µniverse – 3
The next question to consider: how can Web3 ideas enhance Atomic Rewards?
Three tweaks to the Mu points system can create an even better solution. First, MuCo should think of Mu as tokens. Second, it should put an upper limit on the number of tokens in circulation with clear rules governing their minting – introduction into circulation. Third, MuCo should create an exchange enabling the Mu tokens to be traded between brands and customers. The impact of these enhancements will be that the value of Mu can now increase over time – thus making the Mu token holders (customers) as investors. The key to making this work is the assumption that incentives offered in the form of Mu can indeed nudge customer behaviour as desired by marketers. Games have done this very well; it still remains to be seen whether it can work in the real world.
Since the absolute quantum of Mu tokens is capped, over time brands requiring them will need to buy them via the exchange from customers (or potentially, other brands who have bought them earlier.) This “exchange” will enable the creation of a marketplace where the price of Mu will be determined by buyers and sellers, rather than a centralised entity. It is similar to how bidding on keywords for advertising on Google is determined via an auction.
As Mu tokens acquire value beyond what is set by MuCo, it can become an “attention crypto-currency”. Transactions are stored on the blockchain to ensure transparency. Every customer now has a “Mu Wallet” where they can hold their tokens. And as marketers and customers see value, the usage of the tokens can also diversify. A MuBox (or micronbox, as I have termed it previously) can aggregate all messages with rewards into a single inbox. A MuBrowser can address privacy and generate rewards. These would be the baby steps to creating the µniverse, a virtual world where brands and customers can engage with each other.
Let’s take this further. One of the biggest challenges that a brand has is new customer acquisition. Suppose they incentivised existing customers to help them get new ones via referrals. Let’s take the example of Netflix which is having growth hiccups in India. Suppose Netflix would allow me as a customer to check who among my social network is a customer. If I can then persuade those in my network who are not Netflix customers to sign-up, I can be rewarded with Mu tokens. This makes referrals targeted and rewarding. Each of us is a micro-influencer and we all know the power of word of mouth. What’s been missing is the knowledge of whom to persuade and an incentive to do so. Atomic Rewards in the form of Mu tokens can be the answer. Web3 tokens can thus drive network effects to solve not just attention recession but also the cold start problem that many brands have – in an efficient manner, where the cost of acquisition can be taken as a percentage of the sale value, thus creating an infinite budget for new customer acquisition.