Social DeFi
‘Crypto is anonymous by nature but that doesnt mean its against socializing.’ Alike the internet users in the past, people use nicknames to identify themselves online. Web3 also uses a 0x… address to identify money so this is not different.
It often takes a long string of letters and numbers for humans to remember your current address, which can make it hard for you to find your mail when you’re away.
The absence of a clear link between an 0x… address and a person’s identity on the internet has led to the development of a new branch in decentralized finance (DeFi), known as “social DeFi”.
Coinbase Wallet just released an update which allows you to personalize your Decentralized ID
Social DeFi refers to apps and other platforms that help you easily connect with people and run transactions using cryptocurrency.
Some of the notable features of social DeFi
- You can now personalize your decentralised addresses by creating something more human-readable, like a username. This makes it easier for people to keep track of your wallet and for you to identify with other users.
- My advice is to message the wallet owners or follow them on DeBank. That way, you won’t have to rely on your feed alone and will receive notifications about their activity. This is a great feature that enables a whole new world of social interaction with one click (or swipe).
- Dapp notifications: There are also some B2B solutions such as notifi that allow developers to notify their dApp users, which is a good option for those who want to step up engagement.
- DAO aggregations can make it easier for groups to come together and collectively make decisions without the need for intermediaries. Sometimes these organizations will use blockchain technology to distribute tokens according to how much labor an individual contributes.
Usernames is equal to NFTs?
Telegram recently offered up a new product — Fragment, where you can get and sell usernames for it.
New social media accounts are becoming valuable assets, since they each have a unique and rare username that cannot be taken away or hacked. This creates a brand new marketplace for all social media account owners where their usernames are valuable resources to protect.
At the moment, Fragment only supports Telegram nicknames but as time goes on, you can see all kinds of things being traded there — from handles on major social networks like Twitter/Instagram to character nicknames on World of Warcraft servers.
Elon Musk recently tweeted that Twitter plans to delete 1.5 billion accounts that are inactive per Elon’s tweet.
This will free up a lot of valuable space on the platform and make it easier to seize some of the attractive usernames that have been abandoned.
Many web2 social apps have already begun adopting web3.
The addition of NFT-native features on social media channels like Twitter is a trend that continues to grow. Early in 2022, Twitter has added the option for its high paying subscribers to set an NFT as their profile picture. In October 2022, we added the ability to directly trade within tweets.
Twitter recently formed its own web3 development division, and after Binance announced an investment of $500 million in Twitter, it’s not a stretch to think that they might integrate web3 features into the app.
The company behind Instagram, which is owned by Meta, is also working on building products for the metaverse. Instagram already allows users to mint and sell NFTs directly through the app, with more features coming along soon.
Social DeFi has been global for years now.
Thanks to social DeFi, we have the ability to bring people together in a way that has never been possible before- whether across borders and cultures or simply on the other side of town. Social DeFi also presents a new opportunity for cryptocurrency innovation.
The number of unique active wallets interacting with Social dApps has risen by over 1250% in 2022, and it is projected to keep increasing in 2023 with the increased demand for web3 identities.
