History has shown that high-functioning markets move towards efficiency and cut out the middleman along the way. That’s why decentralized marketplaces are the marketplaces of the future. Due to the proliferation of the blockchain, developing decentralized markets has become significantly easier. Here are five decentralized markets leading the way.
OpenBazaar is a decentralized marketplace that allows users to set-up online shops free of charge. Before using OpenBazaar, users must download the software–which acts as a web browser–specifically designed for the marketplace. By running on a peer-to-peer network, OpenBazaar has removed the middlemen, and shop owners have complete control over pricing and general operations. Users can also buy products using different mainstream cryptocurrencies, such as Ethereum, Litecoin, and Bitcoin. An additional escrow feature on the platform allows users to place their money in a holding location and is only released once their items have been delivered.
DACONOMY is the world’s first decentralized ecosystem and platform for the exchange and monetization of multi-protocol data. The company aims to increase participation within the data economy by enabling individuals, companies, and organizations of all sizes to monetize their data. On DACONOMY’s platform, the DMY token is used as a medium of exchange and represents the data being bought and sold by stakeholders. Data creation, collection, and analysis are growing rapidly, making data one of the most valuable resources in the world.
What makes DACONOMY truly unique are their AI engines; these high performing engines are the backbone of the ecosystem. They analyze and anonymize data, match buyers and sellers, provide pricing suggestions/dataset value estimation, and much more. A few of the engines include Data Anonymity Engine, Recommendation and Loyalty Engine, Data Request Extractor, Validation Engine, Pricing Engine, and Matching Engine.
ECO Coin – Sustainable Assets
ECO Coin has developed a decentralized marketplace for sustainable assets. The coin is intended to compensate individuals who complete sustainable actions; these actions include eating meat-free meals, switching to a green energy provider, riding a bike, or planting a tree. Individuals are compensated based on the type of ecological activity they do; the idea is that some sustainable actions require more time and energy, and ultimately have different impacts on the world. Once individuals have earned ECO Coins, they can use them to purchase ecological experiences, services, and goods. According to ECO Coin, coins are stored in special digital wallets accessible through a web browser at first then through a mobile app.
Origami is another company that allows people to create decentralized marketplaces. The key offerings of Origami include marketplace, payment, and review. In short, Origami enables companies to create a decentralized marketplace on the Ethereum network. Payments can be conducted using Ethereum or Origami cryptocurrencies, but shop owners can also implement credit or debit card payment systems. Shoppers can utilize an escrow feature that allows them to place their money in a holding location and is only released once their items have been delivered. The final component is review; Origami offers a comprehensive review system that allows users to rate and review each marketplace similar to features seen on Yelp and Amazon.
IDEX is a decentralized exchange for cryptocurrencies that allows individuals to trade ERC-20 tokens effortlessly. IDEX has grown in popularity due to its high transaction volume and user-friendly interface. Blockchain technologies, Ethereum in particular, are enabling the rapid growth of new blockchain companies. Most of these companies are launching initial coin offerings to fund product development. Exchanges like IDEX make it easier for investors and enthusiast to participate in these companies. Users can create an account, transfer in cryptocurrencies like Bitcoin and Ethereum, and then start trading right away.
Decentralized markets have arrived, and they are here to stay. The biggest hurdle for these markets will be attracting participants. Companies like Origami and OpenBazaar will rely heavily on shop owners to drive traffic, while companies like DACONOMY depend on the utility of data to encourage participation. Either way, it’s only a matter of time before decentralized markets disrupt industries across the world.