Token Incentives in a Volatile Crypto Market: The Effects of Token Price Volatility on User Contribution

2023 | Journal of Management Information Systems | Citations: 0

Authors: Chen, Kun; Fan, Yifan; Liao, Shaoyi Stephen

Abstract: Crypto tokens, issued and managed via smart contracts, function as rewards in bl ... Expand

Abstract: Crypto tokens, issued and managed via smart contracts, function as rewards in blockchain systems to encourage user participation. Distinct from monetary incentives, token incentives are uncertain in reward magnitude due to the large swings in token prices on crypto markets. By focusing on token price volatility, this study investigates how the reward uncertainty affects user contribution in a tokenized digital platform. Our empirical setting is Steemit, a platform where bloggers write posts and share token rewards based on their posts' popularity. We find that while high token price volatility induces a large volume of blog posts, it diminishes post quality. The dichotomous effects are explained via two mechanisms: users' direct reactions to reward uncertainties and their indirect reactions, mediated by altered token preference amid volatility shocks. Deeply exploring this dynamic process, our results reveal that token price volatility facilitates a platform's network short-term effect but impairs long-term user creativity. Our empirical findings thus extend the literature on blockchain economics and cryptocurrencies and have practical implications for the design of incentive mechanisms on tokenized digital platforms. Collapse

Topics: blog blockchain digital platform cryptocurrency user behavior

Methods: longitudinal research instrumental variables estimation data transformation principal component analysis vector autoregression

Theories: motivation crowding theory

Extended Generativity Theory on Digital Platforms

2023 | Information Systems Research | Citations: 2

Authors: Fürstenau, Daniel; Baiyere, Abayomi; Schewina, Kai; Schulte-Althoff, Matthias; Rothe, Hannes

Abstract: The assumption that generativity engenders unbounded growth has acquired an almo ... Expand

Abstract: The assumption that generativity engenders unbounded growth has acquired an almost taken-for-granted position in information systems and management literature. Against this premise, we examine the relationship between generativity and user base growth in the context of a digital platform. To do this, we synthesize the literature on generativity into two views, social interaction (expansion of ecosystem boundaries) and product view (expansion of product boundaries), that jointly and individually relate to user base growth. Both views help us explain how opening a platform relates to the emergence and resolution of conflicting expectations in a platform ecosystem that result in new functions and expanded use. We adopt a panel vector autoregressive approach combining data from six large transaction platforms that engaged with open-source developer communities. We found that the dominant narrative of generativity engendering growth, although generally supported by our analysis, obscures the fact that the inverse is also true; that is, growth can lead to expansion of product boundaries (inverse generativity) and that generativity can be bounded; that is, growth can stabilize ecosystem boundaries (bounded generativity). Against this background, we propose an extended generativity theory that presents generativity and growth in an integrative view and raises awareness about the limitations of the “unbounded growth” claim. We conclude that there is value in separating the two views of generativity conceptually and analytically, along with their relationship to user base growth, and we call for research on the pathways through which generativity produces growth. History: Ola Henfridsson, Senior Editor; Robert Wayne Gregory, Associate Editor. Collapse

Topics: digital platform innovation management open source electronic commerce accounting

Methods: longitudinal research Granger causality time series analysis Student's t-test parametric test

FINFLUENCERS: OPINION MAKERS OR OPINION FOLLOWERS?

2023 | European Conference On Information Systems | Citations: 0

Authors: Haase, Frederic; Rath, Oliver; Kurka, Marco; Schoder, Detlef

Abstract: This paper explores the concept of Finfluencers: financial social network actor ... Expand

Abstract: This paper explores the concept of Finfluencers: financial social network actors with high potential social influence. Our research aims to clarify whether Finfluencers drive or are influenced by the broader social network sentiment, thereby establishing their role as either opinion makers or opinion followers. Using a dataset of 71 million tweets focusing on stocks and cryptocurrencies, we grouped actors by their social networking potential (SNP). Next, we derived sentiment time series using state-ofthe-art sentiment models and applied the technique of Granger causality. Our findings suggest that the sentiment of Finfluencer actors on Twitter has short-term predictive power for the sentiment of the larger group of actors. We found stronger support for cryptocurrencies in comparison to stocks. From the perspective of financial market regulation, this study emphasizes the relevance of understanding sentiment on social networks and high social influence actors to anticipate scams and fraud. Collapse

Topics: Twitter social network social influence cryptocurrency social media

Methods: longitudinal research time series analysis Granger causality descriptive statistic sentiment analysis

Network Investment as Drivers of Mobile Subscription – A Firm-level Analysis

2023 | Information Systems Frontiers | Citations: 0

Authors: Jha, Ashutosh; Chakrabarty, Manisha; Saha, Debashis

Abstract: Globally, Mobile Network Operators (MNOs) incur considerable capital investments ... Expand

