From the end of 2017 to the beginning of 2018, I did not seize the opportunity of token investment. It was also a huge loss for not paying attention to the secondary market in the middle and later years of 2018. The platform currency outlet that was missed in early 2019 was missed by the end of 2019 and the investment in good projects with low valuations. Miss the huge wave of integration of blockchain technology and traditional industries in 2020.

There is no doubt that 2020 is an important year for blockchain companies to establish a stable relationship with traditional industries, and whether blockchain companies or traditional industry companies want to seize this opportunity, the premise is that they need to rethink the interactive business model.

Looking back, insight into 2020

Day and night alternate, spring and autumn harvest. Everything in the world has rules and nodes. Although 2020 began with unprecedented challenges, it was also a huge turning point for the market environment. This is a life-and-death turning point for many industries, and it will also be an opportunity for countless ordinary companies in various industries to counterattack.

We walk along the tunnel of history and look forward to the crisis and opportunity in 2020.

Time pulls back to the stage when I was investing in blockchain projects. In 2017, I participated in many projects, such as QKC, QLC and other well-known projects; as a partner of JRR Crypto in 2018, I thought that I could not be like many other Token Found. Again, relying on future opportunities solely on ICOs that are hot at the time. Therefore, I designed a water seller investment strategy focusing on the blockchain ecology in a different way and with an idea that seemed very avant-garde at the time.

Entering 2019, with the continuous development of the market, I have proposed in many speeches that mergers and acquisitions will be a golden opportunity in the second half of the year. Since multiple projects raised in 2018 have achieved certain commercial value, but still suffer from no income model and stable income to continue, it may be undervalued to buy. This proved true again as Binance, Bibox, and many others announced numerous acquisitions at the end of 2019. These also prove that my judgment is correct.

Based on my previous success in predicting market trends, many people have asked me what is the next trend in 2020?

In my opinion, 2020 is an important year for blockchain companies to establish a stable relationship with traditional industries, and whether blockchain companies or traditional industry companies want to seize this opportunity, the premise is that they need to rethink the business model of interaction.

As this trend moves forward, China will be a force to be reckoned with throughout the industry.

The main judging factors are as follows:

First, after so many years, blockchain technology has become more and more mature;

Second, China is the second largest economy in the world;

Third, China owns 70% of the world's mining rights;

Fourth, China has one of the strongest retailer markets;

Fifth, China announced the DECP.

Especially after the blockchain is positioned as a national strategic layout on October 24, 2019, the global blockchain market will face a new development direction in 2020.

Now in 2020, with the strong attention of the traditional market, the blockchain and the real industry should take this opportunity to come together and create stronger business value. In order to have a sustainable impact between traditional companies and blockchain companies, both parties should reconsider mutual, fundamental business models and business structures.

Several possible new business models and business structures of the company in the future

Based on my experience and investment in traditional industries over the past ten years, the following shows the basic concepts, but can be flexibly adapted to various situations according to market segments.

Basic relationship:

o The company itself as S

o Business partner as B

o Use smaller business partners as b

o C is the end user/consumer

– After a simple combination

o S to C:

This mode is not recommended due to expensive maintenance and low loyalty

o S to B to C:

As a sustainable model, when B's role is a token exchange, the token of project S is listed; or S is a protocol layer, and B is a DApp

o S to B to b to C

For example: S as the protocol layer, B as the DAPP, b as the cross-chain project, and C as the user.

This is a more sustainable, more promising and attractive model, but the challenge is how to share the costs and profits. The attraction is because this mode has more participating roles, and can create interactive structures instead of unidirectional structures.

The reason most blockchain projects fail is because of a failure to create a sustainable model, or even to create it without delivering real economic value, which amounts to a lack of a revenue model.

Therefore, with the recognition of traditional industries in 2020, blockchain companies will show baby boomer growth and find ways to enter traditional industries.

Interaction with other industries:

– The most simplified comparison of blockchain compared to other traditional industries:

Example of one-way interaction in the industry:

– BaaS: Provide blockchain technology for traditional industries, such as supply chain or many other industries, but still cannot feel the application of blockchain technology for consumers.

– Payment system: By providing blockchain technology and tokens to support cross-border transfers and transactions, consumers will feel the difference and thus create greater value.

Examples of two-way interactions in the industry:

– Points system: Provide blockchain technology services with points on the chain for traditional industries, so that the points can be used in the original traditional industries at the same time, or in token transactions, as a return arrow in the blockchain industry, increasing its circulation utilization rate.

"The more interactive paths between blockchain and traditional industries, the closer the relationship will be bound to each other and create stronger integrated value, so it is necessary to try to find the most cross paths."

Once these concepts are understood, the elements of traditional industries can be broken down in more detail:

(In each domain there are unique architectures that can be built, here is a basic example.)

Miss the past, don't miss 2020

From the end of 2017 to the beginning of 2018, I did not seize the opportunity of token investment. It was also a huge loss for not paying attention to the secondary market in the middle and later years of 2018. The platform currency outlet that was missed in early 2019 was missed by the end of 2019 and the investment in good projects with low valuations. Miss the huge wave of integration of blockchain technology and traditional industries in 2020.

Companies that are developing need to adjust their layout, and there will inevitably be pain and discomfort, but this is also a rare opportunity for many companies and individuals. 2020 will be a pivotal year for blockchain companies to create stronger value for themselves and the industry. This wave of breakthrough design architecture will produce companies of the same level as Internet giants Ali or Tencent. I hope that friends in the industry can develop a more innovative interactive mode. If you want to compete with the gods, you dare to call the sun and the moon to change the sky.

About the author: Lin Shangru (Czhang) graduated from the University of Western Ontario, Canada, majoring in electrical engineering, and then obtained a double EMBA degree from Tsinghua University in Beijing and Insead Business School in France. After more than 10 years of commercial operation, Czhang successfully listed his family business on the Warsaw Stock Exchange (Poland) in 2014. Since 2017, Czhang has been developing in the field of new technology investment, started by the PreAngel Blockchain Investment Fund. Subsequently, Czhang joined JRR Crypto as a partner, mainly responsible for the global blockchain industry layout planning, investment, and investment banking business. Before and after, he has participated in an investment of 25 million US dollars and more than 100 projects. At the same time, Czhang is also an advisor to the "Asia Israel Blockchain Association".

Responsible editor; zl

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