3.2 YappaFi Proposition & Value Play

SOCIAL MEDIA INEFFICIENCY & PROBLEMS

YappaFi is a token of exchange across all parties, operating in a secure and consensual manner. The service is accessible via mobile or web browser.

Users are able to opt in and provide consent for their data to be used and shared & grant targeting permissions to high relevance & quality targeted ads, in return for rewards distributed in return for authentic content and viral engagement.

For publishers; an improved revenue stream with higher user engagement and verifiably authentic content and conversation is a large incentive to adopt the service and integrate its usage.

Advertisers benefit from high-fidelity, authentic audiences and lower levels of wastage by bypassing bots to connect with users who consent and want to receive good quality adverts.

“If the product is free then most of the time you are the product“ (9)

After all Data is the new oil (10)

Publishers Problems

A significant blow for publishers came in the form of the June 2020 iOS 14 update. The iOS 14 update meant that users would need to give permission to collect and share data—and with many users expected to say no, it made it difficult for advertisers to rely on Apple's Identifier for Advertisers (IDFA) tool that allows ads to be tracked and targeted. A practical example of this is Facebook (Meta). (11)

Publishers continuously lose billions in revenue as fraud and the use of bots continues to increase.

In the first quarter of 2022, Meta took action on 1.6 billion fake accounts, down from 1.7 billion in the previous quarter(12).

In the first quarter of 2019, a record figure of approximately 2.2 billion fake accounts were removed by the social media platform. Meta defines a fake account as one that is created with malicious intent, or to represent a business, organization, or non-human entity.(13)

These events are significant, though may still be relatively mild when compared to the looming problem of machine learning and artificial intelligence, the scope of which is yet to be fully estimated and experienced.

The ability to synthesize hyper-realistic conversations and create art work and deep fakes indistinguishable from human output will be a formidable challenge in the near future.

The problem here for publishers is how can they prove to advertisers that the users and engagement that has been bought and delivered comes from human users that are authentically and organically engaged?

Millions of digital advertising dollars are wasted due to the fact that up to half of digital ads are shown to bots.(14) YappaFi aims to provide a solution.

Users Being Used: 79% of User Data is Across ADS

With users becoming aware of the increasing commodification of their attention, more take to decentralized platforms and alternate web browsers for refuge, using VPNS and ad blockers to attempt to wrestle back control of their online experience. Their opposition; the already crowded publisher corridor of middlemen whose business incentives and KPIs eat further into user data plans and devices battery life. Users often find the ads provided by publishers to be an unattractive hindrance, contaminating their time as they surf the web.

As tracking and targeting ads becomes increasingly sophisticated, users feel that privacy concerns have crossed the line having experienced the phenomena of public or social conversations in the real world being picked up and used as unwarranted targeting offering them goods or services they were not looking for.

This is understandably a cause for privacy concern and these broader circumstantial instances immediately create suspicion and distrust which drives users to continue to seek decentralized alternatives.

It is now the case that 91% of adults agree or strongly disagree that users have lost control of how personal information is collected and used by tech companies. (15)

A study shows that nearly 83% of all traffic to the top 500 websites contains tracking. On average, there are nine trackers on each website and 33 tracking requests per page spying users. (16)