Abstract: Globally, Mobile Network Operators (MNOs) incur considerable capital investments towards the acquisition of spectrum, deployment of mobile networks, and marketing and advertising of their mobile services to potential mobile subscribers. The extant literature, which is mainly conceptual, suggests that such capital investments impact the individual mobile subscriber base of MNOs. However, the extant literature lacks in quantitative explanation of such impacts. We address this lacuna by proposing an empirical framework using a novel panel dataset of the four largest MNOs of India, during the years 2009–2017. We find that capital investments in the spectrum (both contemporaneous and lagged) and mobile networks (lagged) positively impact the mobile subscriber base of MNOs in India. We observe that a “triggering effect,” such as the market rollout of 4G (fourth generation) services, leads to an initial slump in the mobile subscriber base of MNOs, which is counterintuitive and signifies the importance of early network-preparedness on the part of MNOs. We also find that, in the event of the aforementioned market triggers, MNOs’ firm-size and potential to invest in the spectrum, in addition to network-preparedness, are crucial for its survival. Collapse

Topics: mobile system broadband cellular network database system advertising management marketing management

Methods: longitudinal research econometric model augmented Dickey–Fuller test econometric modeling descriptive statistic

Where is IT in Information Security? The Interrelationship among IT Investment, Security Awareness, and Data Breaches

2023 | Management Information Systems Quarterly | Citations: 1

Authors: Li, Wilson Weixun; Leung, Alvin; Yue, Wei

Abstract: Data breaches can severely damage a firm's reputation and its customers' confid ... Expand

Abstract: Data breaches can severely damage a firm's reputation and its customers' confidence. Firms must therefore continuously invest in security measures to prevent such breaches. However, the effectiveness of security investment has been questioned by both practitioners and academics. We illustrate the bidirectional dynamic relationship between information technology (IT) investment and data breaches moderated by threat and countermeasure security awareness using an eight-year panel of 311 U.S.-listed firms to provide empirical evidence that threat awareness broadens firms' scope for addressing databreach issues by investing more in IT than in security. Countermeasure awareness equips firms with sufficient knowledge and experience to ensure effective implementation of IT, which provides more comprehensive protection than security investment alone. Our results suggest that firms should evolve beyond the reactive mindset of solely upgrading security and begin nurturing both threat awareness and countermeasure awareness to address the underlying IT system issues that are the cause of data breaches. Collapse

Topics: IT investment data breach IT security defense data security IT security threat

Methods: longitudinal research robustness check autocorrelation analysis survey literature study

Theories: institutional theory protection motivation theory

Understanding the Digital Resilience of Physicians during the COVID-19 Pandemic: An Empirical Study

2023 | Management Information Systems Quarterly | Citations: 0

Authors: Liu, Yinghao; Xu, Xin; Jin, Yong; Deng, Honglin

Abstract: The COVID-19 pandemic has underscored the urgent need for healthcare entities t ... Expand

Abstract: The COVID-19 pandemic has underscored the urgent need for healthcare entities to develop resilient strategies to cope with disruptions caused by the pandemic. This study focuses on the digital resilience of certified physicians who adopted an online healthcare community (OHC) to acquire patients and conduct telemedicine services during the pandemic. We synthesize the resilience literature and identify two effects of digital resilience-the resistance effect and the recovery effect. We use a proprietary dataset that matches online and offline data sources to study the digital resilience of physicians. A difference-in-differences (DID) analysis shows that physicians who adopted an OHC had strong resistance and recovery effects during the pandemic. Remarkably, after the COVID-19 outbreak, these physicians had 35.0% less reduction in medical consultations in the immediate period and 31.0% more bounce-back in the subsequent period as compared to physicians who did not adopt the OHC. We further analyze the sources of physicians' digital resilience by distinguishing between new and existing patients from both online and offline channels. Our subgroup analysis shows that, in general, digital resilience is more pronounced when physicians have a higher online reputation rating or have more positive interactions with patients on the OHC platform, providing further support for the mechanisms underlying digital resilience. Our research has significant theoretical and managerial implications beyond the context of the pandemic. Collapse

Topics: pandemic electronic health business continuity planning disaster recovery information system use

Methods: longitudinal research experimental group longitudinal survey augmented Dickey–Fuller test time series analysis

Status Regain and Validator Performance: Evidence from Blockchain Platform

2023 | International Conference on Information Systems | Citations: 0

Authors: Park, Sejun; Pinsonneault, Alain; Khern-am-nuai, Warut

Abstract: The paper examines the effects of providing validators with status on transacti ... Expand

