Cryptocurrency Titcoin and adult payment provider Coinsnap have been announced as finalists at the 2016 XBIZ Awards. The XBIZ Awards are a prominent adult entertainment awards ceremony managed by XBIZ, which publishes news and information on the adult entertainment industry.
Over the last couple years, cryptocurrencies and other alternative payment systems have been gaining traction in the adult entertainment industry. One factor in this trend has been Operation Choke Point, a program in which the Department of Justice has teamed up with banks to limit access to financial services for businesses selling certain “high-risk” products like pornography, gambling, tobacco and ammunition.
Cryptocurrencies also offer several features that make them convenient for consumers of adult products. Compared to traditional payment methods, they offer more anonymity and privacy, allow for shorter transaction times and do not require users to supply credit card information.
As a result, the adult entertainment industry introduced Titcoin, an altcoin specifically designed for purchasing adult products, in 2014. Titcoin quickly gained widespread industry recognition and was named a finalist in the 2015 XBIZ Awards' Alternative Payment Services Company of the Year category as well as the Innovative Web Product of the Year category.
For the 2016 XBIZ Awards, Titcoin has again been nominated in the Alternative Payment Services Company of the Year category.
However, Titcoin isn't the only cryptocurrency-related XBIZ nominee. Payment provider Coinsnap is also a finalist in the XBIZ Awards' Alternative Payment Services Company of the Year category.
Unlike Titcoin, Coinsnap was not designed specifically for the adult entertainment industry but is rather a general Bitcoin payment services provider that has been gaining popularity among businesses offering adult products. Adult entertainment providers have been using Bitcoin to begin taking advantage of new payment models like micro-payments that have become more convenient in the age of cryptocurrency.
Bitcoin and cryptocurrencies, in general, are also appealing because they let vendors choose between different ways of offering products – pay-per-view, pay-per-download and so on. Given the more flexible payment options it provides compared with traditional payment methods, Bitcoin has been adopted by companies including Playboy and porn.com.
Titcoin's and Bitcoin's increasingly central role in the adult entertainment industry highlights cryptocurrencies' ability to solve industry-specific problems where traditional payment methods come up short. In particular, because financial institutions are often wary of and sometimes even hostile to adult entertainment businesses, and these businesses offer content-rich websites where pay-per-view models make sense, the adult entertainment industry has proven an especially good fit for cryptocurrencies and has become a sort of early adopter among major industries.
The fact that there is even an Alternative Payment Services Company of the Year category at all at the XBIZ Awards speaks to this natural fit between the adult entertainment industry and cryptocurrencies. Information on winners in this category and other categories will be announced on January 15, 2016 at the XBIZ Awards show, which will take place at downtown Los Angeles' J.W. Marriott Hotel.
Featured image from Shutterstock. Titcoin logo from Wikipedia.