Answering the “Why” for Web3
I get asked quite often “But why does this idea you’re proposing need to be on the blockchain? Why does it need to be an NFT.”
And I’ve been overcomplicating the answer. Unlike Packy McCormick (who can answer talk about decentralization in 13,000 words and I still wish it was longer), I will be brief:
There are many great benefits to Web3 technology, but we have to stop using big words and complex ideas to sell it.
That’s not how we forge progress. The key to Web3 success for brands will be simplification without loss of specialization.
First, let’s stop using words like “interoperability.”
Let’s, instead, use words like “connected.”
In simple terms, interoperability is a term used to indicate that systems and programs can communicate with other programs.
For blockchain-based applications, it means that tokens and NFTs from one brand can connect or unlock access to another.
Why is this cool? Because every company and brand is using its own platforms at the moment. Nothing is connected.
Another term we hear a lot: “composable.”
Which, I’ll admit, sounds a lot like compostable. Or garbage. Trash.
But what this really means is “adding.”
We’re starting simple, and adding layers, benefits, applications, experiences, value.
Today’s brand/consumer experience is isolated from one another. They don’t connect. They aren’t additive.
What’s worse? Centralized platforms own that content, data, and relationship with the consumer.
Current loyalty programs suck. Yet no brand is ready to replace its existing solution. No, not even Starbucks or Nike. But by seeding tokens with subsets of consumer audiences, you start small with small rewards. Build affinity.
Only later, once behaviors, interests, and accessibility are greater… Then we add. Then we connect. White-label token platforms (like Mint) are building systems that can be connected and added to over time.
- With tokens that connect branded experiences to each other… partnerships via proof of ownership.
- With tokens that can be added over time… that unlock access to experiences, events, content, commerce, collaborations.
With blockchain transparency, all of this connecting and adding is going to provide better data (data that the brands own, not the centralized platforms).
Which then will make the connections better, and the additions smarter.
Thus making consumer experiences better, and brand loyalty stronger.
Sounds like a win-win to me.