cases in digital advertising, exploring applications such as FreeWheel’s initiative BlockGraph™, XCHNG from Kochava, Ads.txt Plus from MetaX, and NYIAX (New York Interactive Advertising Exchange). After laying that groundwork, the report spotlights blockchain use cases and proofs of concept for video and OTT advertising, investigating new platforms using the technology, including MadHive’s MAD Network.

Alongside these real world blockchain case studies and insights from executives at the center of these cutting-edge deployments, the report identifies the key advantages of using blockchain for digital video/OTT inventory:

– Low queries per second (QPS) compared to digital display advertising
– High value, premium asset class with well-established standards and transactional processes
– Fewer suppliers, most of whom are known to each other
– Market is still nascent so players are motivated to innovate
– Suppliers have lived through the first phase of automation (programmatic) and are more willing to be transparent, and more wary of intermediation
– Lots of content delivery networks (CDN) are involved in the supply chain, and the CDNs are already peer-to-peer
The paper also cites some challenges to overcome:

OTT inventory is already in high demand with sellers—who, as a result, may be less open to experimenting with new business models and processes

OTT digital video is already a high margin buy, so the inefficiency of multiple intermediaries is less obvious
Typically OTT has a complex set of endpoints, or clients, to serve the advertising to
Shared taxonomies, definitions and standards will be needed to enable “smart contracts” of the future, with flexibility to fix current problems and bring incremental improvements

Nonetheless, the potential benefits for publishers and advertisers far outweigh the hurdles and calls for IAB and IAB Tech Lab members across the ecosystem to join the organizations’ business or technical working groups examining the future of blockchain, to bridge gaps and meet challenges head on.

“Blockchain seems to be the new ‘siren’s call’ in the business world—but there is no doubt that this technology holds tremendous promise for digital video advertising,” said Anna Bager, Executive Vice President, Industry Initiatives, IAB. “This paper is a first of what we anticipate will be many reports from IAB exploring the future of blockchain in digital video. Tapping into our members’ pioneering work and insights from across the ecosystem, we plan to offer thought leadership, guidance, and inspiration that will steer the new course for digital video, OTT, and blockchain.”

read more here: www.digitaltvnews.net

Blokchain-browser makes its way into Youtube

Brave, the blockchain-based browser initiative that raised $35 million in an ICO earlier this year, is making its first major move to build an ecosystem that rewards publishers in a new kind of way.

One of the selling points of Brave is that it uses its token (BAT, Basic Attention Token) to disrupt the current financial norms of online publishing. The company wants to reward users for browsing the web, while also helping to make advertising less intrusive and more relevant. In another important focus, it wants to use BAT to let readers reward content makers whose websites they visit.

That’s where its new push this week is focused on. Brave is giving its users a total of 300,000 BAT tokens — worth around $60,000 — over the next 30 days. Users typically earn tokens by using Brave, but this promotion will put additional credit in there, which can then be given directly to publishers or YouTube channel operators.

That’s a fairly major move given that Brave claims to have one million monthly users and, on the publisher side, over 1,100 websites and 600 YouTube channels as content partners. YouTube was added to the platform last month.

Users will get a maximum of $5 in BAT over the next 30 days — or until the token allocated is reached — which will be added to their Brave payment wallet. That wallet can be used to ‘tip’ websites that they visit based on time spent on the site.

The default, for example, allocates the total tip jar based on the percentage of time that a Brave user has spent on Brave-verified websites and YouTube channels. It can be overridden, however, to allow a user to tip whatever they like to whichever website they like.

In effect, Brave is boosting the wallets of its users with this offer giving them greater potential to tip their favorite content creators, who can convert the BAT into fiat currency.

“It is one of many steps toward dealing users back in for a fair deal, and dealing out the toxic middle players,” Brave CEO Brendan Eich, who was formerly in charge of Mozilla, told TechCrunch in a statement.

“We are moving from good-will contributions to user grants to private ads that share the bulk of the gross ad revenue with the user, without any targeting or tracking by remote parties (including Brave),” he added.

read more here: techcrunch.com