Advantages of running your loyalty reward points using the Tagcash Blockchain
- Immutability, proof of transfers, no chances for fraud.
- Rewards Tokens do not expire.
- More valued by customers.
- Work with partners - no API needed.
- Permissioned option - restrict access or make it open.
- Open to trading for other rewards tokens - bring in new customers.
- Replication and redundancy - No need to run your own databases or software.
- Easy to develop or integrate into software or sites if needed.
- $99 to create currency, no ongoing fees, no transaction fees.
- Same technology as is used by the Bitcoin blockchain (but no Bitcoin involved)
Fixed Issue or Reissuable?
One of the first decisions to make will be to decide if your reward tokens will be fixed issuance or you want to re issue more in future. Once created, this cannot be changed. If fixed issuance, the rewards currency has a value that can fluctuate as it is bought, sold or given away. It is more valuable to customers and partners, but once you run out of currency, you will have to buy it on the open market or take it in exchange for services. However, as price may rise, any remaining currency you hold is also more valuable. If reissuable, it has no value other than what you place on it, as you can create more anytime you need. Usually reissuable currency is created for games and as a payment currency for a service. Loyalty rewards should be created as a fixed issuance.
Permissioning - how does it work?
Usually, rewards tokens are created as Open - they can be transferred freely between any user. This is the default, normal setting. Sometimes you may want a restricted token issuance, for example if you want to keep it just within employees of the company. If you want to restrict who can own the rewards tokens, then remove the Open setting when creating the tokens. Now, you must permission each address to send and receive, or revoke their Send and Receive permissions. You can also allow others to be admins, to set send/receive permissions for others or to issue more if the tokens are reissuable. Once set, the token settings cannot be changed to Open.
Sometimes customers or partners have too many rewards to spend, or partners would like to cash in for any offers they have made using the rewards tokens as payment. Or perhaps customers are not happy with the rewards they have, and would prefer to exchange them for other rewards. Trading within the Tagcash wallet allows a market to develop, where customers decide the pricing. Of course you also can sell rewards tokens as well, which may entice new customers who have them.
Extra Services - giving your rewards value
Tagcash offers various services that add value to your Reward Tokens. For example, other merchants can offer coupons for their own services and products, and use your currency to pay for it. There is a redemption fee associated with each coupon, and you get a share of this if your tokens are used as payment. This creates value for the customer as they have more options to spend.
Building apps and services on the Tagcash Blockchain
Although your tokens can be used by Tagcash Wallet users, for trading, transfers, payments and more, it is very easy to build your own products and integrate the currency. Simply connect a node to the Tagcash Blockchain, and run your own wallets for customers. Integration is done using RPC JSON commands sent to the blockchain on your server, and for more complex uses, most Bitcoin libraries and scripts will work with the Tagcash Blockchain. Tagcash can also offer a white label service for web and app wallets. To connect, install multichain software from multichain.com, and connect to a node via terminal (run command
multichaind firstname.lastname@example.org:3000 &), then enter the address given in response in the tagcash wallet blockchain connect page (accessible from left menu in wallet).
Pricing and ongoing costs
Pricing is set at $99 (or TAG), and once created, there are no ongoing costs. All transactions are free as is connection to the Tagcash Blockchain. You can direct users to use the Tagcash Wallets to use and spend Rewards or you can integrate it in your own products. To create your rewards tokens, register or login to the web wallet, create a merchant account and click Create Token from the top of the Wallets page.