A cryptocurrency and blockchain product for people that do not own crypto. Outlet is a bank account built on top of Ethereum that earns interest far greater than a traditional bank account can.
Cryptocurrency and blockchain related products have yet to have an app with true product market fit for the average consumer. Building a product in the blockchain niche and finding a terrific fit has proven to be very difficult from an entrepreneur's perspective.
Product market fit in the blockchain industry has proven itself to be very difficult for some ventures. There are several reasons why I would argue that a blockchain technology company is one of the hardest companies to find product market fit.
Due to the short history of the blockchain industry there is not much to go off of in terms of end consumer products. The closest product to have product market fit was Cryptokitties. Cryptokitties was a fad, but had product market fit for the time of the fad.
Out of all the promising cryptocurrency apps few would have thought Cryptokitties would be one of the most promising. It’s that unknown that makes launching a crypto related company.
The biggest tip I have for anyone launching their cryptocurrency or blockchain related company would be to look at a large existing markets and find a way to improve on them. If the market is large enough and the innovation you bring to that field is innovative people will use your application. Marketing to any niche with a new and innovative product seem to work best by speaking to potential users in person. Try and go to a few meetups, and get people excited about what you are creating. Be where the conversation in your niche is happening, and don't be afraid to talk about the current problems they are facing if your app solves them.
Outlet is a new project that started at the Y Combinator Hackathon. When we originally built Outlet it was a much different product. The product was a decentralized collateralized bitcoin loan platform. We saw certain projects popping up in the Ethereum and DeFi space that users loved and felt really inspired by them.
The issue with the original idea behind outlet became funding the loans. Without funding the loans our blockchain product would never be able to find product market fit.
Instead we saw the potential for allowing anyone to back existing loans, and connecting their funds with an existing pool of loans.
People invest in cryptocurrency to possibly make money. These people are searching for that. Financial products are a great solution to create that possibility. Making your customers money and providing them with a yield is a great way to find a fit within the blockchain niche because it is what brings everyone to the industry itself. Part of building a blockchain product is finding what angle you are going after your users with. There needs to be some type of competitive edge to your product compared to others. Creating a new category product seems to be the right way to go about things.
Building a blockchain company that has product market fit is hard because the field is constantly changing and we are still in the beginning stages of something huge. The companies that exist in this era of the blockchain world have a massive first movers advantage to market.