STEPN Proves NFTs Have Value Beyond Digital Images
The fitness dApp STEPN is forging a new path for NFTs, proving that their application and value stretch beyond curious digital images. The utilitarian application of non-fungible tokens has now made its way to the fitness industry with STEPN’s own ‘web3 lifestyle app’.
The STEPN app incentivizes users to exercise by paying them to move. By using the GMT governance token to represent records of fitness achievements (such as walking or running a certain amount of steps each day) the NFT is proven to also apply to records other than an image file.To that end, the app has opened the door for a host of new utilitarian applications for NFTs.
How Does STEPN Work?
Through STEPN’s mobile app, users purchase NFT sneakers on markets such as Magic Eden. When they walk or jog, the app calculates the number of steps the user takes. The tokenomics of the dApp make it so the more the user exercises, the more utility tokens the user earns.
The tokens can then be used with game-fi within the STEPN community or cashed out for profit. Users can level up as they earn more tokens and sell their sneakers on the in-app marketplace. The app finished 4th out of over 500 projects on Solana’s 2021 Ignition Hackathon.
Pushing the boundaries of NFTs
This self-described “move-and-earn” concept incentivises people to live a healthier lifestyle by essentially tokenizing fitness. This is a big step away from the widely held belief that NFTs are only unique jpeg images that cost hundreds of thousands of dollars.
In reality, anything can be tokenized because anything can be recorded as data and that data can be put on the blockchain. The data can be assigned to an owner who can then sell, hold or lend the digital asset.
NFTs are one aspect of tokenization. The value comes from the fact that the asset the NFT represents is scarce; therefore, owning the data record (NFT) of that asset naturally makes the record valuable.
Game-Fi, Social-Fi and lifestyle communities
There are reports that image NFT sales are beginning to flag. While the hype over these images may be waning, the utility of non-fungible tokenization is just getting started. The ability to decentralize commodities such as audio files, books, paintings, real estate deeds, car sales, medical records, shipping records and much more is coming to light.
Tokens like STEPN are leading the way in showing that anything can be tokenized and used for good in the marketplace. Many utility NFTs are coming onto the market in 2022 after the great frenzy of image NFTs in 2021. Apps like STEPN, which are well thought out and executed skillfully, are showing that there is market demand for and success in the utility NFT. Gym owners and fitness influencers can use the app in different trainings and classes to help users
