The Leofinance AMA the other day was packed full of information.
For anyone who caught the show, it appears the alpha version of the new user interface is not long for this world. We are going to see it replaced with the production version on May 1st. This means we are looking at a little less than 4 weeks before the upgrade occurs.
What does this mean for Leofinance?
To me, it is a new beginning, something that is going to transform the entire premise of Leofinance. It is no longer a website with just a token. This is truly the first step in a new evolution of the Internet.
In this article, we will look at the steps going forward.
LeoAds
You heard about them. I wrote about them. Up to this point, they were very elusive.
That is not going to be the case much longer. When the new UI rolls into production, the LeoAds are going to be a part of it. This means we are going to have ads tied to each page, something that is vital going forward.
People need to understand how truly revolutionary this is. We are creating an entirely new model for the LEO token.
Value Capture Token
As we know, LEO is a value capture token. It is not really a medium of exchange. Instead, it is reflective of the value associated with the Leofinance platform. If we can create more value here, we should see that, at some point, reflected in the market. That means a higher token price.
To be honest, outside stablecoins, this is where most cryptocurrency (fungible tokens) fall. They are not really cut out to operate as a medium of exchange. However, with LEO, we are about to add another level.
In the past we discussed the idea of an access token. This is what $HIVE is. For that coin, the staking allows one to engage with the blockchain. With LEO, it is a bit different in that we are looking at the token providing access to the revenues generated.
This means Leofinance is turning into a business platform. We are dealing with an online social media application that has the ability to generate revenue through advertising. It is no different than Twitter or Facebook. We know they generate enormous amounts of money in advertising.
Of course, this does not benefit the users or anyone outside of the owners (or stock holders). Leofinance is looking to change that.
Web 3.0 In The Making
Web 3.0 promises to change things. Are we seeing it with Leofinance?
I believe so.
The community is now able to enjoy the proceeds generated from ads. As it stands, the ad revenue money is going to be used to buy LEO from the open market. It will then be distributed to the Leo Power holders. Here is the opportunity for anyone who is interacting on Leofinance to enjoy the financial benefits derived from advertising.
At this point we have to discuss something that was mentioned on the AMA. One of the big changes will be the ads themselves. On the old interface, they were banner ads set on the sides. LeoThreads opens up an entirely new opportunity. We now have the ability to incorporate ads in the same way as Twitter.
Thus, ads will be buried as the Threads, blending in and, hopefully, enhancing the click through rate. With LeoAds, we all have incentive to see the numbers improve.
Here we have the epitome of Web 3.0. The userbase are the ones who enjoy the financial benefits of the platform. It also incentivizes people to get LEO in their wallet and stake it. If you want to participate in the monthly (I presume) payouts, there is only one way to do it.
Get yourself some Leo Power.
A Change In Structure
We are dealing with a change in the structure of Leofinance.
With the token providing people with access to the revenues we are starting to create a new model. The upgrade coming May 1 will offer a new value proposition to the LEO token.
To me, this is what Web 3.0 is all about. We do not have to recreate everything at the moment. For now, replicating what is out there but with a different "ownership" proposition is enough. Here we are looking at a Web 2.0 approach to revenue generation, advertising, but with a Web 3.0 twist.
Ultimately, this will not only put more LEO in the hands of the users, it also could create some significant buy demand for the token.
Also, as I revently found out, there might be other value propositions added to this idea.
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