Introducing Coupons into NFT: An Innovative Thought

I. Overview of Coupons

Today, e-commerce platforms commonly adopt coupon strategies, with two main purposes:

1. Stimulate consumption and increase transaction volume
2. Increase user engagement, retention rate, and usage duration through reward mechanisms.

Compared to directly distributing currency, coupons have the following advantages:

1. Scope of Use Limitation
2. Limited liquidity
3. Cost Delay

When introducing coupons in the NFT field, it is necessary to consider the attributes of the NFT itself. As an investment product, NFTs have high liquidity, while coupons themselves have low liquidity, but after purchasing an NFT, one will indirectly obtain liquidity.

Coupons can be divided into two forms: those issued by the platform and those issued by sellers, each with different cost-bearing mechanisms.

2. Coupon Applications in NFT Scenarios

The NFT lifecycle mainly includes two stages:

1. Project Issuance Phase (mint)
2. Trading Market Circulation Stage

Introducing coupons during the minting phase can promote project publicity and user participation without incurring additional expenses.

In the trading market phase, the coupon issuing entity may include:

• NFT issuer: a dedicated account needs to be established to bear the preferential costs.
• NFT holders: Need trading platform support for coupon contract settings
• NFT trading market: similar to the issuer, but can cover all NFTs within the platform.

The issuance of coupons during the trading market phase usually requires additional expenditure, so it is necessary to carefully weigh the costs and benefits.

3. Conclusion

1. It is more appropriate for the NFT issuer to distribute coupons during the minting phase, which can enrich the existing promotional strategy.

2. In the trading market stage, the NFT issuer needs to assess the cost and benefits before deciding whether to issue coupons.

3. The feasibility of issuing coupons by NFT holders and trading platforms is relatively low.

In the future, it may be necessary to further explore the implementation of coupon contracts and how to modify existing NFT contracts to support coupon functionality. This depends on the feasibility assessment results of this product idea.