Cryptocurrency

What is STEPN (GMT) | Whitepaper Summary

STEPN WHITEPAPER EXPLAINED!

WHAT IS STEPN (GMT)?

STEPN (GMT) is a First Move-to-earn NFT token game powered by the Solana blockchain. The game revolves around the concept that a user can earn money by doing daily basic activities like walking, running, jogging, etc. The concept of NFTs plays a very unique role in this game.

For users to start earning money via above-mentioned activities they need to buy NFTs in the form of shoes. The game offers a variety of NFT shoes based on the type, level of comfort and other factors and price varies along the same lines. The Stepn ecosystem works on 2 different tokens – GMT (Green Metaverse Token) and GST (Green Satoshi Token). While the supply of GST is unlimited, the supply of GMT is limited to 6 billion units.

According to STEPN’s whitepaper, 30% of the total GMT supply will be distributed to users through game and governance participation, a further 30% is reserved for STEPN’s treasury, 16.3% is allocated for private sale, 14.2% is for the project team, and advisors to the project are given 2.5%.

Additional Read: How Metaverse Is Powering The Gaming Industry

EMERGENCE OF STEPN (GMT)

This revolutionary game using NFTs in an entirely different way has been developed by Find Satoshi Lab, an Australian fintech firm. This Solana-based NFT token game was founded by Jerry Huand and Yawn Rong. This game won the Solana Ignition Hackathon Gaming Track.

It was highly appreciated by the judges for its simple design and very persuasive use case which will attract a lot of users towards it. Stepn was initially found in August 2021. The first open beta version was released in December 2021. STEPN (GMT) was launched in March 2022. Within a month after the launch of the beta, the in-app purchase and trade marketplace was launched on STEPN.

STEPN’S ARCHITECTURE

STEPN is a Solana-based application. Until June 10, 2022, STEPN was using Orca, Solana’s most widely used DEX, as its primary decentralized exchange platform. To upgrade the token swapping and trading experience for its users, STEPN developed its DEX, called DOOAR, which made it one of the most famous DEX almost overnight.

This gave STEPN even more control over the fee structure for swapping and other trading activities. DOOAR was planned to be released in three stages- First, it was only available in the STEPN application, only supporting Solana. Second, the front end was added to it, and anyone was able to provide liquidity to GST/USDC and GMT/USDC.

Thirdly, anyone can create liquidity pools for any token, and multi-chain support. Since STEPN works on the Solana blockchain, it follows the same consensus. It has Proof of History consensus, which is a chain of computations that provides ways to authenticate the passage of time between two events. Using a cryptographically secure function, it is developed such that output cannot be predicted from the input, and must be completely executed to generate the output.

ADVANTAGES OF STEPN (GMT)

  • Increased incentive to users
    Any user joining the Stepn Community is not only becoming part of a group of NFT enthusiasts but also he is stepping towards a healthier lifestyle. Due to its unique revenue and earning model, Users can access three STEPN gameplay features, the solo, marathon, and background modes, to earn money and freely participate in the game. While the concept of NFT sneakers will keep the intrigue of Web 3.0 alive in the users, the incentive to earn while running keeps a user interested in the app.
  • Something for all
    The world of Web 3.0 with its frightening terms like blockchain, decentralized finance, etc can be overwhelming for a new user or someone with a very limited understanding of technology but with the easy game-like setup and very user-friendly UI/UX of the stepn Mobile app users of all technological backgrounds felt welcomed in the app.
  • Strong green signal in terms of Crypto trading
    While a lot of projects related to web 3.0 are being launched in the wake of this tech-savvy generation, most of these projects tend to lose value and user interest with time as they cannot find and associate a very strong utility with the project, STEPN brings an exception with is a revolutionary combination of daily life actions in the real world and the NFTs of web 3.0 world. This directly affects the performance of tokens associated with stepn on the trading platforms.

STEPN’S (GMT) TOKENOMICS

STEPN has two types of tokens. One is the game token called GST (Green Satoshi Token) and the other is a governance token called GMT (Green Metaverse Token). The supply of GST is unlimited and the token can be collected when a player moves in Solo or Background mode. There is also a burning mechanism so that the supply of tokens can be controlled. The burning can be achieved by Shoe-Minting, Repairing and restoring HP, Levelling up Sneakers, Gems upgrade, and Unlocking sockets. These are all in-app actions and can be performed with ease because of the great user interface.

The supply of GMT is limited to 6 billion tokens. The GMT earning model was proposed to be executed in four stages which involved improvements and further additions in the subsequent stages. As of now, the earning model is in the final stage and is expected to get completed anytime soon.

There are certain pools called Classic Pool, Rainbow Pool, Rainbow Plus Pool, and Rainbow Infinite Pool, and there is a daily distribution of tokens to these pools. 20% of the daily distribution quota of tokens goes to Classic Pool, 30% goes to Rainbow Pool, and 50% goes to Rainbow Plus Pool. The Schadenfreude Pool mechanics for Rainbow Infinite Pool is yet to be decided. The most amazing thing about GMT earning model is that there is earning cap.

The GMT earning is calculated and settled every 5 minutes based on the total Rainbow Pools Power and Comfort Classic Pool utilized in this period. The algorithm deployed in the earnings contract makes sure that these earnings decline as time progresses and eventually become half in 3 years. There are different sets of regulations for each Pool, and they revolve around halving mechanisms, sneaker level requirements, pro rata mechanics, and comfort mechanics.

