Why should I buy other people’s tokens?
In the world of tokenization, there are those who create tokens and promote their projects and those who buy the tokens. Both are needed to be able to give this world functionality, the supply and demand that every economy needs to exist. Yet, many who see a token being promoted wonder: why should I buy their token? Is there any benefit to it?
This is perhaps a question that even token creators have asked themselves “is there a reason why someone would buy my token?” And it’s ok to think that way because it means we are looking at tokenization as something that must have a meaning or otherwise die, and it’s a relief that it does.
If you wonder about why you should buy and support other people's ideas buying their tokens then I invite you to read the next 2 important reasons to do it:
We are going to a super digitalized world
A friend of mine complained to me no long ago saying that he is frustrated he cannot earn more money because he has a lot of limitations with internet services and he doesn’t know yet how to produce audiovisual material to teach online (which is what he dedicates to) He said he wanted to create videos and use more interactive material for his students and felt as if he was indeed being left behind due to the internet issue. He concluded though, that there was no way around it and that if he wanted to succeed he had to transform to technology or let his work perish forever.
There is absolutely no way to survive in a super digitalized world without getting digital and getting the best out of technological tools for any aspect: business, entertainment, studies, development, administration and so much more. Tokens have the ability to bring into the digital world many of the operations that we usually do in the offline world.
“There is absolutely no way to survive in a super digitalized world without getting digital and getting the best out of technological tools.”
Starting from this premise and understanding how the world will look like in the future we cannot but recognize that the path to follow is the one where we bring the real world into the digital world and not the other way around. But not only that, we search for the best technologies and tools to make this happen and it’s the reason why technologies such as blockchain were created.
People who utilize blockchain and the creation of tokens to sell their products, promote their projects, or crowdfund are actually one step ahead of others who still haven’t gotten the full advantages of digitalization. Because they have both brought their projects into a secure environment called blockchain and allowed a global clientele to have access to it.
Overall any business that has this characteristic has a tendency to last longer and provide solutions for the future, thus investing in initiatives that are actively looking for transformation can mean a benefit to us in the long term.
Accessible prices
Another important reason to consider as an incentive to buy tokens is the prices. Why? well, it’s simple: just as any cryptocurrency the prices of the tokens even though set by their creator at the beginning depends completely on their rentability in the market. The value is determined by market-specific factors, such as supply and demand. These principles are not static and can be intimately linked to other related factors.
Explained simpler higher demand is generally seen as a symptom of greater interest among users, which in turn can cause the price of the token to rise. On the other hand, if supply is greater than demand, the asset tends to decrease in value.
“The value is determined by market-specific factors, such as supply and demand.”
However, the reason why the prices for products and services that people offer through tokens are better is that there is no intermediary behind them. When you buy a token you can decide to buy from the person who directly provides services that you require and the payment goes directly to him without the use of a third party.
It’s common knowledge that usually the prices go up when there are many hands who need to get a part of the full price, it is not the case when you buy tokens and receive products in exchange. And not only that, the possibilities of trading can create a network in which satisfied clients can continue to buy and sell exchanging value with more autonomy.
The size of each market is a determining factor in the price of a token. If a cryptocurrency is listed on a few exchanges, its reach is smaller than one that is traded on multiple platforms. In fact, when a cryptocurrency is listed by a reputable exchange, there is a price increase, because it means that more people will have access to it. This can create a reliable income for token creators and offer security for those who buy.
By any means supporting someone by buying his/her tokens gives the buyer the opportunity to enjoy benefits forever, since tokens never cease to exist as long as they keep moving in the market. If you buy from someone and get a service alongside a token it’s like getting something you can use now and also something you can use for the future, isn’t awesome?
Mary Schwartz