PSG Fan Tokens are Fan Tokens from the Paris Saint-Germain soccer club which grants holders a wide range of benefits including VIP tickets and limited merchandise.

Soccer club Paris Saint-Germain is one of the early pioneers in introducing Fan Tokens to their fans. The team helped raise awareness of Fan Tokens to a whole new level in August 2021, when mega soccer star Lionel Messi left FC Barcelona to join Paris Saint-Germain. His multimillion dollar welcome package included PSG Fan Tokens, which made fans worldwide curious about this sports cryptocurrency. 

Even as hundreds of sports clubs have since released their own Fan Tokens, Paris Saint-Germain remains 

If you’re a soccer fan, it’s time to find out more about the PSG Fan Token that’s shaking up the sports world.

PSG is the Paris Saint-Germain Fan Token, which grants holders a wide range of benefits including VIP tickets and limited merchandise. 

Token holders are rewarded for their activity on the Socios.com app, boosting their chances of winning exclusive merchandise and experiences.

PSG Fan Token holders can also vote on club decisions, giving fans a way to voice their opinions — from choosing the best defensive play of the season, to an inspirational message for a match day. In July 2021, fan token holders even had the opportunity to 

In January 2020, Paris Saint-Germain became one of the first sports teams to create a Fan Token on 

. To purchase PSG Fan Tokens, you’ll need to buy 

 (CHZ) with a debit or credit card using the Socios.com app, then exchange your CHZ for PSG Fan Tokens.

PSG holders vote on official club decisions using the Socios.com app. Each vote is cast once, but is weighted depending on how many Fan Tokens the user holds. For example, if you hold 10 Fan Tokens, your vote will count as 10. By voting, taking quizzes and playing games using the app, you can also unlock additional fan rewards.

The PSG Fan Token was successfully launched at around $5 in June 2020, its price quickly doubling to $10 in two months. There have been several significant fluctuations in price and momentum since the token’s release, especially in the days before Messi signed for PSG.

Club performance plays a pivotal role in the PSG Fan Token price. For example, PSG jumped from $10 to $27 within just a few days in March 2021 when the team progressed to the UEFA Champions League quarter-finals.

PSG’s price continued to rise until just before the team’s first semi-final match, reaching an all-time high of $56.04 on April 26, 2021. The price began to fall when the club lost the semi-final match and failed to advance to the Champion League Finals.

In August 2021, Lionel Messi joined Paris Saint-Germain. He 

, which led to another huge uptick in demand for the tokens. Before Messi’s official signing, the trading volume had reached $1.2 billion as the token rose to its second-highest price, $50.20, on August 10, 2021.

Since then, however, the PSG price has been on a steady decline. As of September 28, 2022, it’s around $8.30, with a total circulating supply of 3,111,216 tokens. It has a current market cap of $25.62 million.

Future price predictions can be difficult to make, as demand for PSG Fan Tokens tends to fluctuate depending on club performance. Another contributing factor is the extent of a token’s exclusive features: The more desirable features a Fan Token has, the more likely the token is to rise in price. 

Because of the large fan base and overall appeal of the PSG Fan Token, experts at DigitalCoinPrice are predicting prices 

. However, other cryptocurrency experts are a little less hopeful. For instance, WalletInvestor predicts that PSG could quickly become devalued, due to PSG's lower market cap and bearish behavior in the past year. Their forecast predicts a further downward trend, with PSG’s price potentially falling to barely a 

The PSG Fan Token wasn’t made to be a cryptocurrency investment. Rather, it was created to give PSG fans a unique way to interact with their favorite club. While it can be difficult to predict an accurate price point for the token, Fan Tokens will always be valuable to those who want to influence club decisions and unlock exclusive rewards.

From an investment standpoint, PSG Fan Tokens may be too volatile to be considered a good investment because the tokens aren’t affected by traditional market factors. Club performance and club-related news can greatly influence the trading volume of the token. PSG, like many other Fan Tokens, may only be a good investment for true fans.

If you're a Paris Saint-Germain fan and wish to acquire PSG Fan Tokens, you can buy them at many top crypto exchanges, including Bybit, where you can 

Trade PSG/USDT for zero spot fees on Bybit now!

Fan Tokens are a great way for people to become more connected with their favorite sports teams, and the Paris Saint-Germain Fan Token is an innovator in this regard. PSG Fan Tokens are volatile in price, but they can unlock great benefits for true fans. If you want to influence club decisions, score VIP tickets or unlock exclusive merchandise, investing in a few PSG Fan Tokens can be a worthwhile investment.

