STEPN price skyrockets amid huge user growth. Hints about potential shoe brand deal with Nike, Adidas, Asics or Head.
The cryptocurrency market has proven time and again that the most popular crypto categories change over time, and the price of coins in the categories that change in popularity reflect this.
One factor that often precedes the upward momentum of digital assets is an increase in talk or “hype” surrounding a trend. Over the years, there have been a lot of them in the crypto space. The industry has moved from one trend to another, including initial coin offerings (ICOs), decentralized finance (DeFi), memecoins, non-fungible tokens (NFTs), and play-to-earn (P2E) games.
The most recent trend in 2022 has been move-to-earn tokens like STEPN’s Green Metaverse Token (GMT)
The price of STEPN (GMT) has skyrocketed since its token sale was conducted on Binance Launchpad on March 2nd. Since its all-time low of $.100826 on March 11th, GMT spiked to an all-time high price of $3.11 on April 1st.
STEPN and the Move-To-Earn Model
STEPN is a move-to-earn cryptocurrency Social-fi app that’s built on the Solana network. The platform describes itself as a “web3 lifestyle app” that rewards users for maintaining a healthy lifestyle through walking, jogging, or running outdoors.
The move-to-earn concept is still relatively new, but it is similar to the play-to-earn model because it adopts elements of Game-Fi, Social-Fi and NFTs. The big difference being, move-to-earn projects reward users for maintaining healthier lifestyles instead of solely playing games.
Since its public beta launch in December 2021, STEPN has seen tremendous user growth, with the number of daily active users on the platform jumping from a mere 1,500 in January to over 100,000 in March. Many users are signing up for the STEPN app as they hope it will become the Axie Infinity of the move-to-earn model.
In January, the project raised $5 million in a seed round by selling about 16% of GMT supply. Some of the big names in the industry took part, including Alameda Research, Solana Ventures and Folius Ventures.
Rewards from NFT Sneakers
To earn rewards, users are required to mint, buy, or rent NFT sneakers from the in-app marketplace and then start walking, jogging, or running outdoors. Players can also increase their earning potential by leveling up or repairing their sneakers. They can also upgrade their attributes with gems.
The NFT sneakers are degradable and have four attributes (efficiency, luck, comfort and resilience). In addition, they have five qualities (common, uncommon, rare, epic and legendary). The collection also has four different types of sneakers – walker, jogger, runner and trainers. Prices for each sneaker varies depending on its type, rarity or level.
Dual Governance and Utility Tokens
STEPN uses a dual token model like many P2E gaming platforms such as the popular Axie Infinity. This means that the STEPN ecosystem has two tokens, one dubbed Green Satoshi Token (GST) and the other Green Metaverse Token (GMT).
GST is STEPN’s unlimited supply utility token. GMT however, functions as a governance token and has a limited supply of 6 billion units. Although GST has an infinite supply, STEPN uses a burn mechanism to control the circulating supply. Players have to burn GST to mint, repair or level up their sneakers. The project also has a quarterly buyback and burn mechanism for GMT.
The STEPN app rewards users with both GST and GMT tokens, but this depends on the users’ level and ownership status of the sneakers. For instance, new users or users renting sneakers can only earn GST, while sneakers owners who have leveled up can earn GMT.
Major Shoe Brand Partnership Coming?
There are several reasons why the price of STEPN has risen so dramatically. First, like many other crypto manias in the past, the move-to-earn model is fast becoming the hype and might even one day outperform play-to-earn. This has led to a significant increase in the number of users on the STEPN fitness app, and therefore more demand for GMT.
Also, earlier this week, a STEPN spokesperson gave subtle hints about a potential partnership deal with a major sports brand. The project even took it a step further by sharing artwork containing hidden logos of popular brands Adidas, Nike, Asics, Head and even Binance. The news spread like wildfire, and euphoria filled the air, which again led to more demand for GMT.
👀Vu sur le dernier Tweet de @Stepnofficial
Merci @MysaSatoshi #STEPN $GST $GMT 👟 pic.twitter.com/b5Pj8O2tye
— STEPN by FrenchBorg 👟 (@FrenchBorg) March 29, 2022
Disclaimer: Although the material contained in this website was prepared based on information from public and private sources that chiliznews.com believes to be reliable, no representation, warranty or undertaking, stated or implied, is given as to the accuracy of the information contained herein, and chiliznews.com expressly disclaims any liability for the accuracy and completeness of the information contained in this website.