SEOUL, Jan. 24 (Korea Bizwire) – The so-called ‘token economy’ is expanding, in which companies give out tokens that can be exchanged for tangible and intangible goods to provide incentives to consumers to draw out certain behavior.
Home training service platform Yafit Cycle, run by online education startup Yanadoo, is selling tablet PC-equipped cycling machines and subscriptions for a ‘cycle app’ that allows users to compete in virtual cycling competitions with friends.
Every time the users open up the app to ride the bicycle, mileage is accumulated, which can be used to buy various items at an exclusive store.
The so-called ‘play to earn’ (P2E) business model is becoming a new trend in the gaming industry.
“Infinite Breakthrough Three Kingdoms Reverse,” a mobile game that awarded cryptocurrencies in exchange for completing certain quests, topped Google Play store charts last year.
‘Challengers’, the so-called ‘habit-building app’ popular among people in their 20s and 30s, invites users to join in a habit-building quest to wake up at 7 a.m. every morning by placing a wager of more than 10,000 won (US$8.37).
Anyone who fails to reach 85 percent of the achievement will lose some of their money. Those who reach 100 percent of the achievement will get their money back, along with an additional bonus.
The growth of the token economy is primarily driven by consumers eager to invest in cryptocurrencies and stocks as it is becoming increasingly difficult to buy a home on one’s salary alone.
The chance to ‘win cash’ while they play games, exercise, and study is attracting consumers.
M. H. Lee (email@example.com)