The bounty campaign is a type of offer that is made by startups or developers which gives participants the ability to receive both compensation and recognition by engaging in marketing tasks, discovering glitches and or enhancing a service or product. Bounty campaigns are well suited to Initial Coin Offerings and provide a number of key benefits.
Bounty campaigns can be broken down into two broad categories, which are pre ICO bounties and post ICO bounties. The primary purpose for pre-ICO bounties is to create buzz and awareness regarding the offering of tokens for a startup. Therefore, the pre ICO bounty is almost entirely geared towards marketing. The post ICO bounty is designed to enhance a service or product by receiving feedback directly from end users.
The bounty campaign will usually give rewards to “bounty hunters” who perform a variety of tasks beneficial to the product, by issuing tokens or actual currency. Rewards can be given for things such as discovering and reporting bugs (in software), performing translations, improvements and managing the community. When bounty campaigns are properly initiated, you will receive a large number of submissions, which can sometimes be overwhelming for startups. It is also critical for these campaigns to be secured against scammers or hackers.
A lot of startups don’t have the liquidity they need before their Initial Coin Offering occurs. Furthermore, the traditional avenues of building awareness, such as banner ads and press releases, are costly and sometimes questionable in effectiveness. Bounty campaigns only require startups to use a small percentage of tokens, which typically range from .5 to 1 percent. It is eliminates the need to spend huge sums of money on traditional marketing and advertising which is often not effective.
Bounty campaigns have also been found to be extremely effective when it comes to growing a community that is loyal and dedicated to a service and product. Startups may use bounties for engagement with possible customers in a manner that is far more fun and interactive than past methods. The costs of the bounty campaign will differ depending on various factors, such as campaign duration and the bounty tasks which are offered. Managing a bounty campaign requires manually checking submissions as well as working with the community, which takes up a considerable amount of resources and time.
At Blockchain Developers we’ve established a platform which allows the entire bounty management system to be automated. This means the management costs for startups that use it will fall precipitously. A number of extremely successful ICOs have utilized automated bounty systems before selling their tokens, with great success. Our management platform is completely decentralized and as such allows organizations to perform bounty campaigns and distribute rewards to participants with ease. We can assist you in preparing, initiating and then managing your bounty campaign in a manner that is effective and profitable. Contact us today to learn more about our service.