The Downfall of ChangeTip

ChangeTip was a much hyped application that gained a lot of user traction in late 2014 and received a $3.5 Million investment from Pantera Capital last December.

The company has had a rough year this year for many reasons, mainly because they have struggled to maintain momentum with users due to privacy concerns, etc, which were highlighted in this article.

“Some users have raised concerns about the amount of personal and social data that ChangeTip is collecting”

The other major problem is that they have had problems gaining traction with people who are not familiar with bitcoin. They have failed to integrate the app into the wider web in a way that facilitates wide-scale adoption beyond people familiar with bitcoin.

Overall, I think what ChangeTip demonstrated with their initial success is that micro payments has huge potential on the Web, but for many reasons relating to both the structure of Bitcoin and the lack of continuous innovation by ChangeTip, it is unlikely Bitcoin will succeed in this market IMO.

Looking forward to seeing how micro payments work when $SAFE is integrated into the network because I believe the fact that $SAFE transactions are anonymous, instantaneous and have a live digital marketplace (SAFE Network) to spend into would be enough to overcome all of the barriers that ChangeTip is facing as they try to scale their service.