Messari Teases Novel Registry for Branded Currencies — A Sign of Things to Come for DigitalBits
Messari, an online database providing data insights, pricing, and research for the blockchain industry, recently announced the addition of DigitalBits to the Messari Registry. The newcomer commits to transparency via regular project updates, joining the likes of Blockstack, Maker, Zcash, and Polymath.
DigitalBits is an enterprise-grade blockchain protocol specializing in consumer digital assets, namely branded currencies. Assets such as loyalty points and rewards are a mainstay in consumer-brand interactions. Over the years, they have played a vital role in driving consumer behaviour, creating relationships that extend past the point-of-sale. DigitalBits looks to integrate the points economy into the decentralized world, bringing newfound benefits of liquidity and fungibility to an otherwise stagnant market.
Today’s branded currencies are subject to severe limitations. Many points programs are unable to communicate with one another, limiting the flow of value between users. Users hold points that do not apply to goods and services that they desire, with limited means to exchange or leverage this value. The result is a buildup of idle capital. DigitalBits’ asset tokenization features allow these points programs to interact with one another, enabling out-of-box interoperability, and facilitating the seamless transfer of value between network participants.
Messari notes that as the DigitalBits ecosystem develops, it may explore the buildout of a novel registry to accommodate branded currencies together with the XDB Foundation. Considering the global scale of the branded currency ecosystem, this registry could conservatively house thousands of assets, spanning numerous programs. As these legacy assets migrate on-chain, the need for a verified registry solution for branded currencies arises. This novel registry would provide a standardized framework for organizations leveraging branded currencies, certifying asset legitimacy, and clearly outlining characteristics such as asset issuance and organization identity.
At the same time, these developments would introduce a new approach to stablecoins. Existing solutions to cryptocurrencies’ volatility problem rely on seigniorage algorithms or fractional reserve schemes. The DigitalBits ecosystem allows household names to deploy their own stablecoins, leveraging brand recognition instead of complicated token economics.
Blockchain protocols will slowly build their way into our lives. Years from now, many of today’s systems will operate on-chain, with billions of everyday people actively engaging with them, whether they know it or not. The points economy, on the other hand, is already enormous and pervasive. In 2017, Americans held 3.8 billion unique loyalty memberships across a population of only 327 million — an average of 11 memberships per person. The intersection of blockchain technology and the points economy requires a solution that provides transparency and security. As DigitalBits amasses hundreds of branded currency programs within its ecosystem, there is no doubt that the leading provider of contextualized blockchain information will be there every step of the way.