Beginner

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PSG Fan Tokens: Crypto Tokens for Paris Saint-Germain Fans

Fast, highly secure, and carbon-negative to boot, learn all about Algorand here, and discover what makes ALGO a viable investment.

Cryptocurrencies are currently the talk of the town. While they may seem like a hoax at worst and speculation at best, they have true value — and what makes them valuable is the real-time applications they offer in everyday life. To achieve this goal, their protocols have to meet the triple criteria of decentralization, scalability and security — and, above all, capture the hearts of traders and investors. 

Many crypto projects aim for a spot at the top, but few can truly say they’ve been there. ALGO, the token native to the Algorand network, currently places among the 

. Created by Massachusetts Institute of Technology (MIT) Professor of Engineering 

 in 2017, the project went public two years later in mid-2019. Here’s what you need to know about Algorand and its native token, ALGO.

Algorand is an open-source blockchain platform launched in 2019 by Algorand Foundation, with the primary aim of changing how cryptocurrencies are designed. It does this by increasing transaction speed, reducing transaction time, and improving the security of the blockchain without compromising decentralization. 

, and its blockchain is secure. However, no negative consequences are imposed for bad actors on the network: in a sense, the 

 (or liquid PoS) protocol “rewards” cheating, as it would other transactions. The strategy is to deter members from cheating, instead of punishing them. For Algorand to run seamlessly, the network needs just two-thirds of its members, to be honest. So far, the majority of the network has been honest. 

Built to improve security and scalability with a decentralized approach, Algorand is one of the protocols poised to solve the 

, enticing many private investors to fund the blockchain. One defining advantage of ALGO is that each new ALGO token it introduces into the system is distributed to everyone who owns the currency.

 of the Algorand network, ALGO can be staked and used to earn rewards on the Algorand ecosystem. All payments in the Algorand community are made with the 

, and security are the options every cryptocurrency network’s founder has to juggle. Even Ethereum’s founder, Vitalik Buterin, agrees that blockchain developers are generally forced to prioritize two out of these three essentials.

 is a term used to describe these three features needed for a project to be acceptable. Typically, a decentralized and highly secure network compromises scalability. In addition, most decentralized and scalable blockchains are vulnerable to hacks. Finally, a secure, scalable network may find it difficult to achieve true decentralization.

 from validating parties for transactions to be approved. To stand a chance of successfully breaching the system, you’d need to possess more than one-third of Algorand’s supply of tokens. With a market cap of almost $3 billion, that’s pretty unlikely.

Algorand makes use of a special random selection process called 

 to construct its blocks into segments. The segments are then phased into two groups called the 

,” are useful in enabling fast completion of transactions and finality recording. This way, you don’t need to wait for 20 or more confirmations before ascertaining if and when a transaction has taken place. 

The two phases of the cryptographic sortition are as follows.

 A single token is randomly selected to be included in the next block. To avoid any manipulation or interference, this proposer is hidden from the network at the onset and only introduced to them during the propagation phase, when it would clearly be a fool’s errand trying to interfere. The chance of a token being selected is the same as for any other token in the network.

 After the proposal phase, the next line of action is the voting stage, in which a committee of people who own at least 1,000 tokens each is selected to approve the block proposed by the first user. Unlike the known fixed committee system in many 

 (PoW) or PoS blockchains, the randomness and spontaneity in selecting the committee members make the protocol safe and impervious to attacks. The focus of any potential attack is unknown — until it’s too late to launch one.

Algorand is also permissionless, meaning anyone with the token (who’s also online) can participate in validating nodes. The process is very easy. Participants just need to go on the 

, and the number of ALGO tokens is staked. On Algorand, there are two types of nodes: 

 and participation nodes. Relay nodes, which are hardware intensive, are useful in improving communication between participation nodes, while participation nodes help in voting and other decision-making processes.

 was launched in 2021 to provide a set of tools for developers looking to build 

 infrastructure. The AVM engine runs on every node within the blockchain. It provides functional and reliable tooling for developers to increase the ease of building on a high performance blockchain. The development of the AVM allows Algorand to onboard more developers which is key for future growth.

 also manages smart contracts and signatures against the transactions they are called with. It is programmed to either reject the transaction or apply the changes to the transactions accordingly. Changes produced will only be committed to the blockchain if it is successful. In addition, the logic within a smart contract can modify key data associated with the 

By investing in the Algorand project, investors can look forward to the following benefits.

