Abstract
Cryptocurrency networks have given birth to a diversity of start-ups and attracted a huge influx of venture capital to invest in these start-ups for creating and capturing value within and between such networks. Synthesizing strategic management and information systems (IS) literature, this study advances a unified theoretical framework for identifying and investigating how cryptocurrency companies configure value through digital business models. This framework is then employed, via multiple case studies, to examine digital business models of companies within the bitcoin network. Findings suggest that companies within the bitcoin network exhibits six generic digital business models. These six digital business models are in turn driven by three modes of value configurations with their own distinct logic for value creation and mechanisms for value capturing. A key finding of this study is that value-chain and value-network driven business models commercialize their products and services for each value unit transfer, whereas commercialization for value-shop driven business models is realized through the subsidization of direct users by revenue generating entities. This study contributes to extant literature on value configurations and digital businesses models within the emerging and increasingly pervasive domain of cryptocurrency networks.
Original language | English |
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Title of host publication | PACIS 2015 Proceedings |
Editors | Atreyi Kankanhalli, Andrew Burton Jones, Teo Thompson |
Number of pages | 15 |
Place of Publication | Atlanta, GA |
Publisher | Association for Information Systems. AIS Electronic Library (AISeL) |
Publication date | 2015 |
Article number | 34 |
Publication status | Published - 2015 |
Event | The 19th Pacific Asia Conference on Information Systems. PACIS 2015 - Marine Bay Sands, Singapore Duration: 5 Jul 2015 → 9 Jul 2015 Conference number: 19 http://pacis2015.comp.nus.edu.sg/ |
Conference
Conference | The 19th Pacific Asia Conference on Information Systems. PACIS 2015 |
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Number | 19 |
Location | Marine Bay Sands |
Country/Territory | Singapore |
Period | 05/07/2015 → 09/07/2015 |
Internet address |
Keywords
- Digital business models
- Value configuration
- Cryptocurrency
- Bitcoin
- Value networks