Move to earn - how it works, where does the money for rewards come from?

[iown2BTC]

There is a lot of hype around move to earn concept of tokens.

BUT I don't understand where does the money for the rewards come from? ''Who'' pays these rewards?

Can someone please explain that to me? THANKS! 

[1714639197]

1714639197

[WalkerIVIV]

There is a lot of hype around move to earn concept of tokens.

BUT I don't understand where does the money for the rewards come from? ''Who'' pays these rewards?

Try to spend a few minutes to read whole of explanation that already mentioned in the stepn whitepaper will be answering all of your question about that.

https://whitepaper.stepn.com/

Can someone please explain that to me? THANKS!  

It's fully explained in the whitepaper. I know you are answering a question but that whitepaper will be answering all of your questions. The mechanism is pretty similar with axie but some things got adjusted to avoid the common problem in the play to earn model project.

[iown2BTC]

Thanks, but I couldn't find the answer in the whitepaper.

Where does the money/tokens for rewards come from? What if tomorrow 10M people start playing it, will it be enough tokens/money for rewards?

Thanks!!

[passwordnow]

There is a lot of hype around move to earn concept of tokens.

BUT I don't understand where does the money for the rewards come from? ''Who'' pays these rewards?

Can someone please explain that to me? THANKS! 

AFAIK, these are crowd funded so there's really the funding to make it start. And to go with the business model, there goes the sales from their own token and if the price goes up then there's a sure profit for the developers of it.
The business model of these tokens run from that and that's why they've been continuous in development and growth because they have a foundation from their investors at their start.

[Amjado711]

Well to earn you have to buy something like shoes NFT which is a bit costly, so that’s one source of revenue that can be distributed, second I think they will run ads or do collaboration with big sports company which will definitely generate more revenue that can give value to the existing token and minting a new one to be distributed

[asriloni]

Thanks, but I couldn't find the answer in the whitepaper.

Where does the money/tokens for rewards come from?

The reward was coming from the contract. This is having a smartcontract that being dedicated to mint the tokens but as far as i know that for GMT has limited supply unlike SLP that has unlimited supply. GST is the same thing like SLP and GMT was AXS. The reward was coming from the treasury that already dedicated to be used for early reward for early players.

What if tomorrow 10M people start playing it, will it be enough tokens/money for rewards?

Thanks!!

that's enough. GMT has billion supply and you can imagine if people will earn less GMT but the price of GMT will be so high.

[crwth]

Look at it this way. You can mint something or create a token for free, call it any way you want. Let's say X-Coin.

This said, X-Coin could be earned by doing a specific task. E.g., Move, play, etc.

Once you have done that, you can give the minted X-Coin without cost because you wrote the code and built it with certain conditions.

I think you are confused with the value it has or something. The market dictates that.

[iown2BTC]

Thank you guys! Appreciate it! Interesting to watch if this will be a new trend in crypto space. Have a great day!

[Xal0lex]

There is a lot of hype around move to earn concept of tokens.

BUT I don't understand where does the money for the rewards come from? ''Who'' pays these rewards?

Of course, as in any pyramid, at the expense of the influx of new users. Remuneration is paid from the cash flows that come into the project from the registration of new participants and the marketplace, because participation is not free and you need to buy sneakers, that is, you need initial investments to make money. That's at the expense of them, and formed the rewards for other participants.

This thing is not eternal and sooner or later, as with any pyramid scheme, there is not enough money for everyone and it can turn into a scam.