This article will show sistas how she can create a luxury fashion cryptonomic ecosystem using social media and the blockchain. The cool thing is the sistas are going to realize everything she need to create this solution is basically all around her right now and will require little out-of-pocket funding to get this hustle all up and running. Even cooler is a sista can create a global-based luxury fashion platform and still keep her day job just to smirk and smug in her co-workers faces who thought they had some better going on than a sista that reads Dream and Hustle. Let’s talk about social media selling which is disrupting retail and let’s cover blockchain and cryptosystems that is disrupting finance and then put it together for a mogul empire solution where a sista can control both the retailing aspect and financial aspect of a niche or market. In this article, we are going to focus on the secondary luxury fashion marketplace. The luxury fashion market is a massive global opportunity but there is a huge chunk of opportunity not recorded and that is the secondary (used) market of luxury fashion that include rare vintage luxury fashion. The fastest secondary market regions blowing up now are emerging cities like Manila, Ho Chi Minh City, Tianjin, Chongqing and Shenzhen. A lot of people have vintage and secondary luxury fashion sitting around but these items are highly desired and appreciated by fashionistas worldwide from Paris thrift stores to the new money in Shanghai. So for this article, let’s use the luxury fashion market as the example to help show you sistas how to go out and build your global empire. Understanding Social Media Marketplaces We first want you sistas to re-think everything you think you know about social media marketing and start thinking about creating social media marketplaces to allow regular people on social media to sell items to each other. Social media marketplace selling is actually disruptive and powerful for the following reasons: Attract Market Segmentation. The people who want to sell or buy in a certain niche market will be attracted to join and participate in the social media marketplace. Some of the people who will join will be subject matter experts or SMEs who can contribute knowledge and content on fashion luxury and the overall marketplace creating an active and lively group. Others will be new to the scene and engage in learning from SMEs so in addition to selling, a lot of knowledge sharing will keep a social media marketplace engaged and niche targeted. Platform Independent. Although Facebook has groups designed for social media marketplaces, these marketplaces can happen on picture-based social media such as Instagram, twitter, snapchat and so on where people can upload pics of the items they want to sell or what they want to buy. On Twitter, hashtags can be used to label or brand a social media marketplace to buy and sell or share pics. Product P0rn. Not only are items for sale can appear in social media marketplaces, some people can post priceless photos or timeless classics to spark conversation or interest or background. There could be someone with an old LV trunk set in their attic and not realize the value it has on the marketplace. Provide Events and Accessories. What if someone wanted to sell leather polish for used handbags? Or someone is promoting a luxury fashion trunk show at the wine bar in their community? What better place to promote these kind of events than a niche social media marketplace? Now, keep in mind that not only social media channels like Facebook or Twitter can be used for social media marketplaces but YouTube can be used in the same fashion as HGTV and even Soundcloud can be used to talk and interview some people in the scene like the NPR Car Talk show just to cover the luxury fashion industry and what is hot and in demand. You sistas can create a whole social scene comprised of buyers and sellers and fans by creating your own social media marketplace for a niche item. Understanding Cryptosystems for Trusted Transactions After creating a social media marketplace where you sistas successfully aggregated buyers and sellers interested in fashion luxury, the next step is to figure out how to “monetize” the social media marketplace. There is that one big challenge in an online media exchange that been around for a long time and that is establishing trust and respect. Buying online has been a problem due to the fact people can act shady behind a computer. You have scrupulous buyers who may be trying to rip off cats running from social media site to another social media site with different aliases. Then you have buyers who constantly want to lowball sellers or give a bad word on a buyer who does not give into the lowball demands. But the biggest challenge is you have no way to make revenue from the social marketplace between buyers and sellers. But if you create a cryptosystem that use a cryptocurrency, the blockchain, distributed ledger and leverage Crypto-Exchanges, this is the game changer you sistas have been looking for and can take advantage of. Let’s discuss each technology really quick. Cryptocurrency. This is similar to Bitcoin virtual currency but you create your own cryptocurrency that specifically target an industry or niche like luxury fashion. You can create for example, 12 million virtual currency units and buyers and sellers can purchase your virtual currency with real money to fund the system and get it up and running. Buyers and sellers can use your virtual currency to conduct the crypto-transaction on any social media whether it is Instagram, Facebook, Twitter or even better, even eBay. Even better, they can trade globally using your virtual currency as the medium exchange. Blockchain. The blockchain is a ledger that can show the transaction between the buyer and seller and the digital signature of both parties to agree to the transaction. The blockchain goal is to make the ledger trusted and acceptable by having a system that chain the blocks of ledger