Trustless Through Smart Contracts
Smart contracts are at the core of the RefToken value proposition as they offer an elegant solution to several of the pain-points suffered by the affiliate/merchant relationship, this primary of which (and also the most overlooked) is trust.
Convert me
Conversions have long been a sticking point between brands and affiliates, as understandably affiliates pressure brands to lower the threshold between a lead and qualified lead to the bare minimum, whilst merchants look to safeguard themselves by placing minimum sale criteria into the trigger mechanism to dissuade affiliates from abusing the program. In practice this would involve a casino setting a minimum deposit of X in order for a commission to be paid out. This solution does a somewhat decent job of protecting the casino, but does not pay the affiliate any commissions for any players that deposited <X.
RefToken will resolve this issue by allowing merchants to write their own smart contracts, where the only limit to what can be specified is the ability of the person writing it. In practice this will resolve the above mentioned case by stacking conditionals to ensure the player is a legitimate one this could look something like:
- Made a deposit
- Logged in 3 times
- Wagered their deposit 2 times over
- Player details match electoral register
Show me the money
Merchants have withheld payments from affiliates for as long as performance marketing has existed. The motives behind these vary from well planned out rouge affiliate programs, to merchants simply going out of business or not having the cashflow to pay the affiliate. One of our founders was personally involved in a similar case as an affiliate when a tier 1 poker site they were dealing with was taken down during the infamous Black Friday episode, forcing their company to write off a six figure sum.
RefToken will resolve this issue by committing the merchants tokens in an escrow, and automatically paying them the instant a smart contract’s conversion criteria are satisfied.