 — digitized versions of the country’s fiat currency — has been launched, with many countries jumping on board. First Marshall Islands, then China, Ukraine, South Korea, Nigeria, etc. These are just a few of the countries with digital fiat currencies, with many more proposals underway.

 Algorand uses a PoS algorithm that solves the problem of centralization. The PoS consensus ensures that those running nodes are chosen randomly, regardless of how much Algorand they hold. This ensures that all investors have an equal say in the project governance, regardless of how many tokens they own.

) and smart contracts, and Ethereum is likely the first name that comes to mind. With decentralized applications like 

, Ethereum has thus far been dominating the 

However, despite having the first-mover advantage, Ethereum generally has a slow scaling time. It works on a PoW consensus and hence cannot process many 

). While Ethereum is still performing around 15–30 TPS after its early upgrade to PoS consensus and Ethereum 2.0, Algorand processes just under 1,000 TPS. This number will increase as the protocol improves its processing capabilities, with the end goal being 46,000 TPS.

 Ethereum has been the foundation for over 100 companies, startups, and fintech in general to build their decentralized applications (DApps), games, and supply chains. In comparison, Algorand has applications for identity security, insurance, stablecoins, crypto assets, and government sectors.

 (a payment solution protocol) have all been built on Algorand. One of the most popular DApps on Algorand is 

, a data-and-analytics platform for blockchains.

One key advantage of Algorand is that it uses the Python programming language which makes it easier for developers to build on instead of 

. It also offers developers tips on how to build on the platform, from the basics of Algorand Virtual Machine to writing smart contracts on Algorand. This has led to an increase in the number of developments taking place on the Algorand blockchain.

With regard to the protocol, there aren’t many demerits one can pinpoint. Its three seemingly significant demerits are listed below.

 Across the globe, several attempts have been made to prevent 

 from going mainstream. China, Japan, the U.K., and other countries have created laws or regulations to directly or indirectly influence the local adoption of crypto. 

 We would have been glad if Algorand were the first protocol to introduce smart contracts and DeFi. Unfortunately, the honors go to Ethereum yet again. The first name to come to mind when developers want to work on a 

 is Ethereum, which will continue to be a valuable and essential element in the DeFi space. Over 300 developers are working on new projects that use the 

Apart from Ethereum, one more threat is poised to hamper the growth of Algorand: the performance of other tokens. In recent weeks, we’ve seen many 

 enter the limelight, with the total number of cryptocurrencies available at over 10,000 tokens/coins. The scalability field in particular is quite crowded, which might cause a long consolidation of the tokens’ prices.

With the Algorand ecosystem expanding quickly, here are some of the 

 built on Algorand. The platform offers trading for multiple assets from Algorand coins to 

 that allows users to send assets to multiple receipents at once.

 is a DeFi hub on Algorand that supports a range of services including an DEX swap, 

, liquidity vaults, and more. Algofi has a decentralized overcollateralized 

 STBL that users can mint by depositing their collateral and provide 

 is one of the leading capital markets on Algorand. The platform offers 

 from lending out assets or loan requests by depositing funds as collateral. They also provide liquid staking for ALGO holders to earn yield without restricting their liquidity.

 exchange fork on Algorand. It provides up to 30 times leverage and 4 tradable assets with more to come. FXDX aims to bring liquidity sources across multiple blockchains on to their platform with the 

 DEX on the Algorand blockchain. The DEX enables users to trade assets directly by swapping them at market rates, similar to popular 

. Users can earn rewards in the form of swap

Note: the figures below are accurate as of this writing, and are approximated up to two decimal places.

While there are a lot of positive aspects about Algorand, there is no concrete evidence to prove that ALGO price may surge based on the projections. Looking at the current state of crypto, here are some of the predictions:

According to different sites, the sentiment around ALGO remains negative for the next few years despite the recent pump and the release of new developments in the ecosystem.

 predicts that ALGO could drop to $0.29 by the end of 2022 and return to local high prices of $0.50 in 2026.

estimates ALGO to hover around $0.39 towards the end of 2022 based on their forecast of the current market trend but expects the price to drop towards $0.10 by 2025.

 is optimistic about ALGO and says the price could trade between $0.35 of $0.49 by the end of 2022 and soar towards $1.69 by 2025.

