Our Solana app ensures that all businesses get to leverage the benefits of this performance-driven blockchain, using tokenized economies.
Last week we published an update about Web3Auth and the development update. We mentioned that the underlying tech of the Crowny platform is much more than just a loyalty program. The software that we are developing has even more potential use cases and today we will share more about those.
What is a tokenized economy?
Token economies refer to the economics of ‘tokenized’ goods and services or asset tokenization. Using this concept with a blockchain-based system functions without the need for intermediaries and third parties. Tokenized economies that are built on blockchain technology offer a solution to close the gap between global and virtual worlds, ensuring both worlds benefit from each other.
This might sound complex. The concept of a token economy, however, is nothing new. Examples of where token economies can be used are big festivals, gym memberships, concerts, bars/restaurants, and regular discounts. But also museum cards based on cities, and location-based token economies that would include the commercial businesses of certain areas, schools, universities, courses, etc. In these instances, the participant in an economy like this will most likely be possessing a physical asset.
It means that the earned tokens need to be stored physically. The participant can lose earned tokens, and the issuer of the tokens won’t have the possibility to track and therefore protect the participant from inconvenient events like these. Physical tokens come with more disadvantages. To mention a few: they are sensitive to fraudulent behavior, are inefficient in usage, and cost money to produce.
How to tokenize your event
Digitized token economies, on the other hand, eliminate these disadvantages and come with several benefits of their own. With our platform, we’ll be able to leverage these benefits combined with the possibility for brands to build lasting loyalty with their community. Imagine that you'd be able to use your Crowny Account for both your Loyalty Programs and as an entry to an event/place you are attending.
At the moment, attending a big festival is joining an event with a token economy, just not digital (yet). Here’s how our platform and its features can be used to ensure a better experience going to a festival, and also a more rewarding one.
Loyalty card = Entry ticket
Loyalty points = Plastic tokens
Loyalty products = The beer you buy
Loyalty content = Announcements of an artist that is about to perform somewhere
Offering a digitized experience for users during a festival is up and coming. The features Crowny will be introducing are a massive value-add to this trend. Visitors can be guided over the terrain using the geofencing feature, but also think of the data the hosts will be able to gather. There will be tons of logistical improvements, improving the physical experience and overall customer journey as well. Customer data that will be collected will always be anonymized, following our Web3-inspired values.
These are just the basics. Imagine what possibilities lie ahead when the Geofencing feature is applied here, combined with all the token economy opportunities you can think of. We are primarily focussing on loyalty programs at the moment. At the same time, we are making sure that our tech is designed in a way where it can be used to serve many implementations. The festival use case is one of the simplest token economy examples we can give, among the many others.
We can think of countless crypto applications but also think of all the mainstream use cases. Any other event that includes tickets, meals, or drinks in exchange for currency could be more streamlined with Crowny. Our ticketing system can be used for the lockers in your local gym, every time you check in you come closer to a higher tier. A city can leverage Crowny to guide tourists to all the sightseeing in their city using geofencing, with tickets to the museum in the store as well.
Even in schools, Crowny's solutions can have a purpose. Have you ever thought of our platform to be the reason education will finally evolve? Sending content and providing students to consume it could potentially be revolutionary. In kindergarten token economies are already used to improve behavior with incentives for a while now.
What’s the benefit of Crowny token economies?
A blockchain-based token economy system individually comes with several benefits of itself. Some key factors in a properly functioning token economy are:
Immediate token distributions
Accurate tracking of the whereabouts of these tokens
Easily redeemable rewards for users
Tokenization and encryption also ensure that any sensitive data that might be submitted is stored safely. After all, data protection is one of Web3’s most important fundamental pillars.
To make a simple statement, the benefits of the tokenized economy concept combined with our platform features create more opportunities for us as a company to generate revenue. The more use cases - the more usage of the $CRWNY token - the more growth and adoption (learn more with this thread). With the underlying technology, we can cover not only the loyalty system market but also the ticketing industry, where the revenue is projected to reach US$65.04bn in 2022. (Source)
We are excited to have an amazing product to present to our community and the world, more to come!
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