Coordinating crowdfunded innovation projects in the cryptocurrency sector through narratives

Jader, Alexander

Abstract

Initial Coin Offerings (ICOs) are innovation projects that serve as a crowdfunding mechanism. This study discusses the need to examine how cryptocurrencies are created, particularly through ICOs. ICO projects are described as radical, multistakeholder innovation projects that involve communicating potential value and use of cryptocurrency between project teams and crowdfunders through whitepapers and YouTube videos. The study aims to identify useful dictionaries containing active signals and cues used in successfully crowdfunded ICO narratives from project teams (Marketer Generated Content) and crowdfunders’ comments (User Generated Content).
The literature review highlights three gaps: a lack of understanding the effectiveness of specific signals/cues and crowdfunders' trust, a lack of diversification in signal/cue specific constructs, and a lack of understanding of positive tone signals/cues in the ICO context. The study tests the use of specific signals and cues. It does so with dictionaries that have been validated for academic studies in Marketer Generated Content (MGC) and then correlates with their use in User Generated Content (UGC) in ICOs.
The study collected and analysed textual data on 20 ICOs through YouTube video transcripts, comments, and whitepapers, and used Computer Aided Text Analysis (CATA) software and customised digital dictionaries. The analysis aimed to identify patterns of cues/signals in project and crowdfunder narratives. The selection of the dictionaries was based on their relevance to the signals/cues being measured and bundled into constructs for analysis using CATA software.
Overall, the study shed light on the coordination practices of ICOs, identifying the dictionaries that suit ICOs, and test and confirm hypotheses using signalling theory to address the gaps in the literature. The finding was that positive signals and cues from the project instigator’s whitepapers and video-transcripts have been used in crowd conversations in YouTube comment-sections, but much less so negative ones. Eight useful academic dictionaries have been identified. This study can be extended to other studies to explore further the issue of narrative coordination of innovation projects, but it also contributes to practitioners with practical application in an effort to coordinate ICO crowdfunding.

Citation

Jader, A. Coordinating crowdfunded innovation projects in the cryptocurrency sector through narratives. (Thesis). University of the West of England. Retrieved from https://uwe-repository.worktribe.com/output/10596039

• Thesis Type: Thesis
• Deposit Date: Mar 30, 2023
• Publicly Available Date: Nov 24, 2023
• Public URL: https://uwe-repository.worktribe.com/output/10596039
• Award Date: Nov 24, 2023