To evaluate Algorand’s overall performance, there are a few things we need to take into consideration. 

, the presence of miners is obviated in the Algorand protocol. This helps with two things: first, the transaction 

 are much lower than they would be with miners in the ecosystems. Secondly, the protocol passes the test for environmental friendliness. 

 Tokens can be delegated to a staker if a participant wishes to be part of the delegation arm of the consensus. 

 On the Algorand consensus, users can trust each block as it appears because it can’t be forked or branched into two different chains. Although there are times when the network is partitioned, Algorand ensures that the transactions remain consistent. 

 is a problem with many decentralized platforms. On the Algorand network, double-spending doesn’t occur, as it’s impossible to convince two different people to confirm two different blocks of transactions in the same transaction round. Also, once a block is created, it’s forever part of the system. 

 The committee’s random selection for confirming blocks means anyone online can be chosen, and thus the network is truly decentralized. Token holders can also vote for or against changes to the network.

 Algorand is more viable than many of its competitors.

You can purchase ALGO on popular exchanges like Bybit. Below is a step-by-step process for new users to acquire ALGO on the Bybit exchange.

. Complete your registration form by providing all the necessary details. Ensure you use your correct email address when signing up, as emails for verification and transaction purposes will be sent there. Also, be sure to use a strong password that’s ideally a mix of capital letters, lowercase letters, numbers and symbols. Don’t forget to read and accept the user agreement and privacy document before selecting 

 Confirm the country you’re from. If you’re from any of the countries listed (

you won’t be able to trade — instead, you’ll be prompted to join a waitlist. If you’re not from any of the countries listed, select

 After registration, check your inbox for a verification email that contains a six-digit code, and then click on 

 after inputting the code. Before you can use the website to purchase ALGO and other cryptocurrencies, you must identify as either a 

in cryptocurrency. Then, you’ll be taken to a page to trade. 

 Deposit funds. To deposit funds, navigate to the Deposit section, which you’ll see on the dashboard after you’ve successfully registered/logged in to your account, and then select the 

 option. Scroll through the list of coins, pick the one you want to make a deposit with, and select 

, which will redirect you to a page that generates a deposit address for the coin of your choice.

 Copy the deposit address (or scan the QR code, as you deem fit) into the wallet from which you’re making a withdrawal and depositing to Bybit, and wait for the relevant blockchain to confirm your transaction. Once the transaction has been completed and verified by the nodes on the chain, the coins will be sent to your Bybit wallet and you can start trading ALGO.

If you’re already a registered member of Bybit, you can easily trade the 

 pair in the crypto spot market on the Bybit trading terminal.

As a PoS blockchain, Algorand offers staking rewards to ALGO stakers that provide security as validators or delegators of the network. ALGO is still inflationary and will only reach its maximum supply of 10 billion ALGO in 2030. The 

 is 7.7% and you can check your estimated rewards by using the 

Currently Bybit does offer ALGO trading pairs but has not implemented staking products for ALGO. If you are interested in staking your ALGO on Bybit, do keep a look out as the product could be listed on the Bybit Staking in the future.

Overall, Algorand is an impressive project that features a pure PoS consensus mechanism. To reiterate, Algorand is one protocol that currently comes close to solving the blockchain trilemma. With the current market conditions and successful upgrade of 

 Algorand has taken a significant hit since the beginning of the year but looks to bounce back as the Layer 1 foundation continues to develop and attract 

Algorand’s team possesses formidable brain power in the fields of mathematics and computing, and it has retail and venture capitalists’ investments to the tune of millions of dollars. The Algorand team is transforming the concept of DeFi, and we’re eager to see how the project’s next few months play out.

Intermediate

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Simplified: What Is Algorand Crypto (ALGO)?

Social tokens are digital tokens on a blockchain that allow creators to monetize experiences and services. Find out exactly how it works in this article.

Social tokens are building decentralized online communities where everyone benefits without a middleman. This article discusses the basics of social tokens and provides relevant examples to illustrate the concept.

Social tokens are digital tokens on a blockchain that allow creators to monetize experiences and services. The token can increase in value, and it can be resold by the token holder.

Social tokens are just like any other cryptocurrency. However, these tokens are created explicitly to empower a community and enable its community members to build a solid social bond around a specific individual or brand.

Anyone can create a social token. Whether you're an individual or a business, you can join the social token space and launch a social token to enrich the experience of your followers and clients. As more people use the token, its value will rise proportionally to the contribution of social token holders.

