ConsenSys-Supported Civil Media Finally Launches Its CVL Token as Newsroom Program Begins
Civil, a blockchain media startup backed by ConsenSys, has finally launched its CVL tokens today. Many investors bought the tokens last year and were promised the token compensation packages a long time ago, so it looks like they will be finally launching them.
The CEO of the company, Matthew Iles, has talked to Coindesk about the launch. According to him, all the earnings from the token sale, which is happening right now, will be going to the Civil Foundation, a nonprofit company which is led by the CEO of NPR, Vivian Schiller.
People from over 100 newsrooms in the world have already joined the CVL community, which grew a lot since last year, thanks to backing from ConsenSys, in part.
ConsenSys, in case you are not familiar, is the venture crypto company is set to foment other crypto companies into creating profitable businesses. It was created by one of the co-founders of Ethereum, Joseph Lubin.
Civil Media has also decided to launch a membership program today, which will see its members receiving perks like tickets to quarterly events and access to exclusive content from journalists, like a newsletter.
In order to join, a newsroom only needs to have CVL tokens and follow the code of ethics of the Civil institution. The idea os the token curated registry of Civil is to allow more stakeholders to upvote trustworthy news sources and shun away fake news.
Iles has affirmed that the intent of the company is mostly to start generating revenue as soon as possible and that this can end up being a “daunting task” but for a media industry, which is notoriously lacking in cash, but that she is confident that this small startup can sell the services from the associated companies to several important news organizations like the Associated Press, for instance.
According to Iles, tipping and revenue generating tools are being created right now and the startup will give the token holders the ability to create and own the data that they put on the platform. Content creators and members will not need to own CVL tokens anymore to access the content, as they will be able to do it using credit cards.
How CVL Tokens Will Be Used
At the moment, the main function of the CVL tokens so far as to be used for membership alone. You had to spent them to participate in the network but they were not used to make payments yet. However, this seems to be the plans for the future now. Popula founder Maria Bustillos, for instance, has put her fiat Civil grant to work and has hired developers to create a tipping system.
The idea of the tipping system, which is just being started, is that you will be able to give as much money as you want to these companies because there will not be a real limit for it. However, the feature is still being in development (despite the fact that it is being used in beta), so it is not yet ready for wider adoption at the moment.
Unfortunately, some people, as reported by Coindesk, are not very positive on the whole idea of using CVL to add value to journalism. According to Bustillos, it is “hard to say” how the token will play out in the business model later and everything is far from certain at the moment.
Bustillos has affirmed that this will have effects in the network and that people who read one publication will eventually be led to another but has affirmed that everybody will be basically “guinea pigs in this great experiment”, so nobody knows for sure where this is going.
Civil is certainly in its early days yet, so it is rather hard to be sure of where the company will actually end up. The truth is that journalism is having a hard time finding financing recently and even newsroom like Popula have to rely on subscriptions and crowdfunding like Kickstarter to work, they can’t simply use Civil.
One of the main positive points is that these companies do not need to turn in a profit, however, which can surely be considered great and will help the industry a lot, especially when it comes to becoming more decentralized and fair.
The future looks bright now that the token sale is finally going on. Last year, the U. S. Securities and Exchange Commission (SEC) had problems with the sale of CVL tokens because it deemed them as securities when they were actually utility tokens. Now all we have to do is to look into the future and try to understand how the journalism market will benefit from this initiative.