The untapped potential
Human impulses can drive adoption in various industries, including the adult one.
So far in 2022, PornHub, the biggest adult streaming platform, is the fourth most searched word in Google, right below YouTube, Facebook and translate. Xvideos, the second most-popular adult platform is in the 11th position: more searched than Instagram, NBA and Google (source).
Moreover, as the buzz around metaverse gains momentum, searches for virtual reality (VR) adult content have risen 115% in the last five-six months, while the VR adult content market will increase from $716 million in 2021 to $19 billion in 2026, indicating that the most recent spike in searches may just be the beginning of an increasingly mainstream use for VR technology (source).
This market is growing fast. Globally, the Digital Adult Content market is expected to expand its roots in the global market at a promising Compound Annual Growth Rate of 16.2 % between 2022 and 2032. Today valued at US$ 44.8 Bn (2022), it is likely to reach US$ 201.0 Bn by 2032.
The current challenges
Despite its grow, a number of issues are present nowadays that act as bottlenecks.
Firstly, a lack of security when paying for goods or services has been highlighted by numerous fraudulent platforms being created on Web2 which act as credit card drainers when credit card details are inserted. Secondly, anonymity. It is impossible to hide adult content views by paying for them with a credit card. Adult content creators face yet another problem, which is related to how they get paid for their services. There is a high probability that the payments will be blocked by the banks and financial companies (middle-men) that manage credit card transactions and employees will lose their honestly earned funds. Of course, cash payments for web content are unsafe and inconvenient. Visa and Mastercard only recently allowed charges for services on PornHub, but these services risk to be revoked once again (). PayPal also blocked fiat payments in PornHub, but allows users to pay with Tether. Moreover, another serious problem is that if you still make a payment for something on the 18+ website, your funds can go up to 7 days, and the fees are just crazy (source).
Banks are also getting in the way of extremely successful start-up development, such as the recent OnlyFans case.
Founded in 2016, OnlyFans has become a social media powerhouse thanks to its looser approach to overtly sexual material. The site lets adult performers sell “not safe for work” content for subscription fees. With more than 130 million users, 2 million content creators and a reported $150 million in free cash flow last year, OnlyFans has the kind of numbers many start-ups could only dream of.
EO Tim Stokely said in an interview with the Financial Times that the firm was forced to ban such content after “unfair” treatment from banks. Stokely name-dropped JPMorgan, BNY Mellon and Britain’s Metro Bank as examples of lenders that have made life difficult for OnlyFans and sex workers (source).
Therefore, given the aforementioned issues, the benefits for customers of using cryptocurrencies and blockchains in general are pretty clear:
- quick payments and low fees (with Stellar or Ripple for instance).
- no need for bank accounts, censorship-resistant payments.
- partial anonymity.
While the payment benefits can be achieved by most of the top blockchains already available (Bitcoin, Ethereum, or payments-specialized ones such as Ripple or XLM), the full privacy issue remains a bottleneck. In fact, some tokens specialized in digital adult content exist. However, the current tokens simply allow in-platform private transactions to pay for content which is provided by these platforms, using their own tokens (risk) or rarely other cryptocurrencies. These platforms claim to assure anonymity but in reality the users are not only exposed to their tokenomics but the simple purchase of their adult-tokens at Decentralised EXchanges (DEX) could be a limiting factor for most people as these transactions are openly visible in the blockchain and are conductible to the specific wallet.
Moreover, these platforms compete with each other and user accounts or tokens cannot be shared across platforms and even if that was possible, such transfers would be forcibly public on the blockchain and visible by everyone and not private.
The Nillion solution - Hotverse
Hotverse: the first fully decentralised, permissionless, trustless and privacy unbreakable metaverse for digital adult content sharing and social interactions.
Where Nillion shines is in “the creation of applications that safeguards the world’s most valuable digital secrets”, also referred as “The Fort Knox of the Metaverse” and as a meta layer for existing blockchains (Nillion Whitepaper, pages 42-43) . Nillion will allow users to upload their private keys to the Nillion network, which will store them in an unconditionally secure and particularised form (ITS). This in turn allows the associated wallet to sign transactions on behalf of the user without the need of storing the private keys locally, opening the possibility of storing in Nillion top secret documents, intellectual property, biometric data, wills, titles, and importantly, personal identity information, to name a few.
This would be revolutionizing the digital adult content industry as fully private and impossible to breach transactions will allow users to be completely anonymized, and each transaction (i.e. action or smart contract signature) they perform in Hotverse will be forever stored in Nillion. Users can use NIL to pay for services offered by content creators within Hotverse without worrying about being caught by unwanted eyes. Performers can perform with ease of mind without worrying of seeing their wallets or the payments they earned blocked by external authorities. With the mathematical assurance of unbreakable privacy provided by the ITP within Nillion, PornHub and OnlyFans could even integrate Nillion in their systems to provide first of its kind peace of mind to customers and performers.
However, Nillion is The Secure Processing Layer of Web3, therefore is in Web3 where its power is most evident and its ability to act as a pseudo Layer-0 (meta layer) to enhance privacy and computational power to existing blockchain has massive potentials when coupled with existing Web3 metaverses. Nillion as a meta layer can integrate with Ethereum, for instance. This would allow to easily build upon already existing metaverses platforms such as Sandbox and extending both their off-chain computing power (for the benefit of the totality of users) and, more importantly, allow Solidity Smart Contracts execution privately in Nillion, technically enabling a Hotverse to be activated in Sandbox.
Hotverse is blockchain-agnostic
Metaverses interoperability is perceived as a risk for the future longevity of multiple Metaverses and cross-chain interoperability and integrations are of primarily importance as it has demonstrated by the recent creation of massive Web3 (Open Metaverse Alliance - OMA3, source) and Web2 (Metaverse Standards Forum, source)) Metaverse alliances. Nillion ability to act as a sidechain by using the Byzantin agreement could ensure Hotverse assets, events and data to be exchanged and consumed across blockchains in a fast and secure way. This would ensure Hotverse persistence and assets value are maintained for ever, as long as the blockchains where Hotverse integrates with are existent.
Hotverse gated NFTs metadata and content.
This Nillion feature in Hotverse translates into 2 main features:
- receipts of payments or proofs of exhibitions that could be the basis for an efficient, equitable, permissionless and trustless Metaverse fiscal system, to the benefit of the DAO.
- special PFP for customers with traits that allow for exclusive content viewing or exclusive room access
Thanks to the various unique features that Nillion can bring, a whole new ecosystem of services could be provided with Hotverse to tap the massively untapped and still blocked market of private adult content monetization from both the creators and customers sides.
The future of metaverse is bright in many blockchains.
But only Nillion can assure Hotverse.
Nickx - Forza Napoli#1784