Blitzbuilding Product with Rails

My RailsConf 2018 presentation. Story of how I build a crypto exchanges ( OTCBTC https://otctbtc.com) under 1 month and get 300X growth in next 60 days.

Business & Advanced version of my last talk in 2016 RailsPacific:
https://www.youtube.com/watch?v=V3TWE5k3fnM
( about winning a world hackathon in 7 hours )

Transcript

1. Blitzbuilding Product with Rails YiTing Cheng
2. Xdite ( Yi-Ting Cheng ) 1. Founder & CEO of OTCBTC 2. CTO of ico.info 3. Organizer of RailsPacific 4. Built product with Rails since 2007
3. Fiat Coin OTC Crypto Exchange
4. Fiat Coin You can think of OTC market as an “eBay for Crypto”, where you can buy and sell cryptocurrencies to and from others using fiat currencies.
5. Coin Coin The other part is cryptocurrency exchange, where you can use BTC to buy and sell other cryptocurrencies.
6. 300X growth ( in 60 days )
7. OTCBTC • Launch at 2017/10/26 • Over 50000 users ( in first month) • Over 1.5 Billion CNY in GMV ( in first month)
8. OTCBTC • Break even at first month • NPS > 70 • Growth Rate 20%+ (weekly)
9. Building Unicorn Product with Rails YiTing Cheng
10. Developer Entrepreneur
11. Developer Entrepreneur • Step 1: Quit Job in 2012 • Step 2: Open my own Rails consultancy • Step 3: Join an Series A company in 2014 • Step 4: Quit job again to start my business in 2015
12. Developer Entrepreneur • Step 5: Build a product that grow rapidly • Step 6: Build a product that grow rapidly and go big for multiple times in 2018
13. Part 1 : Choosing the topic
14. • Online Rails code camp • 500 students / batch • 2M USD revenue in 6 month 2016 —
15. • ICO platform • Crypto version Kickstater • 22 projects in 2 moth • 200 M USD • Got shutdown…. 2017 —
16. What is ICO ? • Raising money from Crypto • Using ETH to contribute • ICO madness in 2017/05 • Everyone wants to invest in crypto for 10x return ETH Token
17. • Catch the rising trend • Monopoly • Reinvent the wheels • Big market • Huge population
18. What’s the next?
19. Crypto exchanges • Crypto to Crypto • Fiat to Crypto • OTC exchanges
20. Crypto exchanges • Crypto to Crypto • Fiat to Crypto • OTC exchanges 99% 75% 15%
21. Why OTC? • Too many competitors in crypto exchanges • Fiat exchanges need to have license in some country • OTC compliant with current law
22. The one and the only OTC
24. Part 2 : Launch the idea in 1 month
25. • Have the idea - 2017/09/22 • Purchase the domain - 2017/09/23 • Launch the product - 2017/10/26 OTCBTC
26. • You product need 10x better than old one • 3X - Customers see current solution • 3X - Entrepreneurs see their solution • Build the 10x product, make competitor miserable 10X Theory http://www.mikedp.com/articles/2017/4/12/10x-and-the-largest-technological-improvements-of-all-time
27. Agile?
28. • Scrum? • User Story? - Must have / Should have / Could Have / Nice to Have • Prototype? Build product in 1 Month
29. No
30. • Crypto Wallet + Advertise + Escrow • Chatroom Only build for MUST HAVE
31. • People hire you for “Jobs to be done”
 • Not because the platform look awesome Jobs to be done
32. • One more “character”, complexity: x2 • One more “currency”, complexity: 2x • One more “language”, complexity : 10x Really Focus
33. • Build a site that people can post “Sell BTC offer” • Buy “BTC” • Built-in Chatroom • Simplified Chinese Only Step 1: Single-side market
34. • Build a site that people can post “Buy BTC offer” • Sell “BTC” Step 2: Double-side market
35. • Support ETH • Support Tradition Chinese Step 3: more currencies
36. Product Market Fit Solve real problem and get paid make team survive
37. Part 3 : Grow 20% every week
38. Customer Support on WeChat / Telegram
39. Intercom ( get replied in 5 mintutes)
40. Reduce Churn Rate
41. • Trader > Buyer • Protect the trader, reduce the churn rate User experience and operation
42. • Week 1 : Build for trading volume • Week 2: Trader’s experience • Week 3: Reduce customer complain • Week 4: Referral Program • Week 5: Reduce Fraud, automate everything …. One week, One Goal
43. Part 4: Onboarding-oriented
44. • 30% - Didn’t understand how to use • 30% - Didn’t feel the product value • 10% - other product is good • 10% - technical flaw… Why Customer left?
45. They don’t understand how to use therefore feel no value.
46. Before After Ongoing Why hesitate? Why they screw up at the first place Best practices Prevent “suicide” Checkpoint Positive cycle Testimonial Referral Reward Showcase
51. • Most product stop evolve after it’s launch • Most engineers thinks customers are idiot because “they are not smart enough to use our product” • When complains everywhere, it’s too late • It’s very hard to re-attract churned customers. • It’s all about speed and evolve. Pre-interact
52. Part 5: Viral Growth
53. Referral Program
55. Airbnb
56. Airbnb
57. • We started referral program after NPS > 70 • Referral program only works when your product is good enough • Reduce acquisition cost It’s time to referral
59. And later we ICO …
60. OTCBTC • We have > 200,000 users, > 100M RMB GMV daily • Good profit , NPS > 70 • The largest OTC exchanges in Asia • Building worldwide operation and engineer team • Well-founded in Our ICO • The one and only exchanges built with Rails
61. Summary
62. JOIN US https://career.otcbtc.com
63. When I am a developer • Dev-speed is everything, I choose Rails • Teamwork-speed is everything, I choose Scrum • Prototype-speed is everything, I choose User Story
64. When I am a entrepreneur • Topics and trends are important • Customers are important • Onboarding is very very important • Only make what user want • Always make product easy to use, and it’s OK without PM • Growth or Die
65. Q & A xdite@otcbtc.com twitter: @xdite