does the behavior survive when rewards end?
here's the only question that matters when you put gamification mechanics into a money app: does the behavior survive when the reward is removed?
run that test on most reward-led fintech and almost everything fails. the points, the cashback chase, the referral bonus, the spin-to-win. the behavior dies the same day, because people weren't saving or spending smarter. they were collecting a payout
web3 is a live experiment in what happens when you reward everything. quests, points, leaderboards, token drops. and it's the same movie every time: if the underlying behavior has no substance, the conversion never becomes valuable long-term
there were numerous eras of this in the industry:
- DeFi summer, crazy yields and liquidity rewards
- chain airdrops and liquidity hijacks
- SocialFi and yapping
- points and quest farming
it's fascinating how this market evolved, because there were also great examples of rewards done right. every time it worked long-term, there was sustainable growth behind it and a real business underneath
one of the best examples from DeFi summer is
@aave. the yields and rewards were connected to a sound business model, a real revenue model, and smart economics. they did not just create temporary activity. they taught behavior and helped create an industry
Pulsar started with a B2B vertical and one of the service lines was loyalty infrastructure for banks, festivals, neobanks and web3 projects. the team ran infrastructure behind many companies and different economic models. that is where you learn the real lesson: whenever you put rewards or loyalty infrastructure behind a product, it has to sit behind a business model and a revenue stream. otherwise, it is very hard for it to be successful long-term
so the version we want to build further has to sit on real product value. the problem is that trying anything new takes effort, and people resist change even when it's good for them
that's all the gamified layer is for: getting someone over that first bump, long enough to feel the value for themselves. the game gets them in the door; the value keeps them there. in doing so, you end up with people who are better with money than the day they signed up
that's what drives real product growth
i'm really curious to learn more about this, and I’d be glad to put down a full article on the lessons from what we built, what we saw, some of the crazy stories behind it, and what we are working on now as a new generation of loyalty infrastructure
but my ask is simpler: what do you think is the most important part of rewards and loyalty in fintech?
what are you most excited to see?
and what would you actually want inside your money app at the intersection of rewards, behavior, and fintech?