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It’s worth working up a sweat and getting in shape, but it’s even more worth earning crypto for that sweat. Tech company Sweatcoin announced the launch of SWEAT, a token designed to reward Sweatcoin app users for being physically active by converting physical movement into crypto.
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The cryptocurrency is designed to capture the value of movement and is purely step-by-step, the company said, adding that it is “a societal shift by empowering people to improve their health and get paid for it.”
When asked what prompted the idea of the token, Oleg Fomenko, co-founder of Sweatcoin, told GOBankingRates that “we were concerned about the problem of the increasingly sedentary, unhealthy life we lead and the far-reaching consequences. of this for both of us, as individuals and society as a whole.”
“We want to make a billion people more active. The question kept coming: how can we make it more attractive for people to exercise just that little bit more. Sweatcoin was the answer – an app that counts your steps and rewards you for doing so,” Fomenko said.
Fomenko explained that although the company had the idea of a crypto rewards mechanism in mind “from day one”, crypto was not ready for mass-market use in 2015, and so Sweatcoin developed as a rewards and currency app.
“And it works: our 63 million users walk on average 20% more after downloading the app. SWEAT – the token, which we are announcing this week, is the turbocharging of that vision… a vision to create wealth through health,” he said.
SWEAT is being built on Ethereum and uses the eco-friendly NEAR as the blockchain for its token, and the Near Foundation is investing in the project. Other institutional backers include Electric Capital, Spartan Capital, Jump Crypto, OKX Blockdream Ventures (OKX’s venture arm), and GSR, as well as high-profile founders and builders such as Terra founder Do Kwon, Sandeep Nailwal, founder of Polygon (MATIC) and Bjorn Wagner, co-founder of Parity (Polkadot), said the company.
The company said every SWEAT user will be given a Sweat Wallet that will generate fees by enabling a range of DeFi features, such as SWEAT’s exchange into other cryptocurrencies, liquidity provision, and staking.
The token allows people to exchange it for goods, services and experiences ranging from high-tech shoes to iPhones, from anti-gravity yoga classes to Apple Watches.
“There are many things you can do with your SWEAT, and new features are added all the time. First, you can leverage your SWEAT to get a really attractive return on it,” Fomenko said. “You will also be able to exchange it for other cryptocurrencies, such as Bitcoin, so that you are literally walking for Bitcoin.”
Additional features on the roadmap include the use of SWEAT in DeFi – be that for staking, liquidity provision or other crypto capabilities, the ability to buy NFTs, sell your personal data for more SWEAT or purchase premium subscription services, said Fomenko. Users can also convert the token into other cryptos or fiat currencies.
In terms of the audience the company is targeting, Fomenko said, “everyone and everyone.”
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“We should and can all get more exercise in our daily lives. With SWEAT, the token, we’re also eager to see more Web 2 users embrace the possibilities and potential of crypto in the lowest possible risky way — by literally walking for it,” he said.
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About the author
Yael Bizouati-Kennedy is a full-time financial journalist and has written for several publications, including: Dow Jones, The Financial Times Group, Bloomberg and Business Insider. She also worked as a vice president/senior content writer for major New York City financial firms, including New York Life and MSCI. Yael is now a freelancer and most recently co-authored the book “Blockchain for Medical Research: Accelerating Trust in Healthcare”, with Dr. Sean Manion. (CRC Press, April 2020) She holds two master’s degrees, including one in journalism from New York University and one in Russian studies from Université Toulouse-Jean Jaurès, France.