SWEAT is unique in its purpose of inspiring the world to move. The scale and adoption of SWEAT is merely an effect of this purpose, a validation of the mission.
The purpose and the scale of SWEAT provides a unique context for the token. This effects the token design, the revenue structure, and the Foundation’s plans for the future.
Adoption… so far
The Sweat Wallet was the most used DApp in the week after the launch of SWEAT. Since then, it has floated around the top five, which is still incredible considering the app is a very young product. It allows users to mint SWEAT for their steps, to use that SWEAT in staking, and to access rewards. As the features and utility grow, we can expect the user base to grow.
Commitment: 50% profit for buy and burn/yield
The Sweat Foundation will use 50% of its profits to buy SWEAT from the secondary market. This SWEAT will be burned/destroyed, or distributed as staking yield.
The Sweat Foundation will publish evidence of the buying activity to ensure the community has transparency on this process.
Why buy and burn?
It enhances token utility and prevents dilution by reducing the tokens in circulating supply.
The Sweat Wallet is uniquely built for the mass market. Anyone with a smartphone can create a non-custodial wallet in seconds and walk to mint SWEAT.
With an ever growing user base, walking more and more, it would be possible for the token to become highly inflationary, which would dilute the value of your steps.
Buy and burn balances massive popularity with sustainable economics. It returns the value our community creates back to SWEAT.
Another measure we have taken to create a sustainable economy is the minting difficulty increase. Every SWEAT will be harder to mint than the one before it. In one year, it is estimated that it will be 3X harder to mint one SWEAT.
Why buy for yield?
Again, this enhances token utility and prevents dilution/inflation.
In the Sweat Wallet, users can stake their SWEAT to receive an attractive % yield on their SWEAT.
By funding the staking utility with SWEAT bought on the secondary market, the Foundation can help to prevent massive inflation. Many projects have to mint more of the token to fuel the staking products they offer, which can be highly inflationary and unsustainable. The ‘buy for yield’ mechanism prevents this.
Where does the profit come from?
Sweat Foundation generates revenue principally in two ways. For a full overview, see our website, or our Medium article on Demand for SWEAT.
User engagement (B2B) — the massive Sweat Wallet audience is valuable to brands. Brands can pay to feature in the app — such as to offer rewards, market their NFTs, advertize, or be featured in a Learn to Earn (our Beta crypto Learn to Earn received 815K participants!).
Transaction fees (B2C) — the Sweat Wallet app is introducing millions of people to crypto. Its features will include: staking, fiat on-ramp (purchasing crypto with a bank card), crypto-crypto exchange, NFT games, NFT marketplaces, and much more. Given the size of the community, the revenue generated from these in-app features will be huge.
Further details about the token can be found on our Token webpage. For the latest news, make sure to join us on Twitter, Discord, Telegram, and Reddit. Download the Sweat Wallet app to walk into crypto (Android and Apple).
https://sweateconomy.com/