A cryptocurrency project will not succeed without a strong community behind it, no matter how good the actual product or service it provides might be.
A strong community is one that’s highly engaged with the platform. This engagement is key because it means users feel more invested in the project’s success. If users are invested in a project, they’re more likely to contribute their time and expertise towards helping it grow. It also helps to build more trust, as an engaged community helps to foster a positive reputation and a sense of excitement that attracts new users.
Communities also help crypto projects evolve and improve over time, as their members provide vital feedback, suggestions, and ideas to improve them. This feedback is essential for identifying potential opportunities and issues and will help guide the project’s future direction.
So, how do we go about growing this strong community essential to the project’s success?
Incentives are key
One of the best tactics is to use incentives that reward users for engaging with the project. Incentives can help encourage more participation and attract new users interested in receiving a promising new crypto token, NFT, or other kind of bonus.
By providing incentives, projects can help their contributors feel more valued and appreciated. This, in turn, encourages them to continue supporting the project as it grows and matures.
Crypto projects have numerous options. For instance, they can create a rewards program that allows community members to earn tokens or other perks based on their level of engagement. Many projects create a kind of tiered system where members can earn points that entitle them to more valuable rewards the more they contribute.
Airdrops are another favorite, encouraging users to interact with the underlying protocol. For instance, the popular decentralized exchange Uniswap whipped up tons of excitement when it announced it would give away free tokens to any user interacting with its protocol before September 1, 2020, at 12:00 am UTC.
Builder’s programs can be highly effective, too. The crypto exchange Bitget recently announced the fifth phase of a builder’s program that encourages influencers to promote its brand and various initiatives it launches. It’s open to any community leader and influencer with at least 100 followers and offers cool perks such as high rebates of 30%-50%, rewards of $5-$10 for each referral and listing rewards of up to 4,000 USDT for each successfully recommended token listing. Participants can also earn NFTs, merchandise, and even holidays to promote the Bitget brand.
COTI, which is building a privacy-centric Layer-2 infrastructure for payments on Ethereum, is building on the success of its own Builder’s Program with a newly announced “Creators Program,” targeting community members who want to help the project grow through content creation.
The COTI Creator’s program was devised by the COTI Foundation, which has allocated more than $50 million worth of COTI from its treasury to its various incentive programs, including its Ambassador and Builders initiatives.
By providing grants to would-be content creators, COTI is looking to incentivize the creation of content, such as explainers and tutorial videos, that can help people get started using or building on its infrastructure. It also wants to encourage community members to create short-form videos that can be shared on TikTok, X, YouTube, and similar platforms; newsletters covering the latest developments in its ecosystem; articles such as tutorials, use cases, and deep dives; infographics that can visually explain the COTI tech stack; and podcasts that help to promote COTI.
COTI’s grants will also go to those willing to translate COTI-related content or conduct academic research based on its technology and use cases. In addition to the grants to help fund users’ content creation efforts, the program also provides substantial bonus rewards for any content that goes viral.
A Fast-Track To Organic Growth
By offering strong incentives such as the examples listed above, crypto projects can fast-track to real, organic growth driven by genuine enthusiasm about the products they’re building.
Incentive programs are also a great sign for investors looking for new tokens and projects to back. By offering incentives, crypto projects can demonstrate both the seriousness and viability of their products, as well as the existing support they already have. If the project already has a strong community and is actively working to foster more growth and loyalty, it’s as sure a sign as any that the project has a bright future in store.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
