It is quite natural and expected for any business to use the latest manifestations in technology, and when we say business, it literally covers every possible business and method of doing business. Multi-level marketing, commonly abbreviated MLM has been one of the most prominent and controversial methods of doing business. While proponents of this business method would prefer to use the word network marketing or referral marketing, the modus operandi of any MLM remains the same.
One of the major reasons contributing to the controversial image of MLMs is the reliability, validity, and transparency in transactions. The reliability is not confined to the payouts but also to the proportionality of the payouts with respect to the work that was done and the sales that were achieved.
If we were to look at the challenges attenuating the growth of the industry, it all comes down to problems that can be solved by the digital ledger called a blockchain. Although blockchain technology has manifested majorly as cryptocurrency, there are different dimensions in which it can find its application, and MLM is one of them.
Among all the blockchains available in the market, TRON has proved to be one of the best candidates for giving the MLM industry it’s much-needed blockchain makeover.
What is TRON?
TRON is yet another blockchain that stands as an equivalent to the Ethereum blockchain and is descended from the ERC20 Standard token in 2018. Soon, TRON started to work on its own independent platform for both data storage and transactions. Since TRON has evolved to be a blockchain in its own right, it has its own cryptocurrency and token. The standard cryptocurrency of the TRON blockchain is TRX. Since it does not have its own wallet, TRX is stored in the standard wallet of Ether. Just like any other standard crypto coin, TRX can be exchanged on cryptocurrency exchanges.
TRC10 and TRC20 are the general token standards for the TRON platform. The first one is mostly used for Initial Coin Offerings (ICOs) and the second one is used extensively in smart contracts.
The Relevance of Smart Contracts
Smart contracts are self-executing programs that can be designed to act in a predetermined fashion upon fulfillment of certain conditions. It would not be an exaggeration to say that the reliability of any app built on the blockchain depends on the quality of the smart contract, and it hugely contributes to the increased trust that can be established across the blockchain.
The smart contract also illuminates the need for third-party intermediaries to establish trust which directly translates into higher costs for the transaction. Since it is built on the blockchain, it is unbreakable and extremely reliable. It is flexible to be used for transactions between individuals and also between groups of persons.
Converging MLM and Smart Contracts
As we all know, multi-level marketing involves selling a product or a service to a new network of people. This kind of marketing does not only involve earning commissions based on the number of sales. It also gives an opportunity for people to earn by recruiting the people who will work under them creating multiple levels, giving rise to the name. For most MLM companies, the possibility of earning through new downlines being recruited is higher than the possibility of earning from commissions.
This pushes people to find out normal methods to recruit downlines, and it opens up possibilities of fraud and cheating. It has also led to a lot of conning, resulting in an irreparable tarnishing of the reputation of the MLM industry.
Given the attributes of blockchain technology and smart contracts, they can help multi-level marketing businesses. TRON Smart Contract-Based MLM is expected to be the silver bullet that will entice people into participating in this lucrative program.
The Advantages of the Combination
To understand how TRON smart contract MLM software presents an advantage for the process, it is important to understand the advantages that the blockchain, the smart contract, and MLM bring in the real world and how they complement each other.
MLMS, in essence, a direct selling method. This means that all the intermediaries that contribute to the retail cost of the product are removed, effectively making it quite affordable and cost-effective. It does not require massive investment for a person to get into the business. Although it might not be pronounced in the claimed magnitude, it does give an alternative for learning.
A smart contract is secure, irreversible, and trustworthy. There is no human intervention or paperwork needed to bring in the trust, and it also translates into the elimination of middlemen. The traceability and accuracy make it almost impossible to tamper with the data recorded on the blockchain. Smart contracts also ensure perfect clarity in communication.
In most cases, for building anything related to smart contracts and process efficiency, Ethereum is the go-to blockchain. In addition to bringing all the goodness of Ethereum, TRON also brings a few added advantages.
The first and foremost advantage brought about by TRON is that it can handle about 2000 transactions per second which is a massive upgrade from Ethereum that can handle just 150. This makes Smart contract-based MLM development on TRON the ideal choice for companies that have worldwide operations.
The traceability, efficiency, and cost-effectiveness add to the virtues by which an MLM business stands. The traceability insurance that only the right candidate who affected the sales is rewarded in addition to all the uplines. The automation ensures that the payments are made without any human intervention and that too, without any delay. Since the MLM business is all about illuminating the middleman and associated costs, the introduction of TRON smart contracts also contributes to the same line.
All these things contribute to better branding, faster global transactions, enhanced security, and above everything, and unfeeling trust.
Now that the infinite and profitable possibilities of combining MLM and the TRON blockchain have been established, what you would need to kickstart your TRON smart contract development for MLM business and give it the tech-advantage is a proper TRON smart contract MLM software.
All that you would need to do is get in touch with a company that specializes in TRON MLM smart contract development. They will take care to understand your business model and your requirements and program the smart contract and the blockchain in a way that will perfectly fit your Eminem business.