Understanding Gather: In response to BlackHatWorld (BHW) forum discussions
Posted by admin on May 16, 2021
We heard you called us to explain, however, BlackHatWorld forum moderators did not allow us to push this reply as it’s coming off as promotional / selling according to their policies and therefore we are pushing it on our mediums.
My name is Ayhan, I’m the CMO of Gather Network (No, I’m not @Luke22 in the BHW forum as some people made wild guesses there but I know him being one of the early adopters), we are all doxxed here: https://gather.network/about-us.html
First of all, I understand the skepticism going on in this thread, because it happens with every innovative solution at the beginning. I’ll try to address what I see as concerns and questions under this thread, starting from basics.
Cryptocurrency mining generates its own value; there is a work done to mine coins and it creates a certain value for the mined coins because they are the result of your work to secure blockchains – this is what we know as Proof of Work (see how Bitcoin works). There are different algorithms to mine coins, we have our own blockchain Gather native, and we have our own algorithm (GTHash), specifically designed as a low memory hashing algorithm in order not to create any UI/UX/performance issues on the end user (visitor) side. As people barely notice any spikes or any load in their system, as I see some people even claim there is no work being done (reality: hashes are confirmed on Gather native chain), it’s a good indication that we did some things right.
For people referring to old mining scripts; this company is built to eliminate failed past executions such as those scripts which were trying to mine different coins like Monero etc, as I said we have our own blockchain which is specifically designed to accommodate the right conditions. These older scripts were not asking for user consent as a starter, they were loading up the machines creating performance/heating issues. We have done lots of stress testing to avoid such issues to bring the right solution on board.
Please check this article if you have time: https://techbullion.com/will-pirate-bays-browser-mining-lead-to-the-death-of-online-advertising/
Everyone should understand Gather’s PoW is a permissioned mining framework, meaning we allow only publishers (actually approved publishers’ visitors) processing power to be used mostly for securing blockchains (Gather blockchain, in the near future Gather child chains) and for other sequential computing activities for enterprises. You cannot install nodes, use rigs/asics to participate in the PoW model we have, so block rewards are only generated with the visitors processing power of the websites/apps using our solution.
Since the Gather network load is very low right now intentionally, the early ones that are using the product are sharing all the block rewards generated. So, logically the revenues will be shared with more publishers (websites/apps) and will drop compared to these high initial numbers, however, on the other side of our business we have Gather Cloud where we will sell affordable compute power to the businesses, for this the company will utilize Masternodes as well as enterprise hardware. Most of the revenues coming from the Gather Cloud side will also be flowing back to the publishers’ earnings because this is the model that we created for sustainable growth of the network. As company’s cloud business scales, the more the publishers would be generating / the more publishers will be coming to the network at the same time. It is designed to create a positive feedback loop. 20% of these Cloud revenues will also be used for buyback and burn.
If we wrap it up, the value of GTH is not coming only by securing the Gather chain, it will be used as a medium of transfer for payments, transaction fees of child chains, as governance voting tool, as masternode/staking incentive (Gather chain is hybrid so PoW for publisher side, PoS/Masternodes for all token holders), cloud linked buyback/burns. Get to know more about tokenomics here: https://gather.network/docs/Gather_Token_Economy.pdf
When there are more publishers in the network, as we grow, we expect Gather Online brings 1.4x revenue compared to the current advertising rates. The revenue generation depends on a number of factors, such as total network load, number of sessions, session lengths, coin values, Gather Cloud revenues. The longer the session lengths are, the higher the revenue the publishers would generate (as opposed to the number of ads displayed), this is where Gather differentiates from the traditional digital advertising model. For a 30 minute session, the revenue can be as high as 20x compared to a single banner ad, keeping in mind advertising rates vary based on location/site/other factors.
The company had the seed round of $325k in 2018. This was used for development but it eventually ran out, and the bear market conditions hit. Then, the founders self-funded with life savings and kept building throughout the last 3 years. Eventually, in September 2020, Gather raised $960,000 in a 25x oversubbed private sale round with the participation of leading venture capital firms Bitscale Capital, TRG Capital, Master Ventures, LD Capital and Rarestone Capital. See here: https://finance.yahoo.com/news/gather-raises-960k-25x-oversubscribed-112000897.html
Recently another traditional (non-crypto) investor, Ela Capital, also took position: https://finance.yahoo.com/news/ela-capital-takes-position-gather-131500502.html
And at the moment Series A funding round is ongoing. Gather is already a revenue generating company as of now, and will generate even more revenue starting with Gather Cloud in the enxt releases. Therefore, there is quite a bit of interest for the investors. The total raise is for 5 Million USD and investors both from the traditional and crypto landscape are interested. We are about to close this round. This raise will mean a cloud company acquisition and having their clientele ready to generate more revenue with Gather Cloud, expanded technical and commercial teams, further high level listings and an even growing network for big publishers.
And by the way, there is no 75$ fee to register right now, please do a basic research – our mainnet announcement article covers this topic, our website links to register to Early Adopter Program does not mention a fee as well. See here: https://bit.ly/Gather_Mercury_Release – To honor the mainnet release, Gather has also removed the fees associated with the registration only for a limited period of time, welcoming all the new publishers to sign up immediately.
You can sign up on to our program here: https://online.gather.network/sign-up
Please expect at least a couple of weeks for your registration to be approved as there is an ongoing process to get registered publishers from earlier on board in batches and we are receiving multiple registration requests every day. Please keep in mind registering does not mean you would be approved 100%, you might be asked to provide more information. There is too much interest as expected on our side (frankly speaking because everyone is looking for alternate ways to monetize online without disturbing ads).
I hope I have covered the questions and concerns to an extent on this thread, I’ll try to keep an eye and address concerns as much as I can.
Have a great Sunday.
About Gather
Gather has developed a powerful new technology that allows web and mobile developers to earn money by contributing processing power , unlike any other digital monetization tool available today. Imagine an Internet where web and application developers can generate revenue without having to rely on intrusive Ads. A new revenue stream without ads, and one that is reliable and rewarding. The processing power gathered will then be redistributed, providing a cheaper alternative to current Cloud markets products. Gather is unlocking a new type of business model for the internet by allowing publishers to monetize without ads and by providing businesses & developers access to affordable and reliable processing power.
For more information, visit https://gather.network.
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