Protostarr is a digital token-based crowdfunding platform for rising social media stars. Find out how Protostarr works today in our review.
What Is Protostarr?
Protostarr, found online at Protostarr.io, is a crowdfunding platform that aims to change the way we invest in digital media personalities. Essentially, Protostarr wants to make it easier to invest in rising YouTube stars and social media celebrities.
Today, social media stars often rely on donations. They rely on the kindness of others to support their up-and-coming careers. Protostarr sees a better model, where users invest in up-and-coming content creators, giving a new generation of unsponsored artists the ability to fund their operations while providing fans with the content they’re looking for.
Obviously, we’ve seen similar projects – like through Kickstarter and Patreon. However, Protostarr plans to introduce blockchain technology and digital tokens. It uses a decentralized crowd investment and earnings distribution DApp (decentralized application) to connect investors with rising celebrities. Payments from Twitch, YouTube, and other streaming services are automatically passed directly into an Ethereum smart contract, then paid to investors and the content creator according to the pre-arranged terms.
Could you find the next Pewdiepie and invest in them early? Let’s take a closer look at how Protostarr works.
How Does Protostarr Work?
Protostarr essentially allows fans to fund their favorite content creators. This is the “Starr” in the Protostarr ecosystem (they’ve actually trademarked the term Starr). Through the platform, Starrs can maintain partial ownership of, and payment from, the revenue-creating channel, while still sharing payouts with fans. Payouts are determined by a smart contract, which automatically splits the channel’s revenue between investors and content creators.
Here are the three core parts of the Protostarr ecosystem:
Investors can fund their favorite channels and celebrities and get a portion of the profits for an agreed-upon amount of time – all while enjoying content they helped fund.
The Rising Starr:
The “Starr” gets his or her project funded. They can use this money to purchase new equipment, raise production value, and devote more time to producing content. At the same time, they’re providing a positive financial incentive to fans who believe in the Starr’s potential.
Protostarr uses a secure and user-friendly web-based interface that allows Starrs to create smart contracts. The smart contract will hold revenue generated by the channel in escrow, then pay out automatically to investors and content creators at predetermined increments and percentages. As the channel grows, and revenue increases, the income for both the Starr and the investors will also grow. The smart contract will automatically expire after a predetermined amount of time, at which point the content creator has full access to all generated income.
The entire system is fully automated. Protostarr will automatically draw earnings from YouTube, Twitch, and similar revenue-generating platforms into a smart contract on the Ethereum blockchain, then pay earnings to investors and content creators. There’s “no muss, no fuss, and [it’s] all managed by Protostarr smart contracts”, as the official whitepaper explains. The developers have taken trust out of the equation, so there’s no need for the Starr to trust the investor, nor is there a need for the investor to trust the Starr – or for anyone to trust a centralized organization.
The platform is also designed to be easy to use. There’s no need for users to have an in-depth knowledge of music producer-style contracts, for example. Contracts are instant, customizable, and stored in the blockchain. You can customize the contract through an easy web UI. The Protostarr whitepaper actually has a mock-up of the UI, and it makes it ridiculously easy to split the revenue breakdowns between all parties while also adjusting the expiration date of each smart contract.
Protostarr also has a “Starr Management” feature and recruitment bonuses. You can build these fees into a contract. So if you know a future Starr that you think will make it big, then you can approach that Starr with a management offer and a recruitment bonus. So you receive a cut of revenue for each new investor that signs up.
The Protostarr Crowdsale
The Protostarr is scheduled for August 13 at 4pm UTC. The company will sell its tokens for ETH over a four week fundraising period. The full funding goal is set at approximately 9 million investor tokens. investor tokens will allow owners to receive a combined 2% portion of every Protostarr smart contract that’s created, with individual percentages calculated according to the percentage of investor tokens you own. There will be no investor tokens sold after the fundraising period.
The tokens, by the way, are simply called “Investor tokens”.
Who’s Behind Protostarr?
Protostarr is led by co-founders Joshua Gilson (CEO) and Shane Park (COO). Gilson is a computer forensics cyber analyst for the US Department of Defense, while Park is a seasoned entrepreneur and digital marketer who founded Coinplay.io. The company has also added Nilo Cortex to their team as a front-end developer. He’s also a former Twitch streamer.
Protostarr is a unique way for rising stars to engage with their fans while receiving financial support. Fans can spot rising talent, support that talent, and profit as the talent becomes more successful.
The platform is built through a decentralized app (DApp) system to ensure a trustless environment. It’s all handled through Ethereum smart contracts. The payments from YouTube, Twitch, and other revenue-generating services are all passed automatically into that smart contract, held in escrow, then paid to investors and “Starrs”.
You can learn more about Protostarr at the official Protostarr.io website. The company’s crowdsale is scheduled throughout August and September.