Onboarding Brands Into Web3
The crypto industry is in dire need of more brands and companies to enter the ecosystem. So many companies are looking at blockchain as a way to generate money or innovate their existing business models, but they don’t always know where to start with their blockchain projects.
Web3 is the future of the web. It's the next generation of web infrastructure that allows people to create web apps that run on the decentralized internet. Currently, many brands are hesitant to adopt Web3 because of its decentralized nature and lack of user-friendly tools for creating apps. But by onboarding brands into Web3 early on we can help them understand its benefits and create applications that will have a positive impact on users' lives in the future!
In this article, we will discuss specific ways in which an onboarding brand can get started with Web3 and why it’s so important for brands and companies to embrace blockchain technologies.
What brands need to know about digital collectibles or NFTs
You may already know about NFTs or non-fungible tokens. But did you know many brands refer to them as "digital collectibles"? These digital collectibles have unique attributes that make them distinguishable from each other. Some NFTs may be rare than others or have a different value than most of their kind.
These tokens are sometimes called "crypto collectibles" since the ownership is tracked on blockchain networks. They’re non-fungible because each token is unique and cannot be substituted or used as currency. You can think of them as being similar to baseball cards or rare art pieces, only they come with smart contracts attached that give them real-world value based on how much people want to own them.
NFTs are often based on the ERC-721 token standard, created by a group of developers from the Ethereum community. The goal was to create a token standard that could be used for gaming, collectibles, and other applications. It’s a technical standard that makes it possible to create unique digital assets on the Ethereum blockchain.
What brands need to know about cryptocurrencies
Cryptocurrencies are digital money that can be used to buy goods and services online. They can also be exchanged for other cryptocurrencies or fiat currencies.
Cryptocurrencies are decentralized which means they don't rely on banks or governments to store or transfer funds.
Since there's no central bank, cryptocurrencies have no physical form like a dollar bill would; instead, they exist as records on blockchains—the digital ledger technology that underlies cryptocurrency networks—and are stored in digital wallets (aka crypto wallets).
Cryptocurrencies are also known as digital currencies because they aren't printed like traditional money; instead, they're produced by computers all around the world. Cryptocurrencies use a technology called blockchain, which is essentially a digital ledger for recording transactions.
What brands need to know about blockchain technologies
Blockchain networks are decentralized, online databases that can store information in a transparent and verifiable way. They are maintained by thousands of computers around the world, rather than one central server. This makes blockchain networks inherently resistant to hacking—because there is no single point of failure—and more difficult for governments or corporations to censor.
Because blockchains use cryptography (the science of encoding messages so they can only be read by authorized parties) they also keep data private while maintaining transparency: all transactions on the network are available in an open ledger that anyone can read once they have permission to participate in it as a node (computer) on the network.
Blockchain networks are powered by a cryptocurrency, a digital asset designed to work as a medium of exchange that uses cryptography to secure transactions. Cryptocurrencies can be used to buy and sell goods or services online. Bitcoin is the most popular example of a cryptocurrency, but there are many others such as Ethereum, Solana, Cardano, etc.
How brands can onboard millions of web3 users using crypto wallets
You can use dApps to onboard users. For example, when a user logs in to your decentralized application (dApp) for the first time, you can give them a magic link that will generate crypto wallets on their behalf. You can also use SDKs and APIs to enable passwordless web3 onboarding and authentication using magic links. This onboarding experience will allow you to reach 99% of people without wallets. To learn more about seedless crypto wallet creation, visit Crossmint.
How brands can onboard millions of web3 users using credit cards
If you're a brand, there's a way to onboard millions of web3 users with credit cards. You can do it by using SDKs or APIs that enable credit card processing using magic links. This can be done automatically by your app and allows you to reach 99% of people who don't have crypto wallets yet. How? By enabling users to get their first crypto through decentralized applications (dApps) and then use the same dApps as payment gateways inside your app. For example, if someone in your target market is already familiar with the Ethereum blockchain, they may already have an Ethereum wallet installed on their device. To learn more about credit card processing for dApps, visit Magic.
As the web3 ecosystem expands, we see new opportunities for brands to get involved. New platforms like CrossMint and Magic are making it easier than ever for companies to onboard millions of users into their products and services. While many brands have already taken advantage of this opportunity by tokenizing their assets or content, there are many brands that require guidance. If you're interested in learning more about our work with web3 and how we help companies onboard their own users into web3, please reach out!