Drink-a-Day Startup Hooch Raises $5 Million To Prepare Blockchain-based TAP Coin Introduction

Drink-a-day startup Hooch announced today that it has raised $5 million in seed funding. The news comes as the company prepares to launch a blockchain-powered cryptocurrency called TAP Coin.

Hooch offers a drink-a-day basic subscription service priced at $9.99 per month. Your subscription gets you one free drink per day at partner bars across your city. The service first launched in Los Angeles in 2016 but has now spread across the United States.

More recently, Hooch announced the launch of Hooch Black. Unlike Hooch’s standard subscription, which can be purchased directly through the app in minutes, Hooch Black requires you to complete a formal application. The price also increases to $295 per year, but adds hotel deals, concierge service, and other perks on top.

Hooch has previously raised $2.75 million in two pre-seed rounds, according to TechCrunch. This latest $5 million seed funding round was led by Revelis Capital Group and Blue Scorpion Investments with participation from Access Industries Holdings, Warner Music Group, FJ Labs, and others, according to co-founder and CEO Lin Dai.

How Does Hooch Make Money?

In terms of future funding, Hooch might explore the possibility of raising a “proper” Series A in 12 to 18 months, although Hooch expects to reach profitability before then.

How can a company be profitable when it’s giving away one drink a day for $10 per month? Well, Hooch functions like a promotional service for bars and restaurants. Studies have shown that people rarely visit a bar just for one free drink. One study found Hooch subscribers spend approximately $100 to $150 per month at partner establishments.

How Does Hooch Plan to Integrate Blockchain?

The reason we’re talking about Hooch on a cryptocurrency news website is because the company has announced plans to integrate blockchain technology.

Hooch will launch a blockchain initiative this summer. The blockchain initiative, initially, was a total mystery: the company was hesitant to explain how it planned to use blockchain to optimize its drink-a-day subscription service.

In May 2018, however, Hooch revealed that its blockchain-based cryptocurrency will be called TAP Coin. That currency will be used as part of a loyalty program to encourage customer data sharing.

How Does TAP Coin Work?

Hooch recently introduced plans to launch its own digital currency. As many people suspected, it’s a token that can be used at partner restaurants, bars, and nightclubs within the Hooch network.

A whitepaper for TAP Coin is available online at TAPCoin.net. Here’s how the company explains it:

“TAP is a new digital token from HOOCH that takes nightlife and hospitality to the next level. HOOCH members can now pay for hospitality purchases in tokens, buy drinks for friends all over the world, and gain access to priceless VIP experiences.”

Some of the core functions of TAP Coin include:

  • Earn TAP Coin for hospitality purchases on your credit card
  • Redeem TAP Coins for food, drinks, and hotel rewards
  • Gift drinks using TAP Coin to anyone anywhere in the world
  • Use TAP Coins to get into VIP events and “priceless celebrity experiences”

How do you earn TAP Coin? Well, certain venues can join the TAP Network and become a TAP Partner Venue. These venues are essentially paying to access a consumer’s purchase history. A consumer who chooses to share their purchase history with venues will receive TAP Coins as a reward:

“Consumers purchase histories provide valuable insight for brands. Data is encrypted and only consumers themselves hold the access key and can opt-in to grant specific brands access via Smart Contract and receive TAP COIN in return directly from brands.”

Hooch’s TAP Coin cryptocurrency could be revolutionary for the daily drinkers and deal-seekers in the world today. Stay tuned for more information as Hooch rolls TAP Coin across its partner network. For more reading, check out what happened at Consensus 2018:

Crypto Startup ‘Civic' Launches World's First Beer Crypto Vending Machine #CryptoBeer

 

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer

LEAVE A REPLY

Please enter your comment!
Please enter your name here

3,478FansLike
2,795FollowersFollow
4,199FollowersFollow

Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

The Good and Bad of the Crypto Going Public

This week, big news came in the form of crypto businesses that are planning to go public either later this year or next year. Crypto...

US Secret Service Has Modernized Its Role in Tackling Financial Crimes in The Crypto Era

The role of the US Secret Service, whose purpose extends from protecting the US President Trump to protecting the US financial systems, has...

Bitcoin is in a ‘Consolidation Zone,' We’ll Move to $14,000 Once BTC Gets Above $10k: Mike Novogratz

Bitcoin is about system change, said Mike Novogratz, CEO of Galaxy Digital, in his latest interview with Barron’s Carleton English. While talking about the catalysts...

Volvo Invests In Blockchain Traceability Startup Circulor To Track Cobalt Supply Chain

Volvo Cars Tech Fund, a subsidiary of Volvo, announced its investment in blockchain traceability firm Circulor on July 8. The popular carmakers have used...

Blockchain Developer Platform Releases Alchemy Build, A Tool Suite for Faster Production

Alchemy, a blockchain startup, focuses on building developers' tools to help them become more productive and focus more on actual product development. The blockchain...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today