Author: William Peaster, author of Bankless; Translator: Jinse Finance xiaozou
Zora is an on-chain social network where every piece of content posted by users is converted into tradable tokens.
This focus on content makes Zora unique in the current token issuance track.
In addition, the Zora mobile app (available for download through Apple and Google stores) has an Instagram-like interface design, making it easy for ordinary users and crypto enthusiasts to get started.
It is worth noting that the project has also taken advantage of two favorable trends recently:
Base application (formerly Coinbase wallet) integrates Zora technology, and now each content published through its Farcaster client will generate tokens;
The creator token function is online, and all tokenized content is automatically paired with your tokenized profile, and all profiles are linked to ZORA tokens.
These favorable factors have pushed Zora to set new records in indicators such as content publishing, number of active accounts, transaction volume, and handling fees.
In addition, these factors have brought a lot of attention and value accumulation to the ZORA token, which has skyrocketed 800% in the past month.
This momentum has triggered a lot of discussion about the Zora flywheel effect and the golden balance situation.
It has also generated a lot of controversy: Are content tokens all junk coins? Is there a better way to achieve it? Are critics over-interpreting it?
We still need to wait and see whether this flywheel can continue to accelerate and what the final situation will be.
But Zora is clearly gaining momentum and more people are flocking to the platform, so if you haven’t yet looked into creator tokens, now is the time to look into them.
In short, when you log into Zora today, you can activate a profile token with your username. Here’s how it works:
The token supply is capped at 1 billion. 50% will be distributed to creators over five years, and the other 50% will be immediately available for trading through a liquidity pool.
Every time you publish a new post, a new trading pair is created between that post token and your creator token. So user interaction and content dissemination drives liquidity back into your profile token.
Both post and profile token transactions are subject to a 1% protocol fee. This fee is paid to the post creator or parent profile in the form of ZORA.
The goal of this design is to achieve a reflexive growth in creator earnings. In other words, more posts lead to more trading pairs and more trading touchpoints, which means higher potential demand for your Creator Token.
Therefore, supporters who purchase your content are both your sponsors and are essentially betting on your flywheel effect.
If you want to try creating your own Creator Token, Zora provides an easy way to get started. New users will automatically receive Creator Tokens when they sign up for an account, and existing Zora users can simply click the "Activate" button on the Profile page.
As for finding new posts and creator tokens to trade, you can discover new profiles by browsing Zora's "Explore" page or using the notification feature.
You can also check out some external applications that help with analysis and trading, such as Zora Terminal, Bankr, Hype, and ZoraRadar.
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