Ben Putley, CEO and Co-Founder of Alkimi, on why the world's first decentralised ad exchange uses blockchain to create transparency that centralised systems cannot provide, how lower fees benefit both buyers and sellers, and why America's shift on blockchain regulation changed the industry conversation.
"High fees. Lack of transparency. These are the issues that programmatic advertising faces. Blockchain solves them."
Why blockchain creates the transparency layer that programmatic advertising has needed and how lower fees benefit everyone
Ben Putley co-founded Alkimi four years ago to solve two connected problems in programmatic advertising: high fees that reduce the media budget reaching publishers and audiences, and a fundamental lack of transparency about where those fees go. The solution is blockchain, which creates an immutable record of every transaction that any party in the supply chain can independently verify.
In this conversation Putley explains why trustless data is a feature not a limitation, how the shift in US regulatory attitude toward blockchain removed a major market barrier, and why the combination of lower fees and full transparency is compelling for the major agencies and brands already working with Alkimi.
We launched the business four years ago to solve the issues that programmatic advertising faces: high fees and lack of transparency. A blockchain is a really great solution for that and has become more so as the technology has improved over the last 16 years.
Putley frames the founding thesis around two specific, structural problems in programmatic.
You do not need to trust the data because it is verified independently. You can query that data whenever you want, down to a log level. The granularity we offer to buyers and sellers in terms of transparency is unmatched. Trustless sounds like a funny word but it means you do not need to trust it because you can verify it yourself.
Putley reframes the potentially confusing language of trustless data as a feature.
If you are buying ads, you get more media for your money. If you are selling ads, you get paid more for the ads you are selling. There is nothing better for transparency than an immutable record of transactions.
The commercial logic is simple: lower fees increase value for both sides of the transaction.
With the change of the people in charge in America, there has been a significant 180 on how America views blockchain. That was a big blocker for a long time, regulating by enforcement rather than inviting people in to understand the potential value. That has changed a lot of conversations for us.
Regulatory environment is a genuine commercial enabler or constraint in blockchain.
We are partners with Publicis. We work with Coca-Cola. We work with traditional publishers and increasingly crypto publishers. Really helping them understand the value of using a blockchain to buy and sell ads. We need the education to continue because people are starting to see the proof in the pudding.
Putley notes the education requirement still exists but is reducing as proof points accumulate.
"You can query that data whenever you want, down to a log level. That granularity is unmatched."
Host Tell us about Alkimi and the problem you are solving.
Putley We launched four years ago to solve programmatic's two core problems: high fees and lack of transparency. Blockchain solves both. We have an immutable record of every transaction. You can query that data whenever you want, down to a log level. Trustless: you do not need to trust it because you can verify it independently.
Host How do lower fees benefit the market?
Putley If you are buying ads, you get more media for your money. If you are selling ads, you get paid more. Lower intermediary fees increase value for everyone in the supply chain except the intermediaries. We are partners with Publicis and work with Coca-Cola. The proof is accumulating.
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