Unlike crypto tokens, social tokens mainly derive their value from the reputation of the content creator, and from the exclusive benefits that token holders receive in the form of engagements and experiences.

For instance, upcoming artists can launch a social token to offer a highly personalized experience to their followers. When the followers buy the token, they contribute to funding the artist, and receive exclusive benefits such as early access to music albums, the opportunity to engage in live Q&A sessions, invitations to special events, and private meetings. As the value of the token rises, both the artist and the follower benefit.

From a business perspective, social tokens can prove a goldmine. For startups, they're an ideal source of funding and improving fan engagement. For well-established businesses like Coca-Cola® and Apple, it's a perfect opportunity to enhance brand value by giving token holders early access to privileged content and new products. Since the amount of tokens is limited, rising demand increases their value.

People often think that brands can achieve similar results through a subscription service. While this is true to a certain extent, social tokens hold monetary value, which can increase substantially with time. In addition, users can exchange them among themselves or give them to others. This tangible nature makes them different from typical online membership schemes.

Social tokens are created by platforms that build them on top of blockchains such as 

Following a model similar to that of crypto, social tokens are often traded on platforms like 

. Since they hold value, you can buy and sell them as easily as any other digital asset. Some well-known social cryptos are 

The popularity of social tokens stems partly from the need to cut out the middleman. In a typical 

, social platforms such as YouTube, TikTok and Facebook take the lion's share of fees from creators and brands, which can reduce the potential income generated by the content creator. Similarly, social platforms also control brand followers without giving them any tangible benefit.

In contrast, social tokens use the blockchain to access a decentralized environment, in which content creators can easily market their products without the cost and regulatory constraints imposed by social platforms. In this setup, the popularity of a content creator can increase in direct proportion to the value of its social tokens.

Organizations and brands aren’t the only entity to benefit from social tokens. In fact, these creator coins are tailor-made for individuals and influencers. Just like the brands themselves, individuals can create and sell social tokens for funding, and to improve their reputation through market capitalization. A social token is to an individual what stocks are to a brand.

Social tokens are proof that the internet has moved from Web 1.0 to 

. In Web 1.0, the “information economy,” search engines such as Yahoo and Google enabled people to retrieve useful information. The trend gave way to Web 2.0, the “platform economy,” where Facebook and YouTube allow users to create content. Now, with Web 3.0 — the “token economy” — users can retrieve information, create content and contribute to the success of a platform. This brings creators and consumers together, paving the way for a more decentralized “creator economy."

There are two main types of social tokens: Personal tokens and community tokens. Since content creators are continuously finding new ways to use such tokens, you may also come across new terms, such as “participation tokens” and “social platform tokens.” These categories are sometimes described as distinct types of social tokens that don't fall into either of the two main types listed at the beginning of this paragraph.

To help explain, here’s an overview of each one.

Also called “creator tokens,” personal tokens are established by individuals to monetize themselves, and to provide privileged services to their followers. Anyone — celebrities, artists, athletes, and members of the general public — can create personal tokens to help boost their careers or notoriety.

Before the introduction of blockchain and the creator economy, music legend David Bowie used asset-backed securities, 

, to enhance his music career. Holders of the Bowie Bond were promised a return of 7.9% per annum for ten years on the royalty earned for the streaming of David Bowie’s music.

Nowadays, prominent artists are offering similar incentives through the launch of their social tokens on the blockchain. In 2020, the Grammy Award-winning artist, 

 (better known as DJ RAC) introduced RAC, the social token of the 

. The holders of the token can enjoy various perks, such as exclusive music playlists, token 

, a French entrepreneur, tokenized himself by selling ALEX to his crypto enthusiasts. This helped him raise the needed capital to form his own social platform in the U.S. Besides other incentives, token holders will receive a share of Masmej’s future income for the next three years.

Community tokens, or community coins, are created by organizations or by a group of people to market their respective brands to followers. Similar to members of a club, token holders can get exclusive benefits reserved for that particular community. These benefits are somewhat identical to benefits offered by personal tokens, but they may also give you 

 rights and a share of the company's revenue.

Community tokens are launched mainly by a decentralized autonomous organization, or 

. Unlike the creators of personal tokens, the organization overseeing a community token already has a large following, which makes it easier to market it.

