X-To-Earn: Play-to-Earn, Move-To-Earn, Create-To-Earn, Wear-To-Earn… Meet the income models of Web3
Blockchain technology stood out when we were about to drown in our endless shifts and deadlines. With the income models that we define as “X-to-Earn” and that “work for the reward” mechanism entering our lives, we all have a reasonable answer to the question now: “How to monetize our daily activities?”
In this blog post, let’s discover the various ways to access the “Earn” opportunity that blockchain technology offers.
It All Started With “Play-to-Earn” (P2E)
We woke up one morning, and we were able to earn income in return for our routine entertainment activities. Sounds like magic when you put it like that, doesn’t it? Before the P2E model, we were familiar with the pay-to-earn model. In this model, we had to buy various objects and characters with real money in order to progress in the games we play. The pay-to-earn model, which disrupts the fair gaming environment and goes against the nature of the main purpose of entertainment, has caused gaming ecosystems to give birth to a closed market in itself. Although it is not possible in theory to transfer assets or transfer in-game gains to the outside world, players have managed to keep their own marketplaces alive with various barter and sales methods.
According to Statista, in 2021, approximately 3 billion people play video games around the world. This number, which corresponds to around 40% of the world’s population, is believed to have enormous potential to generate income for the people.
Everything we were used to was turned upside down with the birth of the play-to-earn model. Many of the things we used to have to pay for are now available to us through various assignments, in-game tasks, or achievements. Furthermore, digital assets like tokens and functional objects can be transferred to the physical world. Although the play-to-earn model compares our traditional understanding of entertainment to a dull business concept, some of us are ready to make this sacrifice to make money from an activity we truly enjoy.
Metaverse Gaming and The Rise of Gaming Tokens
Why do we play games? To break away from the chaos or maybe from the monotony of everyday life? Or is it to hone our ambition to win by competing with ourselves and sometimes against our competitors in a large-scale competitive environment? With the rise of the GameFi concept, the core concept of gaming is also changing.
Thanks to NFT technology, ambitious and talented players can bring the possessions of their favorite characters to life. Although the level of wisdom of a lightsaber or a mage is not quite useful in real life, it can now open up a variety of income opportunities for players thanks to the real marketplaces integrated into the in-game economy. Digital assets can now be transferred from one game to the player’s wallet first, then from one player to another player. You can keep your unique features and possessions for more powerful gameplay, or you can sell them for a profit to someone who is genuinely interested.
For the time being, the hype created by Metaverse and the world of seemingly limitless opportunities it offers remains an important factor attracting players’ attention. Play, earn your tokens, transfer those tokens to your digital wallet, buy things from the marketplaces, or even better, stake your tokens! The possibilities are endless.
Move-to-Earn: Your Body and Wallet Will Love This
If we could add to our wallet by killing our savage enemies or acquiring a farmhouse in a metaverse depiction, what was wrong with our daily activities in our own world? The simple reduction of an activity like playing games to an income stream (which we can also consider adding value) made us all consider what else can be a new way of earning too. Users enjoy both taking action for their health and earning income with move-to-earn (Move2Earn), which converts physical activity into tangible gains. Although many Move2Earn apps today follow the traditional walking step-counting model, apps like Menzy focus on rewarding a wide range of physical activities that require effort, from running to yoga. At the same time, you can compete with your opponents in a certain lane or take lessons from professional trainers.
Create-to-Earn: Earn With Your Creativity
Among the sub-models we discuss here, create-to-earn may be the most real-world example. So far, artists from various fields of art have earned money by marketing their work heavily with the help of third parties. Today, artworks, songs, and even the popular moments of the internet (such as Jack Dorsey’s first tweet) can be turned into digital assets that can be bought and sold without any intermediaries. This is called the new “creator economy.” Painters are creating NFT collections, musicians are sharing their songs in NFT format and this create-to-earn model allows creators to profit not only from the initial sale but also from secondary sales.
Earn In Style with “Wear-To-Earn“
Brands, designers, and retailers will collaborate to integrate “wear-to-earn” models that will help their businesses thrive in the digital fashion area. Customers who wear virtual items can now be compensated by brands and designers. This assists them in developing long-term relationships with their customers as well. This system of incentives includes cryptocurrency rewards, exclusive access to wearable items, airdropping fashion items to their digital wallets, or sometimes compensating the loyal customers with fungible tokens. We will soon start to get a digital version of every clothing item we buy and get paid by wearing them in different virtual worlds. How cool is that?
A New Digital World Is Coming. Is Your Brand Ready?
Although the “X-to-Earn” concepts are still in the stage of gaining the trust of most of the society, it seems that with the completion of digital transformation, it will become a simple act like eating. Even eating out can create an income stream at some point (Eat-To-Earn?).
If you have a brand and looking for new ways to digitize your products and store in regard to all of these developments, you can contact our professional team today and be ready when the new digital era is here.