Sweat Economy (SWEAT) is the new move-to-earn platform currently riding high on the download charts, but is it the stuff of chumps, or of champions?
Here, Be[In]Crypto takes a closer look at the latest move-to-earn sensation to find out whether Sweat Economy can break free of the STEPN chasing pack to take the lead for itself, or whether it is instead doomed to languish behind.
What is Sweat Economy?
Sweat Economy is a move-to-earn fitness application which allows users to gain tokens by getting their body moving, much like rival STEPN.
The project is called Sweat Economy and bills itself as the “next evolution” of the Web2 app Sweatcoin, while the coin itself is called SWEAT. The project is managed by the Sweat Foundation and both Sweat Economy and Sweatcoin seem to be running concurrently.
That adds the potential for some degree of confusion for the casual observer. On the Sweatcoin homepage it states that Sweatcoin has 100 million users, while on the Sweat Economy Twitter page it says the company has 120 million users. Presumably the bulk of these users are inherited from Sweatcoin.
SWEAT tokens are generated when users are physically active
According to the company litepaper, SWEAT tokens (not Sweatcoins) are generated only when the user is physically active and are available to anyone who has downloaded the Sweatcoin application (not the Sweat Economy application).
For every single 1,000 steps a user inputs into the system, one SWEAT token, not coin, is generated.
According to Sweat Economy, only genuine activity will be rewarded in their ecosystem.
“Consistent and accurate movement validation is fundamental to ensuring the integrity of the underlying asset,” says the Sweat Economy litepaper.
While few details are available on how this verification process will work the process will be managed by SweatCo Ltd. Users will also have the opportunity to monetize their movement data through the Sweat decentralized autonomous organization (Sweat DAO).
With multiple names, two websites, and two major brands to manage, the Sweat Foundation would seem to have its hands full.
SWEAT price action
SWEAT token peaked shortly after launch and has since gradually declined in value. From an all-time high of $0.091476 on Sept. 14, SWEAT is now $0.02022217 at time of press. This marks a decline of 77.9%.
As is sometimes the case in the aftermath of a token launch, the general direction of the SWEAT token price has been mostly downwards. SWEAT is down 27.1% on the previous seven days of trading and 36.6% on the previous 30 days.
Is Sweat Economy real?
One of the metrics which participants are always curious about is the validity of a project’s following. Follower counts on various social media platforms can be spoofed, leading people to believe that a project is more popular and its network strength is stronger than is really the case.
One way to test that is via TwitterAudit, which can audit the entire follower list of public profiles.
On Twitter, the project has a follower account in excess of 350K. TwitterAudit gave it a score of 96% suggesting that the bulk of their followers are genuine.
The natural inference may therefore be that their followers on other platforms may also be genuine.
Sweat Economy also claims to have around 120 million users. One way to assess that claim could be through on-chain data.
Data from DappRadar shows that in the last 30 days almost 900,000 users have interacted with Sweat Economy smart contracts. Over that period daily users have declined from over 100K per day to around 40K per day.
That could suggest that most of those users are not currently active, but it could also mean that daily usage of the app does not require interaction with the Sweat Economy smart contracts.
As always, do your own research (DYOR).
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