George Miller
Telegram, already a dominant messaging platform, is set to seize a prominent position in the rapidly expanding Web3 landscape due to the introduction of two exciting features.
As one of the most extensively used social media applications globally, Telegram benefits from an intuitive user interface and secure messaging, achieving a staggering user base nearing one billion.
The recent addition of mini-apps—web applications accessible directly from Telegram chats—marks a significant evolution of the platform, extending its functionality beyond mere messaging. This feature allows developers and businesses to tap into Telegram’s vast user base to cultivate dynamic communities centered around games and various applications.
However, the real game-changer is the inclusion of Telegram’s native blockchain, TON. This integration allows developers to launch crypto tokens with actual market value within their mini-apps, fostering new economic models that enhance user acquisition, engagement, retention, and revenue generation.
Central to every tokenized mini-app is the “TGE” or token generation event, where a blockchain token is created for distribution, making it tradable. The economics of these tokens, or “tokenomics,” are vital; well-structured systems can sustain themselves and provide ongoing value, while poorly designed ones risk fading quickly into obscurity.
The Telegram Tendency
Designers of tokenomics face a significant hurdle due to the somewhat insular nature of the Telegram ecosystem.
With its large user base, Telegram is an influential platform for engaging communities, making it a favored app in the cryptocurrency sector. Notably, some new tokenized games have witnessed remarkable growth, such as Hamster Kombat, which reached an impressive 300 million users within five months by August this year.
Nonetheless, Telegram operates in a more siloed environment with limited integration from other popular social media platforms. This lack of connection is critical for fostering a sustainable economy; without links to external services and revenue streams, the success of any Telegram mini-app—and the value of associated tokens—may be short-lived, a fact illustrated by Hamster Kombat’s significant drop in user numbers by over 250 million in September.
Connecting the Dots
It’s worth noting that finding crossover appeal is a challenge most crypto applications face, inside and outside Telegram. Telegram’s seamless user experience and easy integration transform traditional “Web2” apps into blockchain-enabled versions without the usual hassle.
A prime example of this transition is TimeFarm, a mini-app developed by the Australian blockchain recruitment firm Chrono.Tech. TimeFarm incentivizes engagement through token distribution ($SECOND) and has attracted an impressive 10 million users since its launch in June.
What sets TimeFarm apart is its tokenomics, which address a genuine need for specific services, generating authentic demand for $SECOND. In the Attention Economy, individuals and businesses vie for user engagement. TimeFarm provides a platform where users can buy promotions—likes, shares, referrals, etc.—utilizing $SECOND as a reward method.
While individual user contributions may seem minor, the cumulative effect across a vast user pool is significant, enticing companies needing grassroots engagement. This bridges the gap for users to organize their customer bases, aligning well with Chrono.Tech’s mission to streamline global recruitment using blockchain.
The Mini-App Horizon
In the realm of cryptocurrencies, innovation is rampant, with new models being tested within the global blockchain community. However, few survive due to the inability to resonate outside the crypto niche.
Telegram mini-apps have successfully tackled major barriers to blockchain integration, granting organizations the ability to onboard millions of users while ensuring smooth access to crypto-powered web services. Applications like TimeFarm address real-world demands in ways conventional apps and traditional payment systems do not. Partnering the right platform with a viable model is set to spark a wave of innovation, benefitting both businesses and users.
The Onboarding of New Crypto Users via Telegram Mini-Apps
Recent strides made by Telegram have brought blockchain technology closer to a crucial tipping point than it appeared at the beginning of the year.
The term “Web3” can be challenging to define, but it generally denotes a decentralized internet version primarily based on blockchain technologies. Unlike our current Web2, dominated by major corporations exercising control over key web services and user data, Web3 aims to foster a more user-centric, egalitarian web reminiscent of the internet’s early days.
Despite promising concepts, Web3 has struggled to take off, with usability issues being a significant barrier. Navigating crypto platforms often involves a steep learning curve, making it less accessible for mainstream users.
Embracing Change with Telegram
Transitioning from familiar Web2 platforms to new systems can be challenging for many users.
Telegram Steps In
One prominent messaging platform, Telegram, has emerged as a solution. With approximately 900 million active users, it ranks among the world’s top social media applications. The founders of Telegram have shown remarkable foresight in various aspects.
They introduced mini-apps—web-based tools that operate directly within Telegram—allowing developers to create engaging games and other services that users can easily utilize without leaving the app. Additionally, they launched a powerful blockchain platform named TON (The Open Network), which integrates smoothly with Telegram to facilitate blockchain transactions. This setup makes it straightforward for apps to incorporate crypto tokens for rewards and payments, fostering intricate economic interactions.
As a result, millions of users are now engaging with these blockchain-driven mini-apps, bringing the Web3 experience closer to the familiarity of Web2.
Navigating Tokenomics Challenges
Designing sustainable economic models for these new crypto-based games and applications poses a significant challenge for creators. The concept of tokenomics, which explores the economic frameworks of these in-app currencies, focuses on balancing supply and demand. A misstep here can lead to a decline in token value as users sell off what they earn, highlighting inflation-related risks.
A key difficulty lies in connecting to revenue channels outside Telegram’s somewhat insulated ecosystem, which can limit demand for tokens. Even though the communities formed around mini-apps can boast millions, their internal dynamics may hinder economic growth without external interactions. Visualize a confined space where participants exchange resources; the potential is limited without outside contributions.
For businesses aiming to enhance robust and enduring tokenomic models, breaking out of this self-contained environment is crucial. Otherwise, mini-apps risk losing momentum soon after initial interest wanes, especially as new competitors emerge.
Linking to External Opportunities
There are several strategies for generating revenue from outside sources by capitalizing on a large in-app user base. Advertising is a straightforward option that can be integrated within mini-apps or Telegram chat groups.
Another innovative approach, showcased by mini-apps like TimeFarm, encourages community involvement. Launched by blockchain recruitment firm Chrono.Tech, TimeFarm combines Telegram’s massive audience with crypto’s advantages for micropayments—transactions worth only a few cents or even less.
This mini-app has attracted nearly 10 million users, who regularly log in to earn rewards in $SECOND tokens for performing simple tasks like liking, sharing, or referring users. Businesses are keen on this type of online engagement. In Web2, the focus is often on top-down advertising strategies designed to encourage user interaction; Web3 flips this by rewarding users directly with crypto for their engagement.
The Game-Changing Potential of Crypto
This method is not only more effective but also more cost-efficient compared to traditional strategies. In fact, legacy systems cannot replicate this capability, especially concerning the seamless handling of numerous small transactions in real-time and across different regions.
This represents a significant advantage of cryptocurrency—Telegram, with its expansive user community, sophisticated blockchain features, and rapidly expanding mini-app ecosystem, is leading a fresh wave of crypto adoption.
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