When people think of fraud they usually don’t associate advertisers as victims of deception, but rather the other way around – advertisers use their magic to get the public to buy things whether wanted, needed, or, often the case, not needed at all.
While advertisers do a good job of selling and promoting products to the masses, the industry has long suffered from fraudulent data at the hands of third-party providers, which has led to billions of dollars in revenue fraud.
According to a study commissioned by British advertising company WPP, “The amount of global advertising revenue wasted on fraudulent traffic, or clicks automatically generated by bots, could reach $16.4 billion in 2017.” In an attempt to transfer trust to blockchain technology, MetaX has built a platform that allows the digital advertising supply chain to produce auditable and transparent results, thus reducing fraud significantly.
Working with Ethereum-based ConsenSys, MetaX developed adChain, a blockchain-based protocol that powers MetaX’s decentralized advertising applications.
How It Works
According to information provided to ETHNews, MetaX generates adChain tracking beacons that monitor an ad campaign’s data and stores it on the Ethereum blockchain in a secured and decentralized manner. This ensures that all parties involved in the advertising campaign’s supply-chain can trust the data.
By implementing state channels into MetaX, users are able to track, secure, and store data in real time through the use of cryptographic signatures that verify digital advertising data and impressions. This process identifies fraud that can then be blacklisted in real time at a protocol level, neutralizing false information before significant damage can take place. The MetaX platform allows users to access the adChain protocol in a simple and easy-to-use method, similar to how existing industry solutions work. MetaX implementation requires zero changes to existing systems or deep integration, enabling interoperability and easy adoption by the digital advertising ecosystem.
AdChain also includes malware detection and prevention as well as cryptographically secure event processing, which allows advertisers to execute a “massive transaction volume while maintaining integrity and security of their impression data.”
Essentially, advertisers and publishers using MetaX will be able to discern authentic advertising clicks and impressions, from the false responses executed by bots and other fraudulent entities. The transparent properties of blockchain technology will provide a level of unprecedented insight and authenticity to the marketing data associated with ads and other campaigns.
What It Looks Like
MetaX, like many current technologies, will operate behind the scenes so that end users will have the same experience that they do now.
According to MetaX co-founder, Ken Brook:
“It’s likely general internet users may never know of adChain just like few people outside of the digital advertising industry know of current ad protocols … or TCP/IP for that matter. However, if adChain is sufficiently adopted, then the general end user will be using applications with open and customizable news feeds and will discover content by using non-proprietary search algorithms. The user may never hear of adChain, but one thing is certain, the quality of free content and the user experience will be significantly better than what it is today.”
In a previous interview with ETHNews, Brook discussed why it is crucial to democratize the digital advertising industry so that individuals can retain their personal data and determine for themselves how it is used and sold. Under current models, corporations like Facebook and Google store and collect user data in centralized stacks that are siloed and un-auditable, and hoard the profits generated from this information that is valuable to advertisers. Additionally, Dapps built on adChain may allow everyday people (ad consumers) to earn revenue by supplying advertisers the information they need directly, without involving third parties.
MetaX is currently undergoing a private beta testing phase with a select few companies. More information can be found at http://www.metaxchain.com/.