After introducing the X To Earn project examples and sigincifant elements in the previous two articles, you should have grasped the concept of X To Earn. With this knowledges, it is time to ask the critical question: How to integrate X To Earn into business development? The following three questions are the keys.
It is not a sufficient reason for you to create your X To Earn projects just to following the trend. The core reason should backed by your understanding of the meaning and value behind the business model.
The reason for X To Earn being popular in Web3 lies in a new set of ideas it holds. In the traditional Web2 world, service providers need to expand and attract users through financing and “money-burning”, and after collecting user data, they then could improve the products. A clear barrier between service providers and users can be observed in this process. But in Web3, users are part of the community. They enter the project after purchasing NFT and hope to earn tokens through the "X" actions. They are longing for the maturity of the project and the profit gain from the token and NFTs trading. The attraction of X To Earn, thus, is not only the funds it brings to the project (obtained from the sale of NFTs), but also the role as a traffic portal to bring users with high centripetal force to the project, and the potential to turn them into solid community members for future applications.
As mentioned in the first article of this series, X To Earn is a popular business model on Web3. To develop your X To Earn project, you should first find the part of the existing business or new business that can shine in Web3, and second, extract the direction of X from your findings.
In this refining process, two elements of X must be kept in mind: quantification and satisfaction. Since the X involvement links to users' return, it is essential for this involvement to be easily quantified. Otherwise, the calculation of return will be quite difficult, and even have a huge impact on token issuance and the entire token economic system. On the other hand, if the quantitative mechanism of X is not well designed, it may be targeted by professional "gold diggers" to seize loopholes and cheat. As for satisfaction, it refers to the fun or contentment that the users can find while participating in X.
Imagine, if people are only focusing on X earning but not really into it, competitors can easily attract your clients by just offering higher returns. At that time, what more incentive can you adopt to keep the users?
Therefore, to carry out the X To Earn project, we must first find X, and then design a complete return mechanism and corresponding token economic system from the user perspective.
As mentioned, the X To Earn project have a strong ability of attracting traffic, which can bring funds and users to the project. Under the attraction of "earning while X", the number of users can grow rapidly in the early stage of the project. Undoubtedly, this is one of the big advantages of the X To Earn project. However, one should note that X To Earn is still an emerging model, which requires the ability and determination to quickly correct after "trial and error".
Before launching the project, some preparations are needed. For example, the design of quantification and conversion mechanism, NFT issuance plan, tokenomics system planning, etc. All these items need to be comprehensively designed, and a certain amount of early capital investment is required. Before the X To Earn project carries out, it must be carefully and thoroughly planned. Otherwise, the funds may be exhausted due to mistakes in the early stage, or the development will be restricted due to improper arrangements. The early investors will be disappointed, eventually.
Based on the above three points, it can be seen that the development of the X2earn project requires forward-looking, planning, technology, execution, and correction capabilities. And on the road of exploring Web3, UD is willing to walk with you all the time and become your strongest backing.