It’s not uncommon to meet a victim of the innovation world. Someone with a great idea, but unable to find the necessary investors or the appropriate platform or help. Eventually the idea either dies, or is picked up by a large conglomerate, and the initial entrepreneur is left behind.
This isn’t an uncommon problem because the existing tools in the crowdfunding and innovation marketplace are woefully inadequate. Entrepreneurs have difficulty at almost every turn – finding investors, marketing their products, and finally getting sales – its all difficult. In fact, 29% of startups fail simply for lack of investment.
Decentralized partnerships
However, a new Blockchain based platform has appeared on the horizon, promising to solve the issues that innovators face in the current marketplace. Crowdholding, a two year old startup, is creating a new decentralized platform where entrepreneurs, investors, and consumers can work together to create the next major innovations.
The platform is a peer-to-peer validation and investment system designed to allow supporters from anywhere in the world to access and support innovative thinking. Supporters can offer feedback, give criticism, and voice their opinions. The power of the crowd – to validate, test, and invest in products – can be put to work to help build new and innovative value propositions.
Best of all, companies not only receive from the public through responsive interaction (the ‘crowd’), but are also able to give back to the public through an incentivized platform. By offering incentives, companies are able to create simple and direct pathways for consumers to participate intellectually and financially, and receive rewards for their participation.
The dynamics
The dynamics of the system are unique. Within the Crowdholding ecosystem, companies are free to release their products for public consideration. With the release, companies can offer some percentage of earnings as a reward for participants. The ‘crowd’ analyzes the product, provides feedback, and offers ideas. In return, the company offers the contributors the pledged percentage, and the ‘crowd’ earns, even as it evaluates.
For the crowd, the platform offers some excellent benefits. Participants can have an amazing portfolio of products they have directly influenced. Further, rather than simply free testing and evaluation, participants can receive monetized rewards through YUPIE tokens, the cryptocurrency from the platform. Finally, crowd participants have first access to new products before the market is able to grab ahold.
For businesses, there’s much to be gained as well. First, products undergo rigorous testing in a simple format. Ideas about the product, market feedback, and new enhancements can be added in order to dramatically improve the salability of the concept. Further, the platform offers business owners a means of nearly free advertising, as real consumers are made aware of the product in a direct and meaningful way.
The way forward
For many entrepreneurs struggling through the muck of the startup world, hope is hard to come by. But the power of Crowdholding promises to bring consumers and innovators together in a whole new way. By providing a vehicle for helpful and incentivized interaction, Crowdholding promises to be the seedbed for the best up and coming products.