The NFT market faces challenges, but it remains an important bridge connecting Web2 and Web3.

The current NFT market is undergoing a challenging period, but NFTs remain an important gateway for traditional internet users to enter the Web3 world.

Problems Encountered in the NFT Market

NFTs can be mainly divided into two categories: production-type NFTs (such as GameFi) and collective-type NFTs (such as PFP).

Production-oriented NFTs are facing the dilemma of growth or extinction. In pursuit of growth, project teams indiscriminately issue NFTs, leading to severe market inflation, unstable value, and ultimately falling into a death spiral. The ecosystem of such NFTs is overly fragmented, lacking connections between projects, making it difficult for users to engage deeply.

Collective NFTs have formed a closed circle culture due to their scarcity, making it difficult to achieve value spillover and resulting in a limited community size. At the same time, some external behaviors (such as producing low-priced cultural shirts) have lowered the brand tone. These projects often rely on narrative marketing to maintain popularity, lacking support from actual application scenarios, and find it hard to sustain development.

The Unique Value of NFT

Despite facing challenges, NFTs still hold significant value:

1. Non-financial characteristics lower the psychological barrier for users.
2. Can convert between tokens and NFTs, enhancing asset liquidity.
3. Design activities around NFTs to enhance community engagement and sense of belonging.
4. With unique social and emotional value, representing personal identity and interests.

Summary of StepN Experience

1. Move-To-Earn model has been validated by the market, showing potential.
2. An effective anti-cheating system and activation code mechanism are crucial for sustainable growth.
3. Guiding Web2 users into Web3 still faces challenges and requires more effort in education and guidance.
4. The demand for Web3 social interactions is real, and attention should be paid to building a trustworthy social environment.

StepN Go's Growth Strategy

1. Focus on capturing user attention
2. Timely convey key information
3. Provide a zero-investment incentive mechanism
4. Simplify user experience and enhance understanding

StepN Go has launched a leasing system and FSL ID, aiming to facilitate social interactions among acquaintances. This model is based on trust relationships, helping to efficiently disseminate information and allowing users to quickly embrace new things.

Sustainable Growth Strategies

1. Understanding consensus takes time; do not rush to expand quickly.
2. Extend product lifecycle and reshape economic model
3. Control the growth rate using the activation code
4. Improve mechanisms to eliminate major sources of inflation.

Strategies to Address Stagnant Growth

1. Understand that "End-game" is a turning point, not the end.
2. Establish internal consensus, clarify goals and direction
3. Collaborate with well-known brands to enhance influence.
4. Develop IP collaborations to enhance brand attractiveness.
5. Leverage the power of social sharing, such as encouraging users to showcase their consumption experiences.
6. Strengthen social media marketing to enhance brand affinity.

By using these strategies, NFT projects can remain competitive and achieve sustainable development in the face of challenges.