Houzz launched its new cryptocurrency for home remodeling earlier this year. Is this a good initiative for startups like Renovaten?
Home improvement business is projected to grow in near future, involving blockchain is just one way to increase the worth of industry.
Though cryptocurrencies already have a sizeable global footprint and faced some tough time in finding real-world value, in 2018 many businesses are just starting to tokenize their assets and services by launching their own proprietary cryptocurrencies.
Houzz, the online community for architecture and interior design, did just that in April 2018 when theyr announced their ICO.
The company launched Houzzcoinzz, cryptocurrency tokens designed exclusively for their potential users. It mimics the functionality of an in-store gift card but additionally, the token can be mined. Also, being publicly traded, the Houzzcoinzz fluctuate in monetary value and thereby in purchasing power.
Just how is it beneficial for their clients though? Is a proprietary token for home improvements a good initiative for emerging US startups like Renovaten, Next step living or Renoviso?
How does proprietary cryptocurrency benefit customers?
One of the key benefits of launching this new cryptocurrency is the simplification of transactions. Customers can buy more than 10 million products from the company, now paying instantly with a proprietary digital currency specifically developed for the home renovation and design trade.
Furthermore, the security aspect is not to be missed. The company’s blockchain protects the transaction itself as well as the shopping history of each client.
Tokenization as a breakthrough for entrepreneurs
Cryptocurrency has revolutionized the way business owners transact value, invest their savings and raise capital.
The blockchain technology offers highly impactful infrastructure for businesses to run their setups and build an entirely new business strategy in some highly trusted way without involving any centralized authority.
Even better, as nascent as the blockchain technology industry is, it offers a good opportunity to connect with the world’s famous entrepreneurs.
Businesses and individuals can transact value with the help of blockchain technology at much higher speed with very limited setup costs, and invest in high profile technology businesses in their startup phase.
The ease and cost efficiency of raising capital is a major reason; every home improvement startup should at least consider launching their own token.
Tokenization can boost startups in growing industries
According to research performed by Renovaten, the home remodeling expenses are expected to increase in the next coming years and may break the highs of ten years. The home improvement expenses in the US have already hit $304 billion this year.
Renovaten speculates new startups will continue to leverage blockchain technology to build their brands and offer the highest possible value to their customers and investors.
So, what do you think about this innovative method in the home improvement industry? Are you ready to adapt this evolution for your startup?