Blackbird: Eat-to-Earn Mobile App

Summary

The video discusses Blackboard, a crypto-powered platform aimed at supporting local restaurants through an 'eat to earn' model. Users earn tokens by dining at participating spots, which can be redeemed for perks. While the platform has faced challenges like token volatility and system exploitation, the speaker remains optimistic about its future. They highlight Blackboard's potential to create sustainable business models for restaurants and enable customer loyalty programs. With future features such as prepaid menu items and integrations with payment systems, Blackboard could help restaurants thrive in a competitive market, shifting the focus from pump-and-dump crypto schemes to real-world value.

Takeaways

• 😀 Blackboard aims to help restaurants increase engagement and revenue by rewarding consumers with Fly tokens for dining, creating a more sustainable business model.
• 😀 The Fly token faces tokenomics challenges, as users may expect its value to increase and not spend it for perks, or may avoid earning if its value decreases.
• 😀 To mitigate volatility, there are discussions about implementing a dual-token system, where Fly is an in-app currency and another token absorbs price fluctuations.
• 😀 A problem with the current incentive structure is that users can exploit the system by spending small amounts at certain locations and earning the same amount of tokens as higher spenders.
• 😀 Blackboard is currently limited to New York but aims to expand nationwide, with hopes that broader access will shift market sentiment positively.
• 😀 The app could evolve into a broader hospitality platform, offering prepayment for meals and integrating loyalty programs at bars and clubs.
• 😀 Blackboard is exploring bonding curves, which would allow restaurants to sell memberships at lower initial prices, with costs increasing as demand grows.
• 😀 Some restaurants are using Blackboard to raise funds before the token issuance, as seen in the case of Gertrude, which raised $60,000 to help save their business.
• 😀 There are plans to undercut traditional credit card payment processors by offering Fly payments with a significantly lower fee (around 1%) for restaurants.
• 😀 Early adopters in New York are enthusiastic about Blackboard's potential, but there is skepticism from people outside New York, questioning if it's just another Ponzi scheme.
• 😀 The team behind Blackboard is solid, with connections in the restaurant and hospitality industries, and they aim to provide real-world utility for crypto in the restaurant space.

Q & A

What is the primary purpose of Blackboard as described in the video?

Blackboard is a platform designed to help restaurants and businesses by offering a 'eat-to-earn' system where users earn Fly tokens by making purchases, which can be used for various perks and rewards. It aims to create a sustainable business model for family-owned restaurants.

What problem does the speaker identify with the Fly token’s value in the app?

The speaker highlights a concern that if people expect the Fly token to increase in value, there is little incentive to spend it within the app. This mirrors the Bitcoin problem, where people are less likely to use it as currency if they believe it will appreciate in the future.

How does the speaker propose addressing the token value problem?

The speaker suggests implementing a dual-token system, where one token could be used for in-app purchases, and another could help absorb the volatility of the Fly token’s price, ensuring a more stable value.

What is the issue with the current reward system for Fly tokens?

The issue is that users earn the same amount of Fly tokens regardless of their spending, leading to exploitation of the system. For example, someone spending $5 at Upside Pizza would receive the same amount of tokens as someone spending $100 at another restaurant, which undermines the incentive mechanism.

How has Blackboard responded to users abusing the reward system?

Blackboard has responded by banning users who appear to be exploiting the system, such as those tapping in multiple times in a day without making purchases.

What other features does the speaker see as potential additions to Blackboard in the future?

Future features include the ability to order meals ahead of time using Fly tokens or stablecoins, lower transaction fees for restaurants, loyalty programs, and integrations with bars and clubs. The platform is also exploring a bonding curve mechanism for memberships.

What is the significance of Blackboard launching on the Base chain?

The launch on the Base chain is significant because it allows Blackboard to operate within a regulatory-compliant, centralized exchange ecosystem, like Coinbase. This makes the platform more appealing to developers and users, especially in terms of transaction security and adoption.

What is the concept of a 'bonding curve' as discussed in the transcript?

A bonding curve is a pricing mechanism where the price of a membership or token increases as demand rises. Initially, when fewer people buy memberships, the price is low, but as more people purchase, the price increases, which can create a sense of exclusivity and reward early adopters.

What potential impact does Blackboard have on the future of the restaurant and hospitality industry?

Blackboard could revolutionize the restaurant and hospitality industry by helping businesses raise funds through memberships and tokens. It offers restaurants a way to connect with their loyal customers, generate recurring revenue, and reduce reliance on traditional payment systems with high fees.

Why does the speaker believe Blackboard has long-term potential despite current challenges?

The speaker believes Blackboard has long-term potential because of the solid team behind it, its innovative use of tokens to incentivize real-world behavior, and its ability to adapt to challenges over time. As the platform expands and stabilizes, it could become a widely used tool in the hospitality industry.