With regards to the system of how we value certain content, you can read more on our whitepaper here: https://snax.one/whitepaper.pdf
With regards to value, although as you know nothing really gives any of the currencies value (crypto or fiat) besides people faith in its value, there are nonetheless market forces which approximately determine value of one currency to another and we talk about what we think will bring value to Snax utility token here: https://hackernoon.com/snax-social-transaction-and-why-sharing-is-caring-afc32c8f1646
One of the factors mentioned in that article is a Metcalfe’s law which states that the value of any social network is proportional to the square of the number of participants.
What do you think gives value to cryptocurrencies, and what might give value to Snax?
Regarding what gives value the best way to ask is:
Why would someone want to buy Snax tokens?
Hi! For the same reason that people would buy Ethereum or Bitcoin - to make a transaction on our blockchain (maybe donate to their favorite twitter account, or to use in a dapp that will be built on Snax network) or to invest into SNAX token because they believe that its value would increase.
Okay but people can use BTC to pay as vendors accept it, can use ETH to use smart contracts, can use STEEM to power up and get bandwidth to transact on the network and distribute rewards.
So I understand that you will do some tipping feature into SNAX like patreon? Or will you market SNAX as a payment token?
Why would I use your token to support my favorite content creators rather than use STEEM, BRAVE, BTC, Patreon or any other thing?
Let's be real, no vendors accept crypto yet. Sanx has smart contracts just like EOS so you can use it for that as well. We market SNAX as a social token.
Social transactions can be used in many ways — you can donate money to your favorite Hearthstone streamer or support a blog that you like on Twitter, advertisers can pay to social influencers for marketing campaigns, Youtubers can exert their influence using Snax tokens to promote smaller channels or to help bring attention to any issue they deem important.
Snax works as an overlay solution over already established social networks (e.g. Twitter, Reddit, Instagram). With Snax you can transfer tokens to any user of social networks integrated into our platform — the beneficiary of the transaction doesn’t even need to be registered on Snax network, once they will log in for the first time they will be able to claim all of the tokens sent to them.
To use Snax you simply need to verify your identity as an owner of the social media account and you can instantly begin to enjoy the benefits of our system. You can send transactions using just the social network account name — it is as simple as sending a message on Facebook or Twitter! One of the largest barriers in using tokens for most people is the relative complexity of getting and sending them. With Snax, we have simplified the process to the limit — with our browser extension you can begin using Snax with just a few clicks. If you are using Twitter you will be able to record your twit together with sending a token simply by tagging our bot in the message.
Snax tokens are free to send, so we encourage users to spend them on each other, to create a digital economy of social interactions. Be creative with your use of Snax and do not treat them as a treasure that you have to keep to yourself. We are giving everyone the opportunity to receive Snax for simply having a Twitter account, and we want our users to have fun with our gift. Send some funny gif to your friend together with Snax token and have it recorded on the blockchain, or try to see how many people you can gather to send Ryan Reynolds a gif of Pikachu.
The economy of Snax is built on a very simple principle, the more people are using Snax tokens, the more value it generates. That is why we give everyone a chance to get free airdrop, and a simple way to earn tokens. There is an underlying network effect called a Metcalfe’s law that our blockchain is using. The law states that the value of any social network is proportional to the square of the number of participants; In simpler terms, it means that doubling the number of people using our blockchain would more than double overall value of the chain leading to an increase in the value of an individual token.
I can order my pizza with Bitcoin :D not every vendor accepts it but many are starting to.
This, this is the value add. Sure everyone can use your coin but they can also use their own coin or any other coin they want. But having this overlay solution would motivate people to use it.
That is a good idea. I would not call Metcalfe's law a law in itself, it won't guarantee your success if you have many users. But it will make success easier for you.
I think that if you make it super easy to get and send your tokens and get many initial users to get over the chicken & egg barrier you have a nice system going. I wish you all the best in your efforts there :)
Thank you!
We are going to launch a beta test GUI for the network today for the beta network, I would encourage you to check it out) Join our Discord https://discord.gg/qygxJAZ to get the announcement or follow us on twitter https://twitter.com/SnaxTeam