5 Sustainable Blockchain Models That Are Alternative to Play-to-Earn
If you’re looking for an alternative to play-to-earn, then here is a list of 5 other potentially sustainable blockchain models to explore.
Interested in dabbling into projects utilizing other models aside from play-to-earn? Then these 5 blockchain models may be alternatives to look out for, models that if done right, could be sustainable.
1. Tokenized Asset Ownership: Blockchain technology allows for the tokenization of real-world assets, such as real estate, art, or collectibles. By representing these assets as digital tokens on the blockchain, individuals can own fractional shares or have direct ownership, facilitating more efficient and transparent asset trading and investment. This model provides an alternative means of generating value and income through asset ownership and appreciation. An example of this could be creating a blockchain game with optional NFTs in it, that act as cosmetics and skins players can purchase or potentially earn through a battle pass for a limited time, after which they’ll no longer be available for purchase, making the assets more sought after years later. Essentially this could be referred to as the play-to-own model.
2. Decentralized Finance (DeFi): DeFi refers to the use of blockchain and smart contracts to recreate traditional financial systems in a decentralized manner. DeFi platforms offer various financial services, including lending, borrowing, staking, and yield farming. Participants can earn interest or rewards by providing liquidity to these platforms or by leveraging different DeFi protocols. This model provides sustainable revenue streams by leveraging the power of decentralized networks and eliminating intermediaries.
3. Non-Fungible Token (NFT) Marketplaces: NFTs extend beyond gaming and can represent digital art, virtual land, or unique digital assets. NFT marketplaces provide a platform for creators to sell their NFTs and for collectors to acquire and trade them. Artists and creators can earn royalties on secondary sales, incentivizing the creation of high-quality digital assets. NFT marketplaces offer a sustainable model by facilitating ongoing revenue generation for artists and creators.
4. Governance and DAOs: Decentralized Autonomous Organizations (DAOs) are community-driven organizations governed by smart contracts. Token holders can participate in decision-making processes, voting on proposals and shaping the direction of the organization. DAOs can generate sustainable income through community funding, grants, or revenue-sharing models. By involving community members in decision-making and incentivizing participation, DAOs can create a self-sustaining ecosystem.
5. Blockchain-based Certifications and Credentials: Blockchain technology can provide secure and tamper-proof verification of credentials, certifications, or qualifications. By issuing verifiable credentials on the blockchain, individuals can prove their skills, education, or achievements without relying on centralized authorities. This model can create sustainable income streams by offering certification services or by enabling individuals to monetize their verified credentials in job markets or freelance platforms.
These sustainable blockchain models offer alternatives to the play-to-earn model, allowing individuals to generate income and value through various means beyond gaming and directly participating in virtual economies. It's important to note that the success and sustainability of these models depend on factors such as adoption, market demand, regulatory considerations, and the overall development of the blockchain ecosystem.