Crypto is a world-adjusting topic. Even the creators of crypto don't know what they have built. It is a very simplistic tool yet has world-adjusting potency.
Let us simplistically start here...my response to a tweet by a random user of Twitter:
It is simple.— @surpassinggoogle.eth (@surpassinggoogl) September 12, 2022
First, crypto humans need to apply crypto & blockchain as tools to enhance their capabilities in becoming peer-to-peer humans instead of utilizing solely as a reward-distributing tool.
Only peer-to-peer humans can form the basis of a truly peer-to-peer #Crypto. https://t.co/bidls5Xn9z
Then, we go on to my response to a random user of Quora. Well, I will put his sentiments out first, then my response.
First off, I posed the question about whether Soulbound Tokens can incite the next crypto bull run, even though it is not transferable and has no perceived value.
This is how responded below and his response is tangible:
With a google search you find that, they are not designed to have market value. They will not cause a bull run. They will be like achievements in a video game, they could affect the validity of the blockchain. Like peoples college degrees or expertise or dedication could be verified on their crypto wallet. Could get a non transferable nft for completing a marathon or something.
Next came my response:
Indeed it may have no direct value but exists in a peer-to-peer cryptosphere where value can transcend the scope of what constitutes conventional value.
Can it incite the next bull run? That has started! Not directly though.
The narrative ‘soulbound tokens’ will stir the rise of new projects as these projects attempt to build around this narrative. It will also resuscitate sleeping projects in their attempt to partake of this narrative. This is where the value will come from; from ‘Soulbound tokens’ becoming its own crypto category and emanating thousands of dapps in effect.
When I say that this has started, it has.
Visit #soulbound on Twitter and see how many apps are already trying different implementations of soulbound nfts.
Binance has started the motion by introducing its own Soulbound token called $BAB, offering it to its KYCed members.
DAPPs both sleep and dominant have begun to emanate and offering perks exclusively to BAB holders.
Whether that constitutes value or not, it brings about a tangible excitement and a wave as people seeking respite in a bear market begin inclining towards what could become a new relevant crypto niche and that is how a bull market begins; a simple timely spark.
A direct example of how value can further come about, which has same premise as what we have been trying to establish is in…
Many TGEs (DEX-listings) have been met with failure due to bot participation. The result FUD may have deterred the affected tokens from come to the fore altogether.
Even solid projects may have struggled with establishing a true valuation of their token post-TGE as bots snipe a large bulk of their tokens upon listing and take the token-market hostage with front-running.
Let is assume that many of these projects that can’t afford efficient bot-protection discover a #soulbound token approach as a relevant affordable solution and decide to allow only Bab holders to participate in the token generation event within the first minutes and they managed to have a successful listing, not only do these projects succeed and come to the fore, an industry of dapps can begin to build around ‘bot-protection & soulbound tokens’.
My point is SoulBound NFTs will become its own industry in crypto and from this industry it is very possible a unique variant of exciting DAPPs are unveiled, which restore timely excitement across crypto and incite a bull run.
Meme coins as an industry may have been regarded as valueless at the outset with the introduction of ‘coins + reflections’ but value came out of that industry which incited a bull run.
Different projects began to arise out of the ‘meme coin category’ with different implementations of reflections or tax structure. Some of these implementation were modeled to enable a low-funded project to have constant tangible liquidity which became the basis for their eventual success.