How Can Decentralized Social Media Be Monetized in Web 3.0?
How to Make Money via Social Media
According to Alex, there will be many different ways to commercialize content, all of which are intended to increase the value for content producers and offer users better and more relevant material.
Users can build either a private blog where only they can write content or a public group where page followers can also contribute content using Web3 social’s community platform Space. Users are permitted to provide any account moderator and editor roles in the case of public groups.
Users can reproduce a wide range of options from conventional social networking sites on Spaces. For instance, copying Stack Overflow would let users freely design a place where anyone can post a question and give cryptocurrency rewards to contributors who provide an answer. Or utilize Patreon, where people may create a space that makes money via subscription fees and user votes.
If intermediaries are eliminated, any material may be more fully monetized and can deliver greater value to the content originator.
Users of Web3 social will be able to award any post, remark, or space with Tips, which are effectively cryptocurrency gifts. This will encourage community participation and interaction. Additionally, this will make it simple for anybody to give to or subscribe to other platform content creators.
Payments for smart contracts
By doing away with the requirement for any third party to mediate transactions, smart contracts will enable the web3 social media website development to maintain its decentralized nature. Developers will be able to create advanced payment alternatives that suit the tastes of certain users or their communities thanks to the use of smart contracts on web3 social.
For instance, space owners would have complete freedom to develop their own original revenue strategy or start competitions according to their requirements and market.
This stands in stark contrast to other, more constrained contemporary possibilities like Steem, which uses a single global incentive mechanism based on the inflation of its native token and distributes additional tokens according to user comments and the best remarks as determined by the community.
Monetization of NFT
2021’s zeitgeist experiment is non-fungible tokens (NFTs), and for good cause. NFTs are distinctive digital assets that serve as blockchain representations of any type of asset, including tickets for flights, collectibles, works of art, audio files, and even tweets.
Recently, it was reported that famous people tokenized their tweets. Elon Musk’s tweet about NFTs is currently selling for over $1 million, while Twitter and Square founder Jack Dorsey’s first tweet sold for $2.9 million.
By enabling its users to rent out their posts instead of just selling them as NFTs, Web3 social hopes to advance the commercialization of NFTs and help users better monetize their most popular content.
Promoted comments will be improved by Web3 Social in a creative and entertaining way. On its decentralized social media platform, users can produce promoted remarks and mentions.
Influencers should be allowed to choose a preferred pricing for alerts about their comments that are guaranteed. This feature may be especially useful with popular or instructional content as it will encourage Space influencers to share their knowledge and experience with other users.
For instance, an influencer who is cited in a user comment may receive compensation (stake) for their knowledgeable responses. This payment will need to be locked down for a while, though, as mentioners might try to take advantage of the system by luring influencers in and then canceling the paid mention after the influencer starts interacting but hasn’t yet provided a detailed response.
Users will be able to post pertinent queries and establish a reward system for insightful responses. Imagine the potential of a Quora or Stack Overflow that is commercialized, where users are completely rewarded for providing excellent responses for the benefit of the entire community.
Of course, there may be cases where a questioner tries to manipulate the system and disregards even truly excellent responses to the question.
In these situations, the Web3 social network can become involved in settling disputes by voting on the best solutions. The response with the most votes will then receive an allocation of the reward that has yet to be determined, say 50%.
Influencers, key opinion leaders (KOLs), and other content producers will be able to create custom digital assets called “social tokens” or “space tokens” for their networks and communities with the help of Web3 social. These resources will effectively be the governance tokens for each space, which may be used, for instance, to control who has access to or is a member of a community on other platforms like its Telegram or Discord group.
They may also be given as gifts or used to tip writers or articles in a certain space in the future, just like any other token. The beauty of this idea is that space owners will be able to determine the tokenomics of their space’s assets and differentiate and modify their social tokens to offer a range of monetization options for a specific space.
Users of Web3 social networks will be able to put up direct advertisement slots on their spaces and sell them to interested customers directly, without the necessity of a middleman or broker. Owners of spaces may post a price list for each slot on their property in accordance with the terms of the agreement in order to monetize them.
The best pricing for these slots can be calculated using a variety of characteristics. For instance, by including elements like the length of time an advertisement is displayed, its placement, the days of the week or hours it is displayed (thereby accounting for regional characteristics), or promotional additions like pinned posts, space owners can set adjustable pricing. Owners of advertising space will have countless alternatives for customizing their adverts to best fit the timetable of their particular area.
In the brief history of the internet, we are at a turning point where we can see an increasing number of applications actively attempting to reclaim the general public’s authority over personal data.
Users will hopefully soon be able to monetize their own data without having to put up with the rent-seeking arrangement we currently have with today’s social media platforms, which has transformed the user into the product, thanks to the tide-shifting adoption of blockchain and cryptocurrency technologies.
The Web 3 Foundation and Polkadot ecosystem are currently giving the web3 social platform more momentum, which increases its prospects of accomplishing this challenging goal. When these platforms will take the place of current social media alternatives is the real question, not if they will. Adoption and network effect will be important, as they are for any social media site.
Web 3.0 social already has a business model that will encourage internet users to switch to Web 3.0 applications and reward them for doing so. The decentralized network is putting itself in a good position to be an appealing option for people turned off by their negative experiences on centralized social media platforms by offering a fair and democratic incentive environment for content creators, contributors, and developers.
With hordes of people leaving Facebook and Twitter in pursuit of more fulfilling options, social media is ready for a permanent disruption.