While the world already seems to drown in the amount of cryptocoins, some Dutch guys came up with their alternative. The so-called Adcoin is the new online coin for the advertisement market. Founder Niels-Jan van der Hoek and his colleagues said to have found a perfect market for this.
Most of the advertisement agencies are currently paying invoices with credit cards and traditional currencies. These payment methods all have high transaction and processing costs, which eventually are paid by the advertisers.
Adcoin is, obviously, comparable with the already well know Bitcoin. It has low transaction costs and is easy to use. However, unlike Bitcoin, Adcoin is not as volatile as the Bitcoin. The coin should prove its value by generating clicks, leads and customers within advertisement networks such as Google AdSense. Bitcoin and other crypto currencies are currently very popular among traders, leading into a lot of fluctuations in value. Of course for advertisers this is not desirable and Adcoin offers a solution als Niels-Jan states.
With a large initial value of 60 million Adcoins, the founder aims for a stable rate for the Adcoin. But of course the value will rise as the coin is more thoroughly used. This is exactly where the company aims to make a profit. The company will hold a small amount, used to improve the platform.
Currently big platforms such as Poloniex en Bittrex are looking at the coin and partnerships with big firms in Amsterdam are established. According to experts Adcoins benefits from a stable rate, otherwise advertisers are not going to pay with the coin. But they are also sceptical, currently a proliferation of cryptocoins is happening and it is hard to establish a stable use market for it.
Although the Adcoin sounds like a stable solution, I think it will be hard for the company to become the next gen payment method for advertisers. I think that in order to be successful you need a big pool of advertisers accepting the coin. Also, it will be good for the Adcoin if some big firms using a lot of advertising to acquire the coins to pay with them to pay for advertising. What do you think? Is this another currency waiting to fail or is this going to be the new way advertisers are going to pay in the near future?
