Web3 is about to impact the online marketing industry, although the next iteration of the internet is still at a nascent stage, with the web3 marketing infrastructure being quite poor at the moment. Attrace comes to address this by offering a blockchain-based solution for performance-based marketing aimed at the web3 space. Web3 marketers can use Attrace to track the true on-chain performance of their campaigns.

Attrace provides a referral protocol that helps users make the most out of word-of-mouth (WOM) marketing. The protocol allows anyone promoting any asset or service in the web3 space to be rewarded based in a performance based manner, based on the true on-chain value contributed to these web3 projects. For instance, users who post about their preferred decentralized apps (dApps) and digital assets can be rewarded by the projects, trustless and in a performance based manner, through Attrace.

The so-called referral farming is the main mechanism through which blockchain, decentralized finance (DeFi), and Web3 communities can earn rewards on Attrace.

What Is Referral Farming and How Does it Work?

Referral farming, a mechanism invented by the Attrace team, lets you use referral links when recommending crypto and NFT projects, which enables you to earn referral farming rewards.

The protocol is able to connect outreach (referral links) via any social channel or website, cross chain, cross web2/web3 and the Metaverse with true on-chain activity. The process is backed by a smart contract on Ethereum, which distributes the rewards based on the input received from Attrace’s Oracles. For those unfamiliar, oracles are special tools that help blockchains communicate with the off-chain world. In this case, the oracles are responsible for tracking those who “spread the word” about specific blockchain and Web3 projects, measuring their impact by “observing” any asset (and asset moving) on any blockchain, and bringing all data on-chain in order to be quantified for rewards.

The rewards are distributed to users who bring true on-chain value to specific projects. For example, you add value when you buy tokens and hold them, whether to keep, provide liquidity, or stake. Attrace Oracles measure the “value added” through referrals by tracking the “position” of the amount of tokens purchased and held. When a person who purchased the token was influenced by a promoter or recommender, both of them are eligible for rewards. Thus, Attrace Oracles create two so-called ‘positions’, one for each party. By joining the referral farm on Attrace, you can earn rewards based on your share of the total ‘position’ in the farm.

The incentives offered through Attrace encourage projects or large investors to engage their communities to “spread the word” about their tokens. Projects will be able to create referral farms on Attrace to incentivize users who add value via referrals. Creating a farm as a project, or getting a unique referral link as a promoter, takes only a couple of minutes via the Attrace app.

From first use case to becoming a Web3 Marketing Infrastructure ​

At the moment, the Attrace protocol is already live on the Ethereum network and supports referral links for assets being sold on DEXs like Uniswap or Sushiswap. So these are the first referral links for performance based marketing of assets that are sold on a decentralized marketplace. However, this is considered to be solely the start of the protocol roll-out.

Based on the Attrace CRM and hundreds of conversations with projects and crypto influencers, the Attrace team came to the conclusion that the world of performance based marketing can be divided in 4 use cases:

  1. Refer users to NFT Marketplaces (DEXs live already on ETH), e.g. referral links to NFTs being sold on NFT marketplaces
  2. Refer users to a smart contract e.g. staking, farming and lending protocols, like referral links to deposit tokens into AAVE lending pools
  3. H elp DEX and NFT aggregators to get paid. Attrace can integrate a referral system that would enable DEXs to incentivise trading volumes based on pricing, which would effectively result in DEXs competing for the traffic/traders that come in via the aggregators
  4. Refer users to a blockchain/network, e.g. referral links to bridge tokens to Avalanche network

Attrace aims to be a first mover in all these verticals on all main networks (ETH, BSC, Solana etc.) which would make Attrace the Web3 Marketing Infrastructure play.