Abstract: The paper examines the effects of providing validators with status on transaction verification performance in blockchains (e.g., Collapse

Topics: blockchain user experience corporate network security individual characteristic task productivity

Methods: experimental group longitudinal research difference in differences propensity score matching statistical hypothesis test

Theories: reinforcement theory

Cryptocurrency Market: The Interplay Between Microblog Dynamic Opinion Leader Sentiments and Bitcoin Pricing

2023 | Americas Conference on Information Systems | Citations: 0

Authors: Treku, Daniel; Wang, Bin; Escobari, Diego; Oraby, Tamer

Abstract: The relationship between tweet sentiment and cryptocurrency pricing has drawn a ... Expand

Abstract: The relationship between tweet sentiment and cryptocurrency pricing has drawn academic researchers' attention in recent years. However, empirical results have been inconsistent, and no research has examined the bidirectional relationship between cryptocurrency pricing and tweet sentiment nor the impacts of opinion leaders. In this research, we test the presence of bidirectional relationships between Bitcoin opinion leader tweet sentiments and Bitcoin price behaviors. By analyzing a big data set of 78 million Bitcoin-related tweets from 2014 to 2021 through vector autoregression modeling with exogenous variables, we reveal the influences of Bitcoin opinion leaders' tweet subjectivity and polarity on Bitcoin price return and volatility, as well as the reverse effects. Our research contributes to academic literature and business practice on cryptocurrency pricing, social media, and opinion leadership. KeywordsBitcoin cryptocurrency returns, social media sentiment analysis, opinion leader sentiment analysis, twitter microblogs. Collapse

Topics: Bitcoin Twitter cryptocurrency price management social media

Methods: longitudinal research vector autoregression descriptive statistic computational algorithm Granger causality

More than watching: An empirical and experimental examination on the impacts of live streaming user-generated video consumption

2023 | Information & Management | Citations: 0

Authors: Zhang, Yuan; Hua, Lei; Jiao, Yue; Zhang, Jie; Saini, Ritesh

Abstract: Live streaming user-generated video (UGV), a nascent format of crowdsourced cont ... Expand

Abstract: Live streaming user-generated video (UGV), a nascent format of crowdsourced content, has grown massive popularity among social media users and is believed to have substantial potential business influences. However, industry practitioners express concerns regarding this new form on social media platforms and the influences of live streaming UGV consumption lack research. Motivated such, through a uniquely merged dataset from the video game industry, we conduct a series of panel time-series empirical analyses to investigate the business value of live streaming UGV consumption. Further, we propose a conceptual framework based on the sense of com­ munity literature to understand the consequences of live streaming UGV consumption and verify it through several online experiments. This research contributes to the IS literature by shedding light on the influences of emergent crowdsourced content, providing a conceptual framework to existing literature, and offering rich managerial implications and guidelines to managers regarding utilizing live streaming UGVs. Collapse

Topics: video streaming service digital service marketing management organizational value crowdsourcing

Methods: experiment survey parametric test Student's t-test nonparametric test

Post-Story: Influence of Introducing Story Feature on Social Media Posts

2022 | Journal of Management Information Systems | Citations: 0

Authors: Alibakhshi, Reza; Srivastava, Shirish C.

Abstract: Driven by the need to enhance user traffic on social media (SM) platforms for in ... Expand

Abstract: Driven by the need to enhance user traffic on social media (SM) platforms for increasing their advertising revenues, SM platforms are experimenting with new content creation features. However, it is unclear if such initiatives are also beneficial for SM profile owners such as influencers, who are the prime content creators on the SM platforms who use SM posts to build their influence within their network of followers. Our study investigates the effect of introducing one such new SM feature: the "story" on the creation and consumption of SM posts. Leveraging social penetration theory, we hypothesize the influence of introducing story feature on (1) the frequency of SM post creation by profile owners and (2) the extent of follower engagement with SM posts. Employing a quasi-experimental design, we find that the introduction of the story feature reduces the frequency of SM post creation, but the enhanced self-disclosure through the story feature increases follower engagement with the SM posts. However, these effects are moderated by the situating culture of the SM communities: while low-power-distance cultures value profile owners' self-disclosure, high-power-distance cultures exhibit a mixed influence. Advancing literature on social penetration theory and SM user engagement, our study demonstrates that new self-disclosive SM content creation features do not necessarily benefit all the concerned stakeholders and that the effectiveness of such features might vary from one community to another. Hence, the intended impact of introducing new SM features needs to be carefully evaluated by SM platforms in a holistic manner. Collapse

Topics: Instagram technology adoption information system use social network unintended consequence

Methods: experimental group econometric modeling quasi experiment theory development regression analysis method

Theories: social penetration theory