Social media platforms play a huge role in advertising in this day and age and they are arguably the best way of getting a message across to the masses, especially to audiences that are tech savvy. Unfortunately, social media firms have recently instituted bans against promoting cryptocurrency-related content but this has not stopped startups from advertising their token sales.
Blockchain startups have been using a technique called “Bounty Campaigns” to promote their digital token sales. Bounty campaigns involve getting social media influencers to promote ICOs, at a fee of course. John McAfee the founder of the McAfee antivirus software is currently the most popular influencers. This means he has a large audience on social media and as such he leverages the opportunity to make some extra cash. He recently revealed that he charges roughly $105,000 to ICO companies who want him to promote their ICOs by tweeting about it.
Judging by McAfee’s impressive earning for each tweet, it, therefore, means being an influencer can be very lucrative but it depends on how popular an influencer is. The impressive reach provided by influencers is one of the reasons why Bounty campaigns are becoming popular in the ICO community. To leverage this technique, a company gives various tasks to influencers or internet users and tells them what to do, in this case, and it rewards them by awarding them with tokens.
Can bounty campaigns get promoters in trouble?
The tasks given to promoters by ICO companies could include writing blog posts about the ICO or retweeting promotional posts. Bounty campaigns have been a key tool for ICOs to raise funds quickly despite crypto-related ads being banned on some of the major platforms. Unfortunately, ICO promoters might be at risk of being on the wrong side of the law especially in jurisdictions where ICOs are considered to be securities.
McAfee who has more than 800,000 followers on Twitter has previously found himself under scrutiny from the authorities for promoting ICOs. He even announced in a recent tweet that he will no longer recommend ICOs or work with them after receiving threats from the Securities and Exchange Commission (SEC). However, such strict restrictions are not applied everywhere and this means that there are a lot of opportunities out there for influencers.