NFTs, DAOs, and POAPs – OH MY! | Ingram Yuzek Gainen Carroll & Bertolotti, LLP

By now you may have heard or read (perhaps here on Ingram’s NFT Newsroom) about NFTs or Non-Fungible Tokens. A NFT is a unique digital file that resides on the blockchain so that ownership of that digital file can be tracked. NFTs can take on forms of various digital media – photos, videos, gifs, and now POAP or Proof of Attendance Protocol.

POAPs (pronounced poh-ap) made their debut in 2019 at the ETH Denver Convention to demonstrate Ethereum’s capabilities in comparison to its competitors by providing badges to attendees.

So, what exactly is a POAP?

Have you ever kept a ticket stub from a concert or a show by your favorite performer? Or from a memorable game you watched your team play? A POAP is like that stub – except digital. In other words, a POAP is a type of NFT that shows you attended an (IRL or URL) event or experience. You can also buy, sell, or trade them on the POAP platform.

Why is a POAP valuable?

Because POAPs mark an important event or experience in your life, its value may be unique to you. However, not all POAPs are created equally, so depending on whether the event or experience has a high cultural value, that POAP could increase in value. The creators of POAP have delineated three types: collectible, reward, and recognition. A collectible POAP is for private enjoyment as it’s commemorative of the collector’s experience. A reward POAP is for either private or public enjoyment as the holder may receive benefits from the issuer of the POAP for owning said POAP. For example, a brand or DAO (decentralized autonomous organization, again with the acronym) called Bankless rewarded tokens to those who had previously claimed a Bankless POAP. Even better, Bankless distributed more tokens to those with more POAPs. Sounds like a pretty effective marketing strategy to build brand loyalty. Thirdly, a recognition POAP is for public enjoyment as the creators of POAP intend the holders to “flex,” stating that a POAP’s “bragging rights strengthen the more exclusive it is.”

Other use cases for POAPs are community surveys, conference discounts, airdrop targeting, sub-collateralized loans, and VIP access to events. The ability for a POAP issuer to engage with its subscribers beyond the duration of the event opens up a broad range of possibilities, and it certainly is something to keep an eye on.

Where can I get a POAP?

Basically by attending any event that is distributing a POAP. For example, you could have claimed a POAP while watching this year’s Super Bowl. Binance issued POAPs during Super Bowl LVI.

The following events have announced that they will be giving out POAPs:

  • March 28-30, 2022 – Binance Blockchain Week
  • April 15-24, 2022 – Coachella (although these NFTs are minted on the Solano blockchain and not on the Ethereum blockchain like POAPs are, it’s the same concept)
  • June 9-12, 2022 – Consensus 2022: The Festival for the Decentralized World

You can find more events on the POAP events site and opportunities to claim POAPs through cyrpto communities and events, decentralized finance platforms, crypto conferences, and blockchain games.

The world of NFTs is continuously growing.

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