For instance, when CoinDesk launched its 

 token in 2022, it marketed it during its much-awaited annual Consensus festival, which is attended by thousands of members. To show its gratitude, CoinDesk rewarded attendees at 

 with DESK tokens. The attendees could also use these tokens to buy items at the event.

WHALE is another example of a community token. It derives its value from rare and valuable NFTs in an art collection known as the 

. Since the project’s initiation in 2019, the value of the stored NFTs has increased from $500,000 to more than $70 million. WHALE token holders have directly benefited from the enhanced value. Besides access to exclusive Discord channels, events and giveaways, members can also rent and purchase NFTs from the Vault.

Participation tokens are sometimes described as a subcategory of community tokens. Users can earn these tokens by participating in the development of a project. For instance, the 

 token from TAIKAI is an example of community engagement. Universities and organizations can use these tokens to reward contributors who wish to participate in creating different types of projects.

TAIKAI also encourages students, freelancers and startups to create projects and contribute to proposals. The best proposal receives KAI tokens and prizes. Backers and experts who contribute to the project also get KAI tokens.

 is another similar initiative. The FWB token brings together artists, creators, thinkers and Web 3.0 enthusiasts to collaborate on a variety of projects. Successful teams receive hefty rewards for their contributions. Token holders are also rewarded for creating a summarized version of the content that other members can pay to unlock.

Social platforms tokens are distributed by platforms that support their creation and trading. Examples of social platform tokens include Rally, 

Rally is a popular social token platform that enables individuals, celebrities and organizations to create their own social tokens and NFTs. Since its launch, RALLY has gained tremendous momentum, manifested in its market capitalization of over $8 million in just a couple of years. Since Rally is a sidechain of the Ethereum network, the only drawback of the token is that it can only exist on the Rally network.

In contrast, TryRoll offers users the chance to create an 

 token that they can share with others on different platforms. It also offers custodial Ethereum wallets that are capable of sending social tokens to any address that supports ERC-20 tokens. However, TryRoll is not the easiest platform to use, and it has a high network fee.

Social tokens are fueling the creator economy, in which the two major stakeholders — the content creator and the token holder — collaborate to enhance a brand’s value.

The following is a brief list of the many benefits these stakeholders enjoy:

Traditionally, social influencers have used sponsored posts, advertising and subscription models to attract new followers. In this setup, the social platform has often received a big chunk of revenue, depriving content creators of reasonable profit. However, social tokens have changed this dynamic by letting content creators earn direct revenue and share benefits among their followers.

Social tokens have given fans new ways to interact with content creators, helping them become a part of the creator's journey. In return, the community receives a more personalized experience that strengthens the bond between the two. For instance, fans of Lil Yachty 

 from the rapper's mother after the launch of his YACHTY token.

By purchasing creator coins, fans are, in effect, pledging their support to the project. Unlike stocks and bonds, the value associated with each token is enforced by smart contracts. This means that there’s minimal conflict, because everything — from exercising users’ rights, to the extent of enforcement and how those rights are exercised — is written in the smart contract. This configuration ensures that there’s no need for third parties and negotiators to settle disputes.

Social tokens are secured by blockchain technology, in which data is structured into blocks, each of which contains a bundle of transactions. Every new block is connected to all preceding and subsequent blocks in a way that makes it practically impossible to tamper with the data. Therefore, it's nearly impossible to hack into a blockchain. It's only when such creator coins are moved into a 

 that they become truly vulnerable. Even so, well-known digital wallets adopt extremely strict security mechanisms that make social tokens one of the safest digital assets you can own.

Before investing in a social token, it's sensible to consider the following drawbacks.

Social tokens are a financial instrument, which means that there’s risk involved in holding them for investment purposes. While their values can increase substantially, remember that not every token has a value behind its project. This is particularly true for social tokens, which don't have the backing of large venture capital firms that only invest in viable opportunities. If the creator of a social token decides to back off from the project, there’s no way for you to recoup your investment.

There is no global regulation in place to scrutinize social tokens. Hence, content creators may have to deal with several legal gray areas, which can include liability issues and false advertising concerns. From a consumer perspective, the law is still ambiguous about the extent to which consumer law will protect the purchasers. It's also the reason why borrowers of social tokens see a large list of disclaimers that may favor the token issuer in case of a legal battle.

, or non-fungible tokens. NFTs are unique, which means that they have distinctive features that make them different from other units. On the contrary, social tokens are fungible, since each unit of the social token has a similar value.

