Latin American Taringa! Social Network To Add Dai Stablecoin On Its Platform of 27 Million Users
In a previous article we discussed the increasing movement of social media juggernauts towards blockchain technology including Twitter and recently Facebook too. During the weekend a social media giant in South America, Taringa! – Facebook-esque network – announced their plans to introduce cryptocurrencies on their platform in a bid to reinvent itself.
The announcement was made official during the Blockchain Summit Latam held in Mexico City during the weekend. Nadia Álvarez, from MakerDAO, Ignacio Roizman from Taringa! Network and Ruben Galindo from Airtm made the announcement as part of the team working on launching a decentralized platform allowing users to spend crypto on the platform – Taringa! Pioneros.
- From left to right: Nadia Álvarez (MakerDAO), Ignacio Roizman (Taringa co-founder) and Ruben Galindo (Airtm) at the Blockchain Summit Latam Source: Taringa!
The press release indicates that at the Blockchain Summit Latam, which was held in Mexico City, the platform shared Taringa! Pioneros, which is the
“pilot program towards the path of decentralizing Taringa! from Taringa! ‘portal’ to Taringa! ‘network’. Make the transition from an online community —a traditional model with a single site company— to a decentralized platform where content can appear on different channels.”
The launch of Taringa! Pioneros
Taringa! Pioneros, or Taringa! Pioneer, is following the footsteps of Facebook following the launch of Libra token that allows users to interact freely in a decentralized world.
Taringa! Pioneros will allow users to move from the Taringa! portal, a traditional model with a centralized company, to the Taringa! network:
“a decentralized platform where content can appear on different channels.”
Taringa! started off 15 years ago with the vision of building a Web 2.0 version – earlier than Facebook or Twitter – becoming one of the largest Spanish speaking Web 2.0. The site has since grown to over 50 million users across the Latin American region ranking as one of the most important social sites in the region.
The company decided on a point based rewards to incentivize high quality content on the site as well as popularity and interactions made on the site.
The points are however not any useful off the site but can be used to tip and reward contributors on the site. This opened up the teams’ ideas to integrate cryptocurrencies that can be transferred and used outside the social site.
Taringa! Pioneros integrates Dai (DAI) as the first crypto on the platform
Nadia, a representative from MakerDAO, announced that the social platform will integrate the first stable coin on Ethereum network – Dai (DAI). The stable coin is supported by the system and will always seek to be equal to the dollar value as reported by Nadia. The stability of the DAI token also provides protection from the hyperinflation being experienced in Argentina and Venezuela as the DAI will always be equal to $1 valuation.
Taringa! Pioneros allows users to monetize their points to DAI which can then be converted to fiat currency and spent. This is set to increase the number of users on the platform as well as up the quality and accuracy of content posted on Taringa!
- Source: LinkedIn/Taringa
The partnership with Airtm, a cryptocurrency wallet firm, will allow users to buy, sell and transfer DAI tokens across the globe. The wallet reduces the cost of transactions to a bare minimum providing a gateway to the 2 billion adults across the world who remain unbanked to this day.
However, this is not the maiden addition of cryptocurrency on the platform as the company has kept flirting with the crypto idea since 2015. The revenue distribution program using Bitcoin (BTC) was launched in 2015 after a solid partnership with Xapo but was later stopped citing technical difficulties. The CEO of Taringa!, spoke on the closed project in late 2018 saying,
“The program started in a beta version to which we had 35,000 members, but we decided to stop it because we realized that it had certain technical difficulties … Right now we have a small group of 2500 members on the program.”
Social media is the greatest factor in the spread of blockchain technology and cryptocurrency payments given the scale of users on the platforms.
The addition of crypto to Taringa!, Twitter, Facebook and its affiliates shows the industry is indeed growing in adoption rate and it is only a matter of time before widespread use of crypto is witnessed across the globe.