Non-transferable tokens are used in a variety of applications, such as social payments, loyalty and rewards programs, and even marketplaces. They give users a sense of ownership over their tokens and make it easier to identify and track usage patterns. This helps businesses to better understand customer preferences and improve user engagement.
Image Source: Google
There are a few reasons why this type of token is popular:
First, it can help build trust between a company and its customers. By giving customers a way to invest in a company without actually owning any shares, they feel more invested in the future success of the business.
Second, non transferable tokens can be used as a way to raise money without having to sell off shares or equity. Without giving away ownership of the asset, companies can still receive funding from investors who believe in their long-term vision.
Lastly, non transferable tokens can be used as a way to reward loyal customers. By giving them access to unique perks or privileges within the company, they can feel appreciated and cement their loyalty.
When it comes to transferring value between parties, there are a few different options available. Non-transferable tokens offer a way for two or more parties to engage in transactions without the need for a third party (such as an intermediary). Social payments, on the other hand, allow two or more parties to interact with each other by sharing something of value (in this case, social media followers). While both of these types of transactions have their own benefits and drawbacks, it's important to choose the right type for your specific needs.