To further control the supply, and eventually, the prices of GMT, there are some burning mechanisms in place. Users can burn GMT to increase the level of their sneaker NFT, upgrade Level 4+ Gems, mint sneaker qualities, re-distribute Attribute points, and undergo Fusion Function, to improve the in-app experiences.

GMT PRICE PERFORMANCE OVER THE YEARS

GMT/USD | Source: Tradingview

Read more: Stepn GMT Price Prediction

STEPN FACES STIFF COMPETITION IN THE CRYPTO SPACE

As far as competition is concerned, STEPN GMT started as a fairly new approach to the investment-heath sector, but many other projects are trying to develop the same idea. Major competitions include:

  • Mehracki: Mehracki is a meme coin application that aims to help users feel good and worry less. It is a community-driven meme coin, and there are talks online to stimulate Mehracki’s value. It has got real-life applications as well; users need not exchange or swap MKI for other tokens to pay for goods or services, whereas this is a necessity for other coins. Mehracki also has a lot of partnerships with hospitality outlets and De-Fi capable NFTs, which might help users in having a great experience.
  • Audius: Audius project aims to give everyone the freedom to distribute, monetize, and stream any audio content. The protocol is bringing artists, node operators, and fans together which is also incentivizing the whole process. Artists get to provide high-quality audio without any interference from centralized infrastructure. It also has its token called $AUDIO which has its role in governance as well. Users can stake their tokens to secure the platform, and they receive a share of network fees, governance weight, and exclusive features in return.
  • Friends with Benefits: It is an expanding social DAO and has more than 3000 engaged members. This network aims to collectively catalyze the power of Web3 as a cultural phenomenon. It has already produced a diverse array of events, collaborations, and products that help serve the needs of the community. New members can join in by applying, and if accepted, they can become Global Member by purchasing 75 $FWB tokens, or a Local Member by purchasing 5 $FWB tokens. $FWB is the crypto that is tied to the Friends With Benefits DAO.

All these competitions show that there is a move towards Social-Fi ideas, which in the future, could become very popular.

Additional Read: Dogecoin Whitepaper Summary

STEPN WHITEPAPER SUMMARY(ROADMAP & VISION)

STEPN emerged out of a hackathon organized by Solana back in 2021. In August 2021 it was officially founded. The first beta version of the app was launched in December 2021. It soon introduced its in-app trade function and marketplace in the coming months. In-app wallet was integrated by April.

By the month of august of 2022, they released the NFT marketplace launchpad. STEPN plans to bring out a concept of renting NFT sneakers for its user. New users will be able to rent NFT sneakers from existing users without even needing to have a wallet or much knowledge about the crypto space. This does multiple things:

  1. It makes NFTs way more affordable for a new user. It then allows them to build up the capital slowly and eventually get a sneaker of their own.
  2. As new users get situated with the platform, it allows them to get used to the platform, without feeling pressured, and use the STEPN framework to understand how web3 transactions work. For example, they can understand that setting up their wallet would allow them to buy an NFT sneaker in the future.
  3. Perhaps most brilliantly, this also endows new users with a “pseudo-mentor” of sorts. Similar to how guilds in Axie Infinity help educate, fund, and mentor new players, users who rent their sneakers out effectively become “mini-guilds” that can help their renters — and are likewise compensated for their time through profits from their rentals. This creates a strong, social ecosystem where users can interact with each other, sharing profits and creating value and community.

CONCLUSION

STEPN (GMT) is a Web3 project with an interesting aspect of earning via movement. It focuses on improving the health and fitness of its users by rewarding them in the form of GMT tokens by literally asking them to perform essential daily activities – moving around. It has spectacular Game-Fi and Social-Fi elements which gives it a unique selling point.

STEPN (GMT) has shown overall bullish sentiments and is one of the most valuable Move-to-Earn projects with a current market capitalization of around $500 million. The continuous efforts of merging NFTs, Move-to-Earn, Game-Fi, and Social-Fi have certainly made STEPN (GMT) one of the most famous and sought-after Solana projects.

One of the drawbacks of this type of project is the price inflation of in-app sneakers and GMT, which might affect the project’s future growth and development. All-in-all, the user-friendly and engaging platform makes STEPN GMT a great choice for people who have prioritized both investments and health.

Additional Read: Shiba INU Whitepaper Summary

HOW TO INVEST IN STEPN (GMT) 

Use this three-step process to buy your first GMT token using the CoinDCX, crypto investing app.

  • Sign Up for the CoinDCX account:

    Enter a valid email address and a user name on the sign-up page. Once the Email Id has been verified, set a strong password to secure your account.

  • Verify the account:

    You need to complete your KYC, to buy a GMT token on the CoinDCX platform. All you need to do is upload the documents and your account will be set up in 15 minutes.

  •  Buy GMT INR:

    After the account has been verified, you can deposit any amount of fiat currency you are comfortable with and start your crypto journey!


Disclaimer: User Generated Content – Original Content created by a member of BITS Pilani, under the consultation of Dr. Amit Dua, Assistant Professor, Computer Science Department, BITS Pilani, Pilani Campus in association with CoinDCX. The views and opinions expressed within this post belong solely to the author.
Author: Saatvik Mittal, Gautam Goyal


 

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