The era of pay-to-use blockchains is coming to an end. While the crypto community may be accustomed to the complexities and costs associated with using these platforms, the majority of people have no interest in such burdens. For blockchain technology to achieve widespread adoption, three key changes need to occur: it must be free, frictionless, and familiar.
The concept of “free” refers to the idea that users should not have to pay to access blockchain networks. Just as Google serves ads and monetizes user data without charging for its services, blockchain protocols should find alternative ways to generate revenue. Current protocols require users to pay gas fees for each transaction, which is a barrier for most people. In order to align incentives between creators and consumers, blockchain builders need to explore new models that prioritize user experience and eliminate transaction fees.
In addition to being free, blockchain technology should also be frictionless and easy to use. Many apps and platforms lose users within the first few days due to poor onboarding experiences. Crypto onboarding, on the other hand, is even more challenging and off-putting to the average person. It’s time for blockchain to become a seamless and background technology that simply works, without users needing to understand the technicalities behind it.
Lastly, the crypto industry needs to shift its focus from niche applications to creating familiar and enjoyable experiences for the masses. While crypto has made strides in certain areas, such as nonfungible tokens (NFTs), it has failed to deliver on its promise of decentralized social media and gaming alternatives. People want platforms that are fun, engaging, and align with their existing behaviors and preferences.
It’s important to recognize that these changes are not impossible; they simply require a shift in mindset. The blockchain industry must acknowledge that pay-to-use models are no longer viable and that user needs and preferences should be the driving force behind innovation. By embracing these realities, we can build protocols and applications that truly revolutionize the world and silence the skeptics.
Jon Rice, founder of the Koinos Federation, emphasizes the need for blockchain technology to evolve and cater to the needs of everyday users. While blockchain has its merits, it’s time to make it accessible, user-friendly, and aligned with mainstream consumer tech. Only then can we unlock the full potential of this transformative technology.