BonusBlock (BONUS): Fueling On-Chain Prosperity With Rewards

As competition in the crypto space intensifies, attracting more users (particularly high-quality users) is becoming a serious challenge for many decentralized apps (DApps). There’s no shortage of incentive models and loyalty programs on the market. Still, many of these prove ineffective, due to unsustainable reward systems, bot activity or mercenary users uninterested in long-term participation on the platform. In some cases, poorly designed incentive programs or insufficient reward gamification are also culprits.

The team at BonusBlock, an Arbitrum-based web3 incentive programs provider, has taken steps to tackle the suboptimal state of affairs in this area. The BonusBlock platform analyzes web3 users' transaction data, on-chain engagement measures, wallet characteristics and other on-chain activity details to derive quality scores for each user. DApps and blockchains using the BonusBlock technology can attract and incentivize high-quality users, who, in return, are rewarded for their genuine and exemplary history of on-chain activities.

Key Takeaways:

• BonusBlock (BONUS) is a multichain web3 solution that allows DApp and blockchain operators to attract and retain genuine, high-quality crypto users.

• The platform operates a marketplace in which these users can join a variety of incentivized onboarding and loyalty campaigns set up by participating web3 projects.

• At the core of BonusBlock is its AI-driven selection and scoring system, which assigns a quality score to each analyzed wallet. Access to wallets' transactional data is possible thanks to the public nature of blockchain technology.

What Is BonusBlock?

BonusBlock is a web3 incentive programs provider that brings together genuine, high-quality blockchain users and DApps that would like to attract these users via their reward systems, such as gamified loyalty programs, liquidity provision incentives and more. The multichain platform is based on Arbitrum (ARB), but it services clients across a variety of blockchain networks.

Based on their operational and marketing needs, partnering crypto projects can access BonusBlock’s marketplace of quality web3 users in order to attract participants. Using AI modeling, the BonusBlock algorithm analyzes blockchain users' activity on dozens of decentralized platforms, deriving quality scores for each user. Based on these scores, quality segments are derived to help partnering DApps with their targeting.

For quality crypto users, BonusBlock is an excellent source for accessing a variety of rewards across the many platforms that have partnered with the project. And for DApps and blockchains, the BonusBlock platform is a great way to target their preferred users and improve user engagement while maintaining sustainable economic models.

Some of the crypto platforms that have used BonusBlock include Injective (INJ),Nibiru Chain (NIBI) and Axelar (AXL). Injective’s blockchain, for example, has used BonusBlock to onboard members in its Ninja Masters Injective Ambassador program across five progressive ranks based on user potential and commitment — Ninja, Warrior, Knight, Lord and Master.

What Does BonusBlock Aim to Achieve?

BonusBlock’s key aim is to provide sustainable and optimized user acquisition and retention solutions for crypto projects. Too often, attracting or retaining genuine users becomes an insurmountable challenge for DApps and blockchains.

First, mercenary users take advantage of airdrops, free NFTs and token allocations without any intent of long-term or genuine participation.

Secondly, there’s the issue of bots and automated accounts that harvest rewards and then disappear into thin air.

Finally, many projects struggle to provide engaging acquisition or retention programs. The typical web3 user isn't a grandpa sitting in his reclining chair and reading the local newspaper's column about what Bitcoin (BTC) is, as many crypto users are young and into gaming. Thus, engaging gamified loyalty programs can work great in the current competitive web3 environment. Unfortunately, for many projects, designing such a program is a struggle.

Using its unique approach of assigning a quality score based on user activity, BonusBlock aims to address these challenges. For example, bots and mercenaries are unlikely to score high when scrutinized by the platform's AI algorithm.

How Does BonusBlock Work?

At the core of the BonusBlock platform is its AI-driven scoring mechanism, which evaluates on-chain user activity across many different sources and assigns a quality score to a user. For each user, the scoring system is based on eight primary factors:

1. Basic wallet stats, such as the user's token balances and transaction counts

2. Transfers between wallets

3. Participation on decentralized finance (DeFi) platforms that support activities such as token swaps, staking, and lending and borrowing

4. Frequency of activity, such as the regularity with which the user deposits and withdraws funds to/from exchanges

5. The popularity of the blockchain network(s) on which the transactions occur

6. Participation in web3 gaming platforms, typically measured by assets and activity within GameFi environments

7. NFT activity, such as minting, burning and transferring NFTs

8. Activity on metaverse platforms

Users are assigned quality levels based on their final scores, and participating DApps can then use these crucial insights to target users.

The public nature of blockchain technology makes the acquisition of all these stats feasible. This is in stark contrast to the Web 2.0 world, in which user analytics are often controlled by centralized entities like Google and Meta, who then proceed to charge advertisers potentially exorbitant fees for access to the data.

What Is BONUS?

BONUS is BonusBlock's native cryptocurrency. The token is designed to provide access to the project's marketplace, exposing users to all participating projects and their corresponding yields. One minimum requirement is to lock in at least $75 worth of BONUS in order for a user to become eligible for participation in the incentive programs powered by BonusBlock.

In addition to BONUS, the platform has another type of crypto asset: Community XP points. Users earn these points based on their activity in the platform's incentive programs. Higher levels of activity earn you more Community XP points.

The BONUS token is also used to boost Community XP points earned. The more BONUS you lock in on the platform, the higher the boost ratio to which you’re entitled.

Besides its utility functions, BONUS is also envisioned as the platform's governance token. BONUS holders will be able to participate in on-chain decision-making regarding changes and improvements to the platform.

BONUS Tokenomics

BONUS is a deflationary token, with a total and maximum supply of 100 million. Launched in early April 2024, its total supply will be fully unlocked over 50 months from the token generation event (TGE). The exact token allocation shares for BONUS are shown in the chart below.

Is BonusBlock a Good Investment?

You might consider investing in the BONUS crypto based on the following factors:

1. BonusBlock offers an innovative way of targeting web3 users, and few other projects operate based on this model. For DApps and blockchain platforms that want to onboard quality users, BonusBlock is an obvious choice, with little competition (at least for now) in the industry. The uncongested niche for this service spells better growth potential for the project and its token.

2. Besides helping other platforms with loyalty and incentivized onboarding solutions, BonusBlock has introduced a similar program of its own. Called the Ambassador Program, it helps engage active participants and supporters of the BonusBlock platform. The Ambassador Program demonstrates that the BonusBlock team is serious about expanding its own native user base, not just serving as a plug-in loyalty solution for other crypto projects. The program holds significant user growth potential for BonusBlock, which is likely to positively affect the BONUS token's potential as well.

Where to Buy BonusBlock (BONUS)

The BONUS token can be bought on Bybit's Spot market. In addition, through Apr 16, 2024, 8:59AM UTC, you can participate in Bybit's BONUS/USDT campaign to receive a share of the 50,000 USDT prize pool.

Closing Thoughts

In an industry where attracting and retaining genuine, high-quality users is becoming increasingly challenging, BonusBlock's unique, AI-driven approach is a welcome innovation. The platform is still new but it’s already changing the way web3 projects approach their loyalty and acquisition campaigns.

If you’re a DApp or blockchain operator interested in attracting and retaining quality users, BonusBlock is definitely worth considering. Additionally, if you’re a crypto enthusiast actively participating on various decentralized platforms, the BonusBlock marketplace presents you with unique opportunities to monetize your activities. 

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