4.89 billion – That’s the total number of social media users in the world in 2023. Although a large number of people use social media applications today, most platforms work on Web2 technology. Concerns of centralization, data breaches, and information manipulation have been rampant in recent times, raising doubt among people to use these apps. Coincidentally, the rise of blockchain technology presented a feasible solution in the form of SocialFi (Social Finance), which has been under development for quite a while. 2023 has been a fantastic year for SocialFi supporters, as two platforms – Friends Tech and Tip Coin, emerged out of the blue with a lot of promise. We will see why one should develop a SocialFi app like Tip Coin or Friend Tech in this blog with expert insights.
SocialFi – An Introduction
Social Finance, or SocialFi, is a domain combining social media applications with blockchain technology. Typically, these apps incentivize creators to create quality content and users to spend their time on the platform. Remember, the domain is still largely experimental, so if you hear some app rewarding users in some other way, it is applicable as well.
Decentralized social media applications have existed for quite some time, although they were not very popular. These platforms’ main advantage is they are not controlled by any central entity (or only partially controlled), and the user community has a huge role in their operations. Such provisions truly make these platforms work well among participants.
The Latest SocialFi Sensations
Tip Coin is the newest SocialFi platform that focuses on monetizing user engagement on social media applications (Specifically Twitter/X). The platform functions as an all-around reward system that mutually rewards users for their interactions with tweets. It uses 1-week epochs to determine and distribute reward points to users.
To gain rewards, users need to connect their Twitter/X account to the platform to be part of the airdrop. Once connected, they can continue using their account and get rewarded for various activities like tweeting, retweeting, liking, and commenting. Points can be accumulated based on the activity levels on posts, added with multipliers that vary with the activity’s nature.
The platform’s developers plan to launch an exclusive application for decentralized socializing where these reward tokens will come in handy. The current trend, henceforth, should be viewed as more of a marketing move than an actual utility. Nevertheless, Tip Coin has received an arousing welcome from the Web3 community as many icons and influencers see its potential.
Friends Tech is another SocialFi application that made waves months earlier with its unique feature. It offers its users the ability to purchase shares of others’ social profiles (again, Twitter/X profiles). These shares can be used to message people who would not usually respond to messages on other social networks or lock their messaging section.
Despite its Telegram-like look and simplistic user interface, the app saw widespread adoption from users. Most early adopters were crypto influencers and pro-Web3 celebrities who wanted to create an opportunity for their true and hardcore fans to interact with them.
The platform’s pricing model is exponential, meaning users who purchase shares earlier will have them for a price less than those buying later.
Also, share prices could change based on how people perceive a particular social icon’s activities. The platform functions on Base, the Ethereum layer-2 solution built by the established crypto exchange Coinbase, a reason that drove users toward the application.
Why Develop a SocialFi App Like Tip Coin and Friends Tech?
According to Amy Jo Martin, Founder, and CEO of Digital Royalty, “Social media is the ultimate equaliser. It gives a voice and a platform to anyone willing to engage.”
Although the statement intends to glorify social media in general, not all conventional social media apps allow people to post freely. There are restrictions of different kinds that disable people from sharing content that could supposedly be harmful to the masses. More people feel that the freedom of speech and expression has drastically reduced in the digital age, ushering in the need for newer pathways.
Here is where novel ideas like SocialFi can work seamlessly, as they are decentralized, transparent, and, importantly, free of censorship. While people planning to develop a SocialFi app like Tip Coin or Friend Tech might not feel these platforms cover such aspects, customizability is all theirs. Such provisions enable them to go about what they really want to give the world.
Also, creating decentralized social media apps like these can be a great business option for entrepreneurs looking to tap into different channels of Web3. Today’s Web3 largely consists of trading platforms and gaming applications, and social networking applications can offer chances for the community to interact and share content.
“Build a decentralized SocialFi App like Tip Coin or Friend Tech to Accelerate Web3 Adoption!”
What Does the Future Hold for SocialFi?
With the evolution of apps like Friends Tech and Tip Coin and the reception they gained in the market, one thing is certain. It is essential to utilize Web2 platforms to attract people to use these apps, as most people still engage in Web2-based social platforms. But, it isn’t mandatory, as early-stage applications found success without involving existing social apps.
Steemit, Lens Protocol, Mirror, and Mastodon have set themselves as leading players in the Web3 social media scene for their exclusively user-centric nature and rewarding provisions. With a handful of platforms preparing for the next crypto boom, SocialFi could see its renaissance in the coming future.
Be Part of the Futuristic Web3 Realm with a Community-Centric Social Media Platform!!
But Why is SocialFi Received Well in the Market?</h3?
- SocialFi functions on decentralized technology, meaning user data would be safe from breaches and hacking attempts.
- These platforms also incentivize user activity through cryptocurrencies and NFTs, which makes them appealing to the community.
- Since no central entity completely controls these social applications, censorship of content would not be a problem.
- Community governance in such platforms offers users the ability to contribute to the platform through their decision-making prowess.
- Decentralized social media platforms can also be pathways to other applications like metaverses, marketplaces, and games, enabling the creation of Web3 super apps that offer a high-class user experience.
- Such applications can redefine digital copyrights to align more with Web3 norms, facilitating a seamless monetary model for creators and fans.
Henceforth, we have seen comprehensively about SocialFi and its role in driving Web3 adoption. As a business enthusiast looking to develop a SocialFi app like Tip Coin or Friends Tech, you can certainly take advantage of the recent developments. Beginning now in this direction would be the perfect opportunity as Web3 social media is all set to position itself as a bridge for user transition from Web2 to Web3. If you’re curious about building such a platform, working with Blockchain App Factory’s experts in dApps development could be the ideal choice, as we have a team of them bringing a wealth of experience. Fill out the form below now to initiate a conversation with one of our professionals!