For ease of understanding, you can compare an NFT with a work of art. Every painting is different. This is why every artwork — or NFT — differs in value. Social tokens, however, are just like any other cryptocurrency. You can compare them to 

, because the value of each BTC is similar to that of another BTC.

The two terms are often confusing, because several content creators monetize both NFTs and social tokens. For instance, an artist can use NFTs to monetize personal artwork, while also releasing a social token that gives the holder access to personal Q&A sessions or art lessons.

It's said that the first social tokens were launched somewhere in 2020. WHALE is often called the first social token, launched by a private collector of NFTs, 

. Similarly, some credit Spencer Dinwiddie, the Brooklyn Nets point guard, who 

Irrespective of the debate, both of these early projects have found traction, which is a testament to the success of social tokens. Here’s a look at some other successful projects, in order to visualize the impact of social tokens on our lives.

As mentioned earlier, ALEX is a social token created by an aspiring entrepreneur, Alex Masmej, to finance his crypto-related projects. Before COVID-19, Masmej had founded the first successful crypto art–backed loan instrument, but couldn't gain the required momentum due to financial debacles he subsequently faced during COVID.

In a bid to work on a more sustainable project, he created the ALEX tooken and sold it to his followers in exchange for some of his future income for the next three years. The sale helped Masmej raise $20,000 in a mere 100 hours. During the crypto frenzy, the market value of ALEX exceeded $2 million, which reflects the utility of crafting such personal tokens.

The objective of the RAC token created by musician André Allen Anjos was to reward loyal fans by giving them access to various perks and exclusive content. Accordingly, 25,000 RAC were distributed to loyal fans, who had supported DJ RAC since his early days back in 2009.

 supporters also received a fair share of these tokens. In the future, subscribers to RAC can also benefit from the variety of perks reserved for its online communities. Since its launch, RAC has evolved into one of the most successful personal tokens to date.

Jaylen Clark, the UCLA basketball player, is the 

. By creating the JROCK token, Clark’s followers can interact directly with the player and help him sustain his career. Token holders can get early access to exclusive merchandise, ticket raffles, behind-the-scenes footage and workout videos. Since JROCK is traded on the secondary market, token holders can also benefit from an increase in its value.

GCR is the native token of research and investment firm Global Coin Research. The community uses the token to fund various investment initiatives. In turn, members have access to private seminars, where they can interact with NFT artists and invest in upcoming projects. The organization also arranges weekly hangouts for learners and investors. Since the launch, GCR has gained more than 30,000 members, who have contributed over $31 million to the project.

Launched in 2020, WHALE was created by a pseudonymous NFT collector known as WhaleShark. The value of the token is derived from WhaleShark’s personal NFT collection. As one of the most successful social tokens, it strikes a fine balance between wealth preservation and growth speculation. As of 2022, the collection is valued at $73 million, a phenomenal contrast to its original $500,000 market value.

STEEM is the native currency of the social platform,

. The project's goal is to let users earn by contributing to the development of the platform. Anyone can become a stakeholder by creating content and earning rewards in the form of STEEM.

According to the official website, the organization has distributed nearly $59 million in rewards to its contributors. Remarkably, the Steem platform processes more transactions than the Ethereum and Bitcoin blockchains combined.

Creating a social token is akin to building your own online community. It’s unlike anything you’ve experienced, because it allows both the content creator and token holders to work together in creating brand value. Instead of using social media to engage followers, content creators are more likely to use a social token to let everyone benefit from community engagement and potential price increases.

Moreover, social tokens aren’t going anywhere — because they have plenty of value and utility to them. Take WHALE, for example. The market value of the token has actually increased more than the underlying NFTs upon which the token is built. Similarly, Rally has already become the leading global platform for anyone to create social tokens with ease.

There’s no doubt that we're quickly moving away from Web 2.0 to Web 3.0. Existing Web 2.0 social platforms actively control their members — without benefiting either influencers or users. It's just a matter of time before the Web 3.0 "token economy" takes over from social platforms.

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Social Tokens: Promoting Community Benefits & Fair Monetization

Student Coin is a crypto platform that enables students and organizations to easily develop their own tokens to fund their education. Find out more here.

The world of cryptocurrency continues to develop with the evolution of exciting token platforms. One token platform has been designed with the bold goal of helping students fund their college educations and advance their knowledge of cryptocurrencies. At the same time, it supports startups through crowdfunding participation by numerous investors. Known as 

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