Ticket sales can be improved by Ethereum. With TickETH, a smart contract application by Simon Dosch and his roomate Immo, both event organizers as well as customers could benefit from higher flexibility.
Simon presented TickETH at the kick-off to the Ethereum Central Germany MeetUp in Frankfurt Germany on May 17th, 2017. Make Rhein-Main supports the MeetUp, because we believe that Etherum Smart Contracts could also benefit the maker movement.
Ethereum can be a great way to connect the gadgets, which makers create, and lets them run on a decentralized network. What is more, at Make Rhein-Main, we are presently consindering to integrate TickETH into our shop, where we have sold many tickets to maker events in the past. It would be our first Ethereum project with a real-world application.
At our MeetUp, Simon presented TickETH before the 50-strong audience. The name TickETH is a „frankenword“ mixing both „ticket“ and „Ethereum“.
With his smart contract, he basically wanted to solve the trust problem during the pre-sale phase for a big festival: The tickets were only available in pre-sale. And because they were high in demand, the price for the tickets was quite steep.
But what if you buy the expensive ticket in pre-sale and the music never plays?
Infact, Simon had to wait several months before he actually received the tickets. Organizing a festival – we at Make Rhein-Main are speaking from experience (!) – takes upfront investments. Indeed, there is always a certain chance that the event will never happen. Fortunatelly that has never happened to us – but we know that event organizers oftentimes have to act as fire fighters: temperatures rise with the event date nearing.
So Simon bought a pricey ticket and – for some weeks – did not even get a confirmation that he sent off the money to pay the ticket. His attendance of the festival was in limbo, even with the costly ticket paid, he had no real proof.
This is what got him thinking: Together with his room mate Immo, they built tickeETH, an Etherum-based ticketshop. Using blockchain technology, it solves the trust problem in ticket sales.
Scroll down to learn more about tickETH
Crowded Kickoff to the Ethereum Central Germany MeetUp
Who’s behind this?
The „Etherum Central Germany MeetUp“ has been founded recently by three Frankfurt-based organizations, which seek to promote blockchain solutions.
It is our aim to create a vibrant community around Etherum. Our kick-off, which was held on the premisses of Frankfurt School, was a strong indication that there is appetite for that. Some 50 people came out on just a short notice.
Well, you have probably heard about the blockchain, which is -among many other things- the backbone technology of the cryptocurrency „Bitcoin“. And, yes, Etherum also provides a cryptocurrency that works as medium of exchange on the the Etherum blockchain.
Say what exactly?
I like to think of the blockchain as a massive database that is running on many different computers around the world. Each time a change is being made to an entry on the database, it takes some time, before all computers agree on the same status of all database entries. E.g. if I send you a Bitcoin, all computers on the network have to learn of that transfer and agree before it is yours and no longer mine. Each time when all computers agree, a „block“ is created. The systems is called blockchain, because, over time, the blocks on the database form a chain of events.
Now, how do theses computers come to an agreement?
Okay, so Etherum = Bitcoin?
No. Ethereum is a programmable blockchain, some people even call it a world computer. Bascially it is possible to create programms that run on the blockchain. These programms are also called „smart contracts“, because they constitue binding and immutable agreements.
To stick with our example: tickETH is a smart contract that makes sure you get your ticket, once you bought it.
What does tickETH do?
These are the features of the tickETH Smart Contract:
- Safe delivery: Once you bought a ticket, the immutable smart contract makes sure, you receive the ticket. There is no way for anyone in the world to change that (only a so called hard fork can do that, which basically splits the chain in to a dying and a living part.)
- Safe Redistribution/Refunds: What if you bought a ticket, but due to sudden events, you can’t go dancing? tickETH sets rules for reselling your ticket to others in a way that is fair for event organizers and the buyer of the ticket. (e.g. to rule out ticket scalping by defining a price ceiling).
- Safety Deposit: As stated above, creating an event takes upfront investments for the organizer. If all and sundry decide to refund their ticket at the last minute, the event organizer may no longer be able to create more events in the future (e.g. due to bankruptcy). tickETH gives the organizing side the option of claiming a safety deposit, i.e. a portion of the actual ticket fee, to always err on the safe side.
Now, what do YOU think?
- Do you want to comment on this article? Please do!
- Do you want to share the article? Please do!
- Do you want to come to our MeetUp? Find us here!
- Do you have an exciting Etherum project, you want to talk about? Contact me at roman(ä)make-rhein-main.de