A Brief Overview of BAT Use Cases
Basic Attention Token. BORING, am I right!? I mean this stupid token sat in the $.15 to $.30 range for YEARS. Sure, since January 1st 2021 Brave has gone from $.20 to $1.37 (currently sitting around $1.15) but surely this growth is over, right? I mean, the Brave Rewards program is known (and honestly, loved) by everyone already, so why would the price go up from here?
Well, let’s take a look at the current and planned use cases for BAT. Then think about what this might mean for BAT prices in the coming year, or five years. (Hint, I could not be more excited about holding BAT and trying to get as many more as I can at today’s insanely low prices).
**Disclaimer — I’m not giving investment advice. I know nothing about anything. Do your own research. Bla Bla Bla**
Oh, and just so I’m not accused of making stuff up. These are all confirmed items that the Brave team has openly talked about working on (or assumptions that directly flow from those items).
Brave Rewards (Ads)
This is the use case we already know and love. In the coming weeks/months, this will grow by a huge amount when Brave releases self-serve ad campaigns. It will also continue to grow as the daily and monthly average number of users of Brave goes up. Last numbers (for February 2020) were just over 9 million daily users and just over 25 million monthly users. Updated numbers for March should be released soon.
Brave Search (Ads)
Brave has confirmed that they will be launching a search engine. It is hoped that this will launch around June/July of this year. They will be using search ads similar to Google’s search ads (whether they will be live at launch or not is unknown). This has huge potential as a use case that is similar to the overall Brave Rewards. At some point, Brave will almost certainly make Brave Search the default search engine, giving them 25+ Million users to start their battle with Google.
Japan Entering BAT
Brave has the biggest number of users in Japan. The Japanese seem to love it. Why does this matter? Up to this point, Japanese users could not earn BAT (due to local laws). Instead, they earned something called BAP. I won’t go into the details, but on April 5th this changes. Brave users in Japan will begin being able to earn BAT. Say hello to millions of new holders.
Brave SKU
This will allow any website to start accepting BAT as a form of payment. This is a great use case that, if well adopted, will incentivize many people to buy BAT and many people to hold BAT for months at a time before making purchases.
Brave SDK
This will allow lots of websites to incorporate BAT for content. For example, the New York Times could allow visitors to get past their paywall for 5 BAT per month. Or 1 BAT for each article. Or whatever. Roll this out to Medium, Washington Post, and millions of other pay walled sites. Huge use case here.
Brave Wallet
Makes it easier than ever to hold BAT and other crypto. BAT holders will get discounts on fees, etc. Great use case for BAT.
Brave Dex Aggregator
Brave will be a single user-friendly interface for tons of DEX platforms. Possible use of BAT to cover fees or whatever.
Brave DEX
Their own DEX, making it easier than ever for people to buy, sell, and trade thousands of tokens and coins. Almost certain that BAT holders will get discounts on fees. Quite likely that BAT will be used as liquidity pools, thus locking up millions of BAT for months or years at a time (also providing an opportunity to earn interest). Huge potential here.
If Brave DEX is successful (and it has all the pieces in place to be wildly successful), it could easily consume other DEX platforms, the largest of which is Uniswap. Uniswap token alone has a current market cap of $15,198,705,864 (That is about 6 times that of BAT). If Brave DEX has the same activity (and it could so easily be so much bigger), that alone has the potential to 6x BAT’s price from where it is today.
Advertisers Stockpiling BAT
As advertisers realize just how effective Brave ads are, they may decide to buy lots of BAT while the price is low so that they can be used while the price is higher, thus giving themselves a discount on marketing costs. This not only means big companies holding thousands or millions of BAT, but it also helps to establish a nice floor for BAT as companies will watch for dips and buy for this type of discount.
Greyscale
BAT is already on Greyscale. BAT that is bought for these investors will not likely move for years at a time, thus reducing the circulating supply, which creates upward price pressure. At the launch of the Greyscale BAT Trust I believe they were holding under $1 Million worth of BAT. At their last update (a couple days ago) that are holding $3.6 Million BAT. This number is likely to just keep growing.