What is Basic Attention Token? (BAT)
The Beginner’s Guide
Most internet users go out of their way to avoid online advertisements, but what if they had a monetary incentive to view them?
Basic Attention Token (BAT) is a cryptocurrency intending to create a virtuous cycle around digital advertising that is equitable for creators and consumers.
Running on Ethereum (ETH) and integrated natively on a custom web browser called Brave, BAT can be exchanged between advertisers, publishers and internet users based on their web activity, and is intended to streamline commerce between all three groups.
Users are rewarded with BAT for viewing ad content, publishers can deliver higher-impact ads and advertisers can be assured their messaging is being viewed by a willing audience.
The end result is a new kind of digital advertising platform powered by BAT.
Users can either hold the BAT, exchange it for fiat or other cryptocurrency, or pay it to support their favorite content creators.
Who created BAT?
In 2017, Brave completed an initial coin offering (ICO) for BAT, raising $35 million in 30 seconds by selling 1 billion BAT. At the time, 500 million BAT was reserved by Brave Software.
Of that total, 200 million BAT was set aside for the Brave team, with 300 million BAT reserved to be sold at a later date to promote the platform.
How does BAT work?
Brave微支付账本 (Brave Micropayment Ledger)
In advertising, eyeballs are money. Rates are paid to advertisers based on how many viewers they can get on their product or service.
But there’s no guarantee those viewers are actually paying attention. Since viewers are being compensated with BAT, the idea is advertisers using the platform can be better assured their ads are being seen and they’re willing to pay a premium for that undivided attention.
Brave pays BAT to users who view ad content as a form of revenue sharing. Users can exchange it for fiat currency or hold it in a digital wallet. BAT can also be traded on exchanges.
BAT is also a finite asset, with only 1 billion BAT in circulation. Further, no new tokens will be created once Brave has distributed the 300 million BAT set aside to encourage user growth.
This means investors can be assured that their tokens represent a known percentage of the total supply of BAT.
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Why use BAT?
To keep the information flowing on the Internet, content creators need to generate revenue.
In an early blog post, Eich acknowledged the importance of a free internet, but said the trade-off is that commercial websites need ad revenue to exist. He said this fundamental “conflict of interest” is to blame for the current cat-and-mouse state of the advertiser-user relationship.
Brave and BAT seek to turn that tug-of-war into a handshake. Advertisers can then be sure they’re reaching an engaged audience who they know they’re not annoying, and users can reap some of the ad revenue for themselves.
BAT seeks to break that cycle of avoidance and mistrust by creating an ad platform that is equally beneficial to advertisers, publishers, and viewers.
Now you're ready to take the next step and buy some Basic Attention Token!