What are social tokens?
Social tokens are a kind of cryptocurrency that used by creators, artists, brands, influencers, communities, etc to monetize themselves. It works like any other cryptocurrency, mainly based on social media or other forms of media where artists or creators can monetize their services.
In general, it is a way for internet groups, communities, and artists to monetize themselves in ways beyond conventional methods. These tokens can be used to expand their fanbase and to pay themselves for their efforts and services.
How do social tokens work?
A talented artist or a content creator can establish a good number of followers that form a community and this presents an opportunity for such artists and creators to launch their social token. This social token can be used by the followers to view the contents of their favorite artists or creators. Social tokens can also be utilized to provide special access to fans and even reward them.
We can imagine a scenario in which an artist shows potential and there is a good chance that he or she will have a greater fan following in the future. The price of tokens increases as the fanbase expands and more followers join. Therefore, in this way a building a community helps artists, creators, brands, etc to monetize themselves through social tokens.
Another instance is that tokens represent the transition to Web 3.0. This allows users to create their content online and interact with other content creators without any intermediate mode of transaction.
Types of Social Tokens
Many social tokens have been quite popular among online platforms. Here are to name a few that have good value for money.
The most popular social token in the current scenario is Rally. It created specifically for creators and artists to help them build communities and to create their digital economies. Using Rally creators can create their social token to monetize their services, reward fans, increase their followers, promote transactions, and enable fans for premium access to their content.
The RAC token, also known as $RAC created by a musician and producer named André Allen Anjos on Zora which is an online platform for artists, businesses, creators, etc to build their market. However, the unique thing about RAC is that users cannot purchase $RAC. This social token can only be earned by users. Fans can earn this token and get access to special content and services.
Friends With Benefits ($FWB)
FWB is a community token that launched by Trevor McFedries who is the founder of Brud. He is also known for developing the Lil Miquela that is an AI-created influencer. FWB is a platform for sharing content and feedback between creators and their followers. FWB grants access to information of sorts and create an environment of interaction among fans with the creators for community growth. Users can purchase FWB and form participation in communities they prefer.
Melon is a marketplace for NFT transactions designe for creators and their fan base. So far it is the first and only NFT based social token platform. With Melon there has been a wave of new collections of NFTS that can again used by creators to promote their content and expand their community. With Melon users can monetize their content on online platforms without much restriction. Using the decentralized web, Melon aims to bring top social assets together into one, user-friendly interface.
Another important social token is Whale that comprises the tangible and rare non-fungible tokens. Whale represents a platform where holders of Whale receive a specified stake in Whale Shark’s non-fungible token collection. These social tokens have immense value and are widely use by creators and businesses to monetize their work.
$ALEX is a personal social token that invented by Alex Masmej who is the founder of Rocket. The $ALEX social token created by Alex on Ethereum to generate income for the future. This social token allows users the right to future income and to monetize themselves.
How can people earn from social tokens?
The main objective of social tokens is to monetize creators for their products and create a way for them to interact with their followers. Hence, users can use social tokens in several ways.
Social tokens can use to carry out any activity with an online community just like how money used to carry out tasks. Tokens can swapped for ETH which further can be monetize.
Social tokens are use to reward loyalty. Certain tokens allow top followers and fans to access exclusive content. Sometimes tokens allow certain users to even redeem further services. These factors promote community expansion for creators and businesses.
The value of social tokens increases as a community grows. Therefore, if a user purchases a social token early, then he or she can wait for the value of the tokens to increase which he or she can exchange for ETH and convert that to money.
Physical goods can tokenized into digital avatars and traded within a community of loyal customers.
Also, small and emerging businesses can create their tokens which can bought by investors.
Benefits of social tokens
One of the best features of tokens is their security. Social tokens are built over blockchains which makes them safe from fraudulent transactions. These tokens ensure the security of transactions and the ownership of contents.
Social tokens are a symbol of ownership and trust between creators and their followers giving value to the efforts and services of creators. It allows better engagement within communities and gives creators more control to generate income from their work.
With a social token system, any documentation or information related to a physical asset offered as a digitized token. The hassle of lengthy paperwork and formalities is also eliminate with the use of tokens.
Social tokens are a form of investment for some fans since they can redeem services and used them to make money.