This paper outlines the case for the implementation of a decentralized virtual gifting protocol to
incentivize and monetize content generation by individual content creators worldwide. The
protocol may be deployed on various existing content publishing platforms on the internet,
such as YouTube, Instagram, and Facebook, among others, and can be used to complement
conventional revenue streams which are primarily derived from advertising.
Asia Innovations Group (“AIG”) is a leading mobile entertainment company in Asia. It has
demonstrated that virtual gifting system is a highly effective monetization method for content
creators on its flagship live video platform, Uplive. Virtual gifts on Uplive not only drive
significant revenue for global content creators, but also enhance interactions and relationships
between creators and their fans. Since its launch in June 2016, the Uplive community has
rapidly expanded to 20 million global users, and the platform will generate more than USD $100
million in revenue for 2017. In September alone, over 25 million virtual gifts were purchased
and sent on Uplive.
The Universal Gifting Protocol draws from the positive Uplive experience, and seeks to enable
content producers across any content platform to receive gifts from their fans. These virtual
gifts will exist independently from any platform and retain their properties without any
centralized controlling mechanism.
Each virtual gift will be implemented as a smart contract on Ethereum blockchain, enabling the
virtual gifts to exist, be owned, and be transacted independently from any particular content
platform or system. This will serve to reduce the dependency of content producers on their
publishing platforms to secure revenue for their work, and, by extension, reliance on
advertisers. The proposed currency for transacting in the virtual gifts is GIFTO Tokens, which
will be deployed as an ERC20-standard token on the Ethereum blockchain. GIFTO Tokens will
also be used to incentivize and motivate an ecosystem of participants to help create, curate,
and redeem virtual gifts.
The Alpha version of GIFTO Protocol will be tested by end of 2017, and the Beta version is
targeted for testing in Q1 2018, with full commercial launch in Q2 2018. GIFTO Protocol will
leverage on Uplive’s existing 20 mln user base and 60,000 content creators to test, iterate, and
jump-start mass adoption, towards the vision of empowering millions of content creators