This interview is part of our new Blockchain In Advertising series, where we interview the world's leading thought leaders on the front lines of the intersections between blockchain and advertising.
In this interview we speak with Artem Chestnov, CEO of Ubex AI, to understand how his company is using blockchain to transform the advertising business, and what the future of the industry holds.
1. What's the story behind Ubex AI? Why and how did you begin?
AC: The inception of Ubex is more than a story, it is a true journey. It all began with the realization that the modern online advertising market is overcrowded with intermediaries. That presents a number of problems for all market players, not the least of which is the inflation of advertising costs and the prices of goods and services for end users and consumers. Myself and a few of my closest friends, we have been in the advertising industry for years and we knew the profound problems of the market. The advent of blockchain technologies with their transparency, speeds and scalability allowed us to implement what no one had ever done before. We decided to alleviate the problems of the industry using these innovations. The expertise of our engineers and programmers allowed us to implement a truly multifaceted approach to advertising on the Ubex infrastructure. The launch of our crowdfunding campaign was the logical next step after our plan had been drafted, because Ubex is not just for advertisers and webmasters, it is for all users of the online space, everyone who has ever seen online advertising and faced either irrelevant or intrusive advertising. We started out with good intentions for the industry and we intend to implement them for all market participants.
2. Please describe your use case and how Ubex AI uses blockchain:
AC: One of the key use cases in Ubex is the use of smart contracts on the Ethereum blockchain for data miners. This is the basis of our structure. It is an extremely simple concept. The webmasters and publishers grant us data on the users who visit their websites and other resources, and in return, we give them monetary rewards. It is a mutually beneficial approach, as the webmasters have an intrinsic interest in monetizing visits to their websites and we receive data to improve the accuracy of our targeting. The users end up winning as well, since they will be receiving relevant offers. Everything is transparent on the blockchain and the UBEX Token is used when launching international advertising, as it helps save on cross-border commissions between DSP and SSP relations.
3. Could you share a specific customer/user that benefits from what you offer? What has your service done for them?
AC: An example is that of launching an advertising campaign. There are many large advertisers, for example on the crypto market, who want to launch advertising for their projects around the world. But they have a problem with doing that, since there is no single entry point. They have to order advertising through hundreds of advertising agents and convert their crypto budgets into fiat, thereby losing a lot of money on commissions. We, on the other hand, accept cryptocurrencies as a means of payment and thereby give projects and other integrated crypto market participants the opportunity to run advertising around the world. It is a simple concept of forward-looking thinking. Sooner or later many more traditional advertisers will be turning to cryptocurrencies as a means of payment with the advent of more supply fitting their needs. Currently we are dealing with the American, European and Asian markets.
4. What other blockchain advertising use cases are you excited about?
AC: One of the interesting cases we have been turning our attention to is the ratings of publishers and webmasters on the blockchain. We are aiming for full transparency of all market participants and operations. If the rating of SSP and DSP is low, we disconnect them from the RTB ecosystem. We want only highly rated and reputable players to be part of our system.
5. Where will Ubex AI be in five years?
AC: In 5 years the platform will be fully deployed and operational, a number of new features that are not even thought about will appear. Neural network will gain more than enough data to produce best in the world analytical results to optimize budgets, ad space and attention span of the consumer.
Given our current development and growth rates, we project that in five years, we will occupy 60% of the cryptocurrency programmatic advertising market, and up to 20% of cross-border advertising markets.