entries in a way that it cannot be tampered with and everybody can trust it and run an algorithm test against it to verify the ledger is untampered with. On this ledger, everybody can see who done business with who and can quickly verify if a product or a seller is legit and have a track record behind them. Distributed Ledger. This is just a peer-to-peer distribution of the blockchain ledger file so everybody can have the latest copy and can independently verify the system is valid and trustworthy to do transactions against. You can provide a way for everybody to view the ledger, mine the ledger to verify if a seller has a history of selling and if a buyer has the cryptocurrency funds to actually make the purchase. Crypto-Exchange. This is like a foreign currency exchange but for cryptocurrency that allow speculators to buy and sell your cryptocurrency on the global market. Unlike Bitcoin which is general, your cryptocurrency can be for a niche market like the global billion-dollar luxury fashion industry and this can be a stronger cryptocurrency based on the strength of the industry demand than a generic cryptocurrency. So this likely get people to trade your cryptocurrency that can be worth $1 now up to $50 later which is what is currently happening but you sistas may be the first to focus your cryptocurrency on a niche boom market that may make your cryptocurrency a compelling investment. So you sistas should realize how powerful the blockchain and virtual currency can set things off for you. You sistas create the virtual currency where buyers and sellers worldwide agree to buy into your virtual currency to do business with each other. These global buyers and sellers trust your luxury fashion blockchain to establish a system of trust for conducting business transactions, digitally signing transactions with their public/private key. You sistas collect a fee from each crypto-transaction and you sistas also hold some of your virtual currency so it can rise in value over time from $1 to $50 from the crypto-exchange trading volume off a strong luxury fashion market. How to Put the Luxury Fashion Global Empire All Together You sistas can start putting this all together right now – yes, right now. The thing is you sistas have to look at the new paradigm of business and realize you are in a beautiful global world of opportunity right now that others have not realize yet. You don’t have to build or buy anything just like sharing economy services like Uber didn’t have to buy cars or AirBnB didn’t have to buy real estate. You sistas don’t have to buy inventory of luxury fashion to sell, you just create the marketplace and charge fees on transactions and leverage your holdings on the strength of the trading market in your virtual currency. The first step is to build out the social media marketplace for your niche such as the global luxury fashion industry. Create a For Sale Group on Facebook, create hashtags on Twitter. We will discuss how to market, after you setup your cryptosystem platform. But you should start getting people wanting to join or participate immediately depending on how strong and distinct your target niche is. The second step is to create your own cryptocurrency. Dream and Hustle already showed how to do this and provided sample code when we discussed the Trusted Service Provider topic months ago on this blog. It is best to create blocks of the cryptocurrency as a true public/private key asset so you can track each block from person to person to see in real-time how your cryptocurrency is being moved around the market. The third step is to market your social media and cryptosystem. You sistas can do this by setting up local “trunk shows” at small venues where sellers and buyers can pay to rent a vending table and attendees can pay to attend – revenue stream for you. You sistas can create books and blogs on fashion luxury items and vintage items on what is hot in the marketplace or highlight an awesome vintage rare fashion luxury item transaction that you found on the blockchain as newsworthy. Another cool thing is maybe having a video show where you have an appraiser from the pawn shop or a collector inspect something like a pair of 1990s Girbaud jeans and declare how much it worth. Or do something like an HGTV segment and people can buy using your virtual currency. Now the fourth step is allowing buyers and sellers to bring their own public/private key to your marketplace. The way the digital signature should work is a seller send a directive to purchase a product from a buyer encrypting the message with the buyer public key. The buyer uses their private key to decrypt the directive and this is used by your system to transfer the cryptocurrency from one account to another. Once again, all you have to do is just know the buyer and seller public key and they bring their own to publish to each other and you sistas verify the digital signatures on the ledger to ratify the transaction and settle the accounts. Hardly anything I said involves a lot of money to get up and running or any inventory upfront or an SBA loan and even a well-written business plan or whatever. 1) Build the social media channels and let buyers and sellers interact. 2) Create the virtual currency for buyers and sellers to conduct transactions, and you charge a fee for each transaction. 3) Trade and invest in your virtual currency on the cryptocurrency exchanges. 4) Market by running vending shows and blogs with related advertising for the luxury fashion industry. Then you sistas can call yourself a boss after making all these moves. You sistas bossin the scene with your social media marketplaces and bossin the transactions with your own cryptocurrency and you are the diva and socialite that can run or sponsor trunk shows and other gatherings like seminars on how to sell and buy luxury fashion and you proud to hear stories like some lady from Vietnam bought their first luxury handbag from an American sista – see...that’s straight boss stuff right there, sista.