Interview with Andrew Kolodyuk who is the Founder and Chairman of DIVAN.TV 2.0 Blockchain Video Platform, that uses blockchain to reward viewers, advertisers, and content creators.
Describe the company – the elevator pitch …
The Video on Demand (VOD) and Over-The-Top (OTT) industry has not caught up with technological advancements, making archaic methodologies still prominent in one of the fastest-developing areas. They are also known to impose frequent barriers on subscribers, content creators and brands.
The DIVAN.TV 2.0 Blockchain Video Platform is a new, decentralized video platform that will redistribute financial rewards from middlemen to key players in the ecosystem – viewers, content owners, and brands. We are building the Programmatic Real-Time Bidding Advertising System for the Smart TV. This new platform ensures transparency and reduces threats of piracy and fraud through the use of smart contracts. It will be accessible on all Smart TV devices, reaching an audience of more than 1 billion. Once implemented on its own platform, DIVAN.TV 2.0 will share it with all other services available in Smart TV AppStore and set the new standard for the video streaming market.
— DIVAN.TV 2.0 (@DivanTVPlatform) November 26, 2018
How are you different?
Our competitors in the blockchain-based video streaming industry include TaTaTu, Verasity, You42, TV-TWO, SingularDTV and others. We have a few distinct differences from these companies.
As an early player in the OTT services space, we have been in the game since 2011, we were one of the first Smart TV Applications that released on the LG Premium Panel. DIVAN.TV has experienced many of the Pay-TV market problems throughout its 7 years of strong operation with over 2 million monthly active users worldwide. To solve them, alongside many others, we are shifting existing business service towards decentralized technology (DIVAN.TV 2.0) to disrupt the OTT/IPTV industries. For the first time, viewers will be paid in D1 token 30% from every dollar the Platform gets, and content owners receive 50% of the total advertising revenue.
Unlike other companies in our category, we have established relationships with content creators and vendors, as well as partnerships with leading brands such as Apple TV, Samsung, Sony, and LG.
One of the core opportunities is that neither Google, nor any other competitive Programmatic RTB Advertising System are operating on the Smart TV market.
Why will you do well?
Our long-term experience in the industry, coupled with our highly competent team and advisory board will play a key role in the success of this platform. Unlike others in the space, we are bringing seven years of operating our profitable OTT platform, DIVAN.TV, to the table. We are leveraging this wealth of experience as a foundation for our new blockchain-enabled Platform.
We are creating DIVAN.TV 2.0, a new standard for the industry, the first Real-Time-Bidding (RTB) Advertisement System for Smart TV, that will become akin to Google interactive Video Ads.
DIVAN.TV 2.0 stands out because it aims to benefit the entire ecosystem by rewarding users for watching ads and ensuring content owners and creators receive a greater share (50%) of ad revenue. Viewers can use tokens earned to unlock premium content or to donate to crowdfunding their favorite programs.
The blockchain platform content offering also sets us apart from other blockchain streaming services. We are focused on providing relevant content to over 1 billion ethnic and migrant populations who may not have access or are unable to afford quality native content, as well as live programming and sports.
This is an industry that is in need of transformation and DIVAN.TV 2.0 will thrive by providing rewards to all users who are currently underserved, including underpaid content owners and migrant populations with limited access to content.
DIVAN.TV Blockchain 2.0 fills a gap in the market by serving an ethnic audience of more than 1 billion. We also realize the importance of providing brands and content owners with fair remuneration, which each represent multi-billion dollar markets.
— DIVAN.TV 2.0 (@DivanTVPlatform) November 22, 2018
Where are you based?
We are an international team of 60 based in offices in EU (Malta), USA (San Diego), Ukraine (Kiev) and Hong Kong (China).
When was the company launched?
Our company was founded in 2010, and our DIVAN.TV OTT service was launched in 2011.
What have been your biggest wins to date?
