NFT 2.0: The Next Wave is Love to Earn

The phrase “If you don’t pay for the product, you are the product” has long encapsulated the Web2 era’s ethos.

However, we stand on the precipice of a profound shift — a transition from simplistic transactional relationships to deeply collaborative ones. The “Love to Earn” movement will blur the boundaries between consumer, employee and shareholder.

The Web2 Paradigm: A Value Extraction Game

To understand the future, we must first revisit the present. The Web2 era is characterized by platforms and services designed to extract maximum value from their audiences. This is achieved through various means:

Data Monetization

Every click, like, and share is tracked, analyzed, and often sold to the highest bidder. Personal data became the new oil, fueling the engines of targeted advertising and personalized marketing.

Ad Revenues

The digital landscape became a billboard, with ads popping up in every nook and cranny. From search engines to social media platforms, the user experience is often secondary to ad placements as YouTube users can attest.

Premium Models

Freemium models lure users in, only to place the best features behind paywalls, pushing many towards premium subscriptions through arbitrary product limitations rarely associated to cost.

However, as the digital landscape matures, cracks in this model are beginning to show. Users are growing wary of their data being hawked and are becoming fatigued by omnipresent ads.

Our goal should not be to reject Web2, but to embrace its efficiencies and positive outcomes and blend them with a model that considers fan, user and customer interests core to the value proposition —what Dropfish enables.

Web3: A Collaborative Commercial Renaissance

Web3 promises more than just technological advancements; it heralds a philosophical revolution. Here’s what’s on the horizon:

Verifiability

Because assets can be tokenized on a blockchain, verifiable ownership and access can be facilitated through NFTs. Think of this as a keychain. NFTs are the keys that you need to to access an app, your car, a toll road or anything else for that matter. You may not need to see the NFTs, but you can if you want to. You can even choose to own them, gift them or sell them.

Self-sovereignty

Unlike the centralized structures of Web2, Web3 operates on decentralized networks, giving you control and ownership. When you own something no one can take it away. Meta couldn’t unilaterally close your account and no one could steal your car. You may not think about or want these features, but if you change your mind, they will be available to you.

Active Stakeholding

Users transition from passive consumers to active stakeholders. Their interactions with platforms can grant them a stake, both financially and in terms of influence. Just as in companies, universities and social clubs, tenure, contribution and reputation matter, so too do they for fans, users and customers —they just aren’t as visible yet.

This shift is profound. Imagine a digital realm where your engagement with a platform isn’t just about consumption but about co-creation. At Dropfish, we don’t think this is merely about financial stakes. It’s about forging a sense of identity, fostering community, and sharing in a platform’s destiny. And what’s more, you take pleasure in it.

Customer Lifetime Value (CLV) Revisited

With Web3’s dawn, the traditional metrics we’ve leaned on are due for a rethink.

Stakeholders with deeper ties to platforms, are likely to stick around longer, reshaping the meaning of CLV.

But it’s not just longevity; it’s also about what engagement is beginning to mean. In this new world, value isn’t just about monetary transactions that enrich one party. It’s about active contributions — feedback, marketing, core product work or even admin. It’s a symbiotic relationship where both parties stand to gain.

The metrics we’ve relied upon are undergoing a seismic shift:

Longevity

With users becoming stakeholders, they’re more likely to have more prolonged engagements with platforms.

Depth of Engagement

It’s no longer just about transactions. Users will contribute ideas, feedback, and resources, adding layers of value.

Shared Success

The success of a platform translates to the success of its stakeholders, creating a symbiotic relationship.

Longevity is by nature a long game. And with Dropfish, it can literally become a game. When purchases hold the same weight as contributions, brands can create paths for community members to earn while engaging — nay, loving — thier products and services.

The Emergence of Hybrid Organizations

On the horizon, we see the birth of a novel organizational breed. These entities will marry the drive of capitalism with the ethos of cooperatives.

Profit remains a motive, but it’s balanced with purpose. And while startups might have an edge in adopting this model, don’t count out the old guard. Traditional firms that can pivot and embrace this new reality will find themselves in a solid position.

The future belongs to organizations that can navigate these unexplored seas:

Startups

New ventures have the agility to build from the ground up, embedding Web3 principles into their DNA.

Traditional Firms

While they face the challenge of legacy systems, those that can pivot and adapt will reap significant rewards. It’s not about discarding old values but integrating new ones.

Wrapping Up

The “Love to Earn” movement is more than a digital buzzword. It’s emblematic of a deeper evolution in the digital sphere. As we transition from Web2’s transactional nature to Web3’s collaborative spirit, we’re charting a course for a more inclusive and shared digital future.

So, readers, as we sail these digital waters, remember: this next wave isn’t just about tech or market dynamics. It’s about community, collaboration, and a shared digital destiny.