While many of us have enjoyed the joys of being able to have food delivered from nearly any local restaurant thanks to companies such as Postmates and Doordash, these centralized gig economy services are far from perfect. For one, the commission isn’t fairly distributed between the courier, restaurants and the company itself, leaving the people doing the actual work in the dust. Rates are set unilaterally, and typically, the end goal of these companies is profit.
BlockFood is the world’s first decentralized food ordering and delivery platform, and they’re also the first project from the Open Sharing Economy foundation. As a nonprofit company, BlockFood is dedicated to freeing the food delivery market from the corporations that currently have complete control of the industry. Being non-profit means that all gains from the app will be directly injected back into the project, or any other Open Sharing Economy project in the future.
BlockFood is aiming to make this a fairer, more transparent process for everyone involved. Per their website, “BlockFood’s business model relies on fair wealth distribution and a dynamic commission rate adjusted to structure costs.” Couriers will be given more power through the creation of BlockFood’s “Courier Cooperatives,” which allows local couriers to meet up, chat and directly impact how the BlockFood platform will operate. These co-ops will also set a common price per kilometer traveled, and even organize shifts. Couriers are given a voice and a stage to be heard, unlike nearly every other gig-economy platform out there today.
Additionally, the platform will be completely open-sourced, allowing developers to create third-party apps within the platform. BlockFood is planning on hosting a developer contest to promote the platform and invite people to create original applications. An example of a possible app might be a purely Vegetarian or Vegan only BlockFood app!
How Does It Work?
BlockFood will be confirming each transaction on the platform by using smart contracts on the Ethereum blockchain. Per their website, this is the step-by-step breakdown of what occurs during a typical BlockFood transaction:
Transactions will go as follows:
- A customer orders food from a restaurant. It charges a smart contract with BlockFoodTokens and upon completion of the order, the BFT are distributed to actors participating in the system, in proportion to their participation:
- Restaurants get most of the money,
- Couriers come in second,
- BlockFood sets a commission rate that reflects exactly the cost of the operation, and
- BlockFood ambassadors get a fixed percentage as commission.
All payments are done using BlockFoodTokens, freeing the system foundation from historical banks, while preserving possibility for users to use the service with fiat currencies.
- Customers can pay in BlockFoodTokens with their online wallet, or
- Customers can use fiat currencies ($, £, €, …), automatically transformed in BlockFoodTokens.
Couriers will be able to set a local distance range that they’re able to work in, and down the line, a queue will be implemented in the app, meaning that another order will pop up for them to accept while they’re finishing the current one.
BlockFood’s commitment to transparency and open boundaries means that restaurants will be able to integrate with BlockFood directly on their website or menu itself, meaning customers will have a diversified array of entry points. Restaurants will have access to local analytic data, which they can utilize to better define what menu items are selling or not.
BlockFood is currently wrapping up their Pre-Sale which ends on February 8th. The public sale launches on March 8th, and runs until April 12th. 1 ETH is equal to 15,000 BFT. The bonus structure for the sale is as follows:
March 8th 2018: First round +20%
March 15th 2018: Second round +10%
Be sure to follow BlockFood at the following links!