Signal Zero, a leading rewards platform built for games, announced that it reinvented airdrops, an important tactic that has been adopted by several cryptocurrency startups to give free tokens to users and community members. In general it is a great way to get off the ground for these projects.
The CEO of Signal Zero, Tobias Batton, believes that entrepreneurs are undervaluing their projects by giving away millions of dollars worth in tokens. He mentioned that the last weak, Dfinity gave away $35 million dollars worth of tokens. The company tried to broaden ownership and raise the profile of the project, but Batton says that entrepreneurs are giving away free stock, as it is considered as such by the Securities and Exchange Commission (SEC).
Signal Zero, urges blockchain entrepreneurs to follow them and launch a Proof of Concept (PoC) to use a mechanism to create an engaged community of supporters that can carry out necessary testing, user research, and feedback. Moreover, this would create confidence in the project and in the underlying technology.
Batton commented about this situation:
“I hope our initiative will spark a sea change in the way crypto-projects distribute coins to their community of supporters – completely upending the notion that individuals can receive coins for doing simple tasks like joining a Telegram group.”
The Loot Protocol, instead, is the world’s first project using the Proof of Skill blockchain platform. This new system uses a reward system for users which can skill levels in different games. It is important to mention that Trendy Entertainment’s Dungeon Defenders II was one of the latest games to commit to integrating the platform.
To test the PoC and build a community that has more than 30,000 members, the company decided to integrate the blockchain algorithm with TapRivals, allowing players to earn reputation points according to the skills shown. Those points are used to ‘level up’ like in Role Playing Games (RPGs) and Massively Multiplayer Online Games (MMOGs). If the user has a higher level, then, they can earn more rewards.
Batton says that as they continue the development of the decentralized Loot Protocol for the gaming industry they try to engage the existing community of million players. Signal Zero’s development and design DNA is built on a foundation that leverages empirical data from the community to improve design and plan development decisions.
With a comparative ranking algorithm, the software is able to analyze relative player performance awarding players accordingly for the skill they exhibit with tradeable crypto assets. Moreover, the technology can be adopted by other existing games.
“Since we launched in 2014, Signal Zero has grown to a community of over 10 million global players and we’ve rewarded our members with more than $7 million in cash and prizes,” Button explained.