According to data from PageFair, who works with media publishers to counter ad-blocking, estimates that $22 billion of revenue has been lost in 2015 alone due to ad-blocking. Globally, 198 million users block ads in some way and the number only grows. Companies recognize this as a problem that will only get worse, some of which include the mobile network Three, Samsung, and Apple who have jumped ship and announced that they will allow users to block ads.
Director of Analysis at IHS Technology, Daniel Knapp, told CNBC in an email, “Several companies have jumped on the ad-blocking bandwagon, Ad blocking is an expression of massive consumer dissatisfaction with the way the ad industry works.”
CNBC reports that according to one industry expert, “Bitcoin and bitcoin technology could be the solution for media sites who’ve witnessed revenue falling due to the rise of ad-blocking software”.
David Schatsky, senior manager of emerging technology and business trends at Deloitte, presented an alternative to funding content with ads. He explained that users would pay a small fee for each page they view. These payments would be done with bitcoin and could be given to the publisher for the time a user spends on the site.
In a phone interview with CNBC, Schatsky said, “You could have an option to not view advertising and instead pay a couple of pennies per page as you go”. He went on to say “Publishers who find a way of creating choice for users, most of whom are reasonable and recognize that it costs money to host content, you can imagine them opting into another program where rather than blocking ads they simply pay a nominal amount for the privilege of viewing content and they won’t see the ads anymore”.
The main appeal to this micropayment system apparently is that it would give more choice to content consumers. Schatsky said that a bitcoin-powered micropayment system is possible because bitcoin has very low transaction fees and the bitcoin blockchain would be able to provide a secure record of which pages were viewed and for how long.