May 4, 2022

Open Sauce #1: Day Ones NFTs - Action Oriented Onboarding

Open Sauce #1: Day Ones NFTs - Action Oriented Onboarding

We're in education mode. We have to be since the reality is more people are talking about NFTs than doing NFTs. 

According to this recent report by Complex, 96% of respondents surveyed are aware of digital assets like NFT collectibles, but only 30% are participating (4% for women). Approx 45% are aware of DAOs, but only 9% are participating (0% for women surveyed).

The lack of movement is due in no small part to the confusion, frustration, and skepticism that can accompany learning about crypto. These feelings are normal for newcomers to blockchain, but must be overcome to see the full potential of the technology. The truth is, blockchain isn’t scary. 

Maybe a way to onboard new users to the technology is to allow them to experience it first. Reading and talking about NFTs won’t do the trick. We gotta learn by doing

The question is how do we onboard at scale? This is a question I ask myself constantly.

I’ve become a huge fan of free NFTs (like POAPs) given as a Proof of Participation. These NFTs have all the traits that allow them to hold value - scarcity, rarity, etc, but POAPS also have one other very important characteristic. They can only be earned, meaning the money hurdle is removed. 

Newcomers are able to earn for activities they’re already doing and can see the benefits of blockchain from new angles. For example, POAPs (and all NFTs) exist publicly on the blockchain, making it possible for you to one day see who attended the same concert as you 10 years ago.  

So we decided to bless the people with Free NFTs. We’re calling them “Tokens of Our Appreciation” 

Why? For a few reasons:

  1. To educate our audience on NFTs in a way that works  

  2. To identify the actual level of engagement for Phlote DAO

  3. To give the community onchain visibility

  4. To design an onboarding process that overcomes traditional barriers to entry

  5. To deliver value directly into the wallets of Team Phlote

How did we execute this?  We used this publicly available tool to mint an edition of 400 NFTs. All NFTs were minted on the Polygon network to avoid gas fees. In order to maintain rarity for the holders, no additional NFTs will ever be minted in the future. The entire collection is publicly visible. Owners have the immediate ability to sell, transfer, or burn their tokens.

We now have a visible community of 397 unique holders who have an active stake in Phlote DAO. 

What happens next? More art, more drops, more value driven to our Day Ones.