Crypto startups like Blast are offering loyalty points to lure users, without detailing the rewards; Blast has attracted $1.3B in crypto since November 2023
Context & Ripple Effects
Blast’s $1.3 billion inflow shows that crypto customer acquisition can be driven by expected future benefits even when the terms of those benefits remain undefined. It shifts the competitive focus from simple product availability to the ability to create anticipation around participation.
This is a more targeted version of the industry’s earlier spending on sports-marketing-led user acquisition: rather than buying broad visibility, startups are using points to tie incentives directly to user activity and deposited crypto.
First-order effects
- Blast gains a sizable pool of crypto and a ready-made acquisition mechanism, while users begin accumulating points without knowing their redemption value or terms.
- The immediate economic value of participation is therefore uncertain for users; the disclosed attraction is the points program and the prospect of later rewards, not a defined benefit.
Second-order effects
- Competing crypto startups face pressure to introduce comparable points schemes or risk appearing less rewarding to users who can move assets between platforms.
- Competition may increasingly turn on the perceived value of future rewards, making it harder for users to compare platforms on transparent, current economics alone.
Third-order effects
- If this model persists, points programs could become a core crypto distribution channel whose effectiveness depends on trust in eventual reward design rather than upfront disclosure.
- That would heighten the importance of clear terms and credible redemption mechanisms: opaque incentives can attract activity quickly, but may be harder to sustain once users evaluate realized rewards.
The trend: Crypto platforms are shifting user acquisition from broad promotional spending toward activity-linked, expectation-driven loyalty incentives.