With the rapid development in recent years, many social platforms now have a huge number of users. For example, Facebook has 2 billion users worldwide. Many e-commerce platforms are targeting at major social platforms since it will greatly reduce the seller’s cost of publicity to spread product info and sell. The social platform itself has enormous user base, including lots of interpersonal networking, therefore more likely to achieve word-of-mouth marketing. However, when it comes to buying from social platforms, there are many layers of middlemen. You don’t know how many layers of middlemen you have paid for, nor how much commission the middlemen get from it.
Middlemen are indispensable in any business pattern because of its role in promotion. If this is the case, can we make the interests of middlemen transparent, and make everyone’s promotion profitable? Through the smart contract system, VDS utilizes its social networking function-the Trust Stamp Network, to form a decentralized business pattern called Blockchain Business Contracts. Blockchain Business Contracts use smart contracts to decentralized the sale of goods and transparentize commissions, so that each consumer can become a “middleman” and get promotional revenue.
Global suppliers can register as merchants on the VDS chain, set up the sales amount of the product and the commission to VIDs in the Trust Stamp System, then release product info through the VAD system to every VID within the ecology. When a certain VID buys product from one merchant, the 12 directly-related VIDs above this VID in his Trust Stamp System obtain corresponding Vollar according to the commission set by the merchant.
There’s no way for consumers of e-commerce on conventional social platforms to figure out the commission of the goods they purchase, and even less likely to receive promotional commissions themselves. Blockchain Business Contracts in VDS makes the middleman’s commission transparent and prevents bad middlemen from earning high spreads. It offers commission rebate to VID under the Trust Stamp System so that all VIDs can share the promotion info under the incentive of commission. For merchants, the consumers become resellers, all VIDs may be part of the sales team. Not only can they find more consumers through a multi-level social network of the Trust Stamp, but also add new members to the sales team. The design of the Blockchain Business Contracts is a win-win for both merchants and consumers.
VDS ecology comes with its own ad-bidding broadcast system VAD, which is also decentralized and free from the content audit from the centralized institutions. The ad-bidding process is completely open and transparent. When the bidding price becomes the highest in history, the ad will become the Top Ad. Top Ad will always display at the very top and get better publicity before the next Top Ad appears. Compared with the complicated auditing and factors of interference from centralized publishing platforms, which has no uniform and fair competition standard, VDS, on the contrary, sets no limit on the content. VAD bidding is based solely on the price. Merchants compete for the ad spot on a fair basis, regardless of other factors. Any merchant can establish his own decentralized business circle without restrictions through the Blockchain Business Contracts coupled with VAD system.
VDS is based on smart contracts and backed by the Trust Stamp Network with huge user groups. Blockchain Business Contracts can be implanted into the Trust Stamp System of every VID, creating a new type of decentralized business pattern. The setting of commission arouses the enthusiasm of each VID, allowing consumers to find larger consumer groups for the merchants and boost product sales. This has never happened in a centralized business pattern. It is precisely because of decentralization that the trust mechanism between people are easily established. VDS hopes to break the bottleneck of the current centralized business pattern and redrew the blueprint of global business layout with a decentralized way of thinking.
quoted for further reference.
Before we continue this discussion, who is Dr. Schupak in this article?
https://bitco.in/forum/threads/merchants-on-the-chain.25824/
