Back from our roadshow in which we´ve learned a lot about our own project from the feedback we´ve received, we find important to share a brief summary on what Flixxo is, and how it is going to disrupt video distribution in the most awesome way.
A decentralized YouTube
By 2020, 82% of internet consumer traffic will be video. Relying on super high infrastructural costs on storage and bandwidth, only three companies can afford deploying a global video platform: Google, Facebook and Amazon. And they have monopolized the market creating an ecosystem in which authors are not monetizing, users are not in touch neither with the authors they love nor with the content they want to watch, and advertisers are having a bad time trying to showcase to their audiences.
How it is possible that YouTube never faced competition? Because no David can fight the infrastructural battle against such a Go(ogl)liath. The only fair manner of competing against Google is to reduce distribution and storage costs as much as possible. Even better: to get rid of those costs. The only way of doing this is to have a decentralized distribution framework, in which every user lends his storage space and bandwidth to the network. A p2p version of YouTube. A community based video distribution network.
An economy on top of a video distribution platform
We have seen in the last several years that Bittorrent networks have served video content in a compelling manner, on a p2p fashion. The incentive for turning into a distributor of content (or seeder) were pretty clear: if you don´t share, there is no network. Yet the vast majority of users don´t seed. People is selfish, they (we) don´t want to pay for content (isn´t internet content free?) and they don´t want to actively contribute with the network that serves that content. There is a lack of incentives.
Blockchain technologies have brought to us, for the first time in history, the possibility of transferring digital value without intermediaries. We have decided to use blockchain to issue a valuable token called Flixx for incentivizing users to become seeders. I share, therefore I earn. I earn, therefore I watch.
Users need to spend Flixx in order to watch content, and they can earn Flixx back by becoming seeders, distributors of content. They can also ask for advertisement in order to earn more tokens, as advertisers pay for having the attention of their audiences. And advertisers need to reach content authors and buy tokens from them, creating a market, a demand and an organic price for Flixx.
This can be seen as a social economy, in which every social interaction has been turned into a settlement of value. If you contribute to the network, you can take from the network. And the monetization flow is clear and transparent for all the players.
How Flixx works?
c0sm0s is a super famous youtuber who is not monetizing in YouTube and who wants to bring his content to Flixxo. He makes his video available to the network by setting a Distribution Smart Contract in which he has set a price for his content (10 flixx) and a reward for the network (50% of his earnings) He has also set a warranty of 500 flixx for 30 days (every author needs to set a warranty on his/her content by blocking some tokens on time)
Now Lila finds out that his favorite youtuber has uploaded new original content on Flixxo and she wants to give a try. She downloaded Flixxo app on her phone and looks for c0sm0s new video. She needs 10 flixx in order to watch it, but she doesn´t have enough tokens. So she decides to watch a Coca-Cola ad in order to receive 10 flixx, which she spends on c0sm0s video. After watching it, Lila keeps the content on her phone and becames a seeder or distributor.
Many other users try Flixxo and look for c0sm0s content. Every time that one of them retrieves a piece of that video from Lila´s phone, c0sm0s reward her contribution with a portion of his Flixx. Lila is earning tokens for watching more and more content, as well as many other c0sm0s fans that also decided to share.
Coca-Cola advertisers ran out of tokens for showcasing their sponsored content. So they reached out c0sm0s who, at this stage, has earned a lot of Flixx and is very keen to turn them into a couple of Bitcoins.
At the end of the day everybody is happy: the author has monetized, Lila has watched a lot of new videos from his beloved c0sm0s, and advertisers had reached Lila as well as many other users, and they were super keen to fully watch their ad content.
If you have any further question, join the conversation at t.me/flixxo