We were one of the first global Over-The-Top (OTT) video streaming services in the Europe Union. A few of our biggest wins to date include becoming officially available on 1B devices worldwide. Our service is accessible on Smart TV, and we quickly found partnerships with world-leading Smart TV brands like – LG, Samsung, Philips, Sony, Skyworth, TCL, Sharp, Telstra, Hisense, Haier, and a dozen more vendors TV vendors), STB – Roku, Apple TV, Android TV, etc. We became accessible on tablets and smartphones via Android and iOS. In 2018 we hit 2 million users on over 1 billion devices across 195+ countries.
DIVAN.TV is available over 200 live streaming TV-channels, plus over 50,000 movies and TV shows. We target 12 language groups – Chinese, Japanese, Spanish, French, German, Polish, Korean, Vietnamese, Hindi, Ukrainian, Russian and English. From starting our business in 2010 we have identified that our main goal is to combat digital piracy. All applications have been developed in-house with our dedicated team.
Who are you trying to attract to your product?
We believe that DIVAN.TV Blockchain 2.0 will be an attractive platform for viewers, content owners/creators and brands alike. The DIVAN.TV 2.0 Platform promises users earn the equivalent of $10 a month in D1T tokens by just watching their favorite movies and TV shows. For the first time, customers will be rewarded for watching favorites movies and TV channels with tokens, that can, in turn, be spent on premium content.
Viewers will get access to free live content, news, sports and educational programming. Users can use earned tokens to pay for premium content and even support creators through crowdfunding campaigns. The key audience group DIVAN.TV caters to ethnic and migrant populations who speak Ukrainian, Russian, English, Chinese, Japanese, Spanish, French, German, Polish, Korean, Vietnamese and Hindi.
Content owners and creators receive 50% of total advertising revenue, compared to the 3% they earn through platforms like YouTube. They will also get access to 1.7 billion Smart TV/Connected TV users. Blockchain smart contracts will ensure transparency and secure ownership rights.
Brands are able to place targeted advertisements at lower costs by applying Programmatic Real-Time Bidding (RTB) to advertising on Smart TV. This allows brands to control pricing, eliminate fraud and manipulation of data.
What tips would you give to others looking to build their business?
The main tips for nowadays is tokenization of the existing business. It is a trend. Blockchain brings the benefits to all parties of the markets. This technology makes the process even more efficient than securitization. Comparison of securitization and tokenization shows that the blockchain creates one main information flow instead of multiple data coming from different entities. This makes information sharing easier, reducing costs and time consumption.
Those players that will understand the following trends brought by blockchain will be the new leaders in the TV/Video industry.
Tell us about your team?
The DIVAN.TV team combines decades of expertise in business, IT, media and finance and has 7 years’ experience operating the existing DIVAN.TV OTT video service.
Our Ad Tech advisor Alex Bornyakov, is the founder of VertaMedia, a video Supply Side Platform (SSP) for publishers. His business was recognized as one of North America’s fastest-growing private companies in Deloitte’s 2016 Technology Fast 500™ and is honored among the top 5,000 fastest-growing private companies in the country by Inc. 5000.
We are also collaborating with BPC Advisor on blockchain architecture and implementation Andriy Khavryuchenko – who has past work with companies like BPC, Dash, Dmarket, and DreamTeam.
We recently appointed Ruslan Gavrilyuk as an adviser. Ruslan is a ?o-founder and President of Token-as-a-Service (TaaS), the last-generation closed-end fund dedicated to blockchain assets.
What are your plans for the future?
We are looking forward to transforming the video streaming market through our blockchain-enable platform.
We are going to introduce our D1 Token in Q2 2019 and launch the updated DIVAN.TV 2.0 Platform based on smart contract interface in Q3 2019. By 2022 we are planning to increase our user base up to 120 million.
What are your favorite tech gadgets?
Roku and Apple TV.
What tech gadgets do you wish you could use to help you?
Those that would have a good voice navigation system, so you tell to your Smart TV what you want to watch tonight and the gadget will deliver it to you.
Anything else you’d like to add/we should have asked?
I think we will continue to see cases of existing businesses making the shift to the token economy. I believe this is good for the industry as investors can now compare companies with existing businesses and products with new ones. I think we will continue to see blockchain startups in the TV, video, and entertainment industry as this is an industry that has not been disrupted enough, in my opinion.
How do people get in touch with you?