The fast-paced growth of the web-3 creator economy and building of internet-based communities, proffers a need to incentivise engagement in the web-3 space. As it should be, the uniqueness of web 3 lies in its disruptive potential to democratize the internet. The democratization reinforces creative independence for internet users, data privacy and value distribution. Moreover, at the core of the web 3 creator economy lies social tokens.

Discover more about social tokens and the web 3 creator economy as we proceed in this article.

What are social tokens?

Social tokens are smart contract tokens used to drive engagement on web 3 platforms. It is issued by social influencers, artists and community owners as a means to build their community ecosystem. It is also used to drive engagement and incentivize content creation in the web 3 space.

Social tokens are at the core of web 3 revenue model in the internet, thus dismantling the former hierarchy of web 2 which generates revenue for social platform owners only. The rise of social tokens in the web 3 creator economy introduces an incentivized model for stakeholders diversity in platforms, hence rewarding creative contribution to the ecosystem.

How Does Social Tokens Work?

Social tokens are designed to incentivize participation. However, the value of the token is driven by community support and engagement since it is blockchain based. Hence, the more use cases a social token has, the higher the potential of improving its value.

Social tokens are not just for everyone on the internet, it only rewards community contribution and engagement. For example, NODO launched a content creator program that allows users to write and earn. NODO has a social token called GEMs, hence, writers through the creator program can earn GEMs.

Social tokens are redeemable and can be resold since they function using the blockchain ownership model. By connecting your blockchain wallet address, users can easily redeem their social tokens and convert to any token of choice, hence cutting out intermediaries and maximizing full portions of their earnings.

Social Tokens Use Cases

Social tokens are basically adopted to ensure fairness and transparency. Other use cases includes:

Bridging blockchain and mainstream platforms: With social tokens, non-crypto users can benefit from blockchain based resources while using mainstream platforms.This use case is already functional in NODO with the use of GEMs. We can also see this use case on Telegram as users are incentivized using Ton tokens.
Used to reward engagement: Social tokens are now used to reward user participation in campaigns, leaderboards, daily check-ins and content contributions.

Used for Voting: Social tokens are equally used as an economic tool that empowers community members to vote and participate in governance decisions.

End Note

Web 3 is all about democratizing the internet and including value distribution. The rise of social tokens is on-time to incentivize the web 3 creator economy. Glad to say that the web 3 narrative is no longer a mirage, it is already finding expression in mainstream platforms like Tik Tok, Telegram, NODO and the likes.

Have you experienced the use of social tokens first hand? Share your experience in the comment section.