BitClave, a Silicon Valley startup, is targeting the $550 billion global advertising market with a blockchain-based search engine that gives users control over their own data. Founder Alex Bessonov ra
BitClave, a Silicon Valley startup, is targeting the $550 billion global advertising market with a blockchain-based search engine that gives users control over their own data. Founder Alex Bessonov ran security for LG Electronics before starting BitClave in 2016. His mission was to use smart contracts to rebuild trust between businesses and customers.
"We're building a decentralized search ecosystem and we aim to disrupt a $550 billion industry dominated by Google and Facebook," Bessonov told MiningPool.
BitClave's product, BASE (BitClave Active Search Ecosystem), functions as an open-source search alternative. Consumers and businesses interact without intermediaries. The network itself manages the connections. Instead of companies paying middlemen, they send personalized offers straight to consumers who sign up for the service. Users can record their search history and personal data on the blockchain through the BASE app as they shop and browse.
When a user's demographic matches what an advertiser will pay for, they earn tokens. The blockchain records each person's data in encrypted form, creating a unique "fingerprint" or ID with private keys that remain anonymous. Those who opt into BitClave's BASE can give third parties access to their data in exchange for CAT tokens—Consumer Activity Tokens built on Ethereum. Holders spend CAT at retailers that accept the cryptocurrency.
BitClave already negotiates with major online retailers to expand the BASE ecosystem. The startup targets one million searches per month in coming months. Bessonov serves as a mentor at Tim Draper's Draper University, and BitClave has agreed to give free CAT tokens to students enrolling in a new blockchain module this fall. The company plans workshops teaching students how the tokens function and how to set up wallets.
BitClave joins a growing group of startups trying to overhaul digital advertising through blockchain. Brave, a web browser, pulled in $35 million in less than 30 seconds during its initial coin offering earlier this year for the Basic Attention Token (BAT), which operates on Ethereum. Brave is building an ad network around BAT, where users pay publishers with tokens based on time spent reading or viewing pages.
