StepN blockchain game: Ponzi scheme or not?

For some time now, critics have been beating down on blockchain games Move to earn regarding their earning system. In fact, many users claim to use the Ponzi scheme to reward players. The most skeptical question about the origin of the funds and also about the means put in place to acquire them. Is StepN Game a Ponzi?

There are those who denounce the operational scheme of the StepN project

The Ponzi scheme consists of remunerating people on the net with funds brought in by newcomers, and so on. Therefore, users already on the system have to recruit new users in order to earn more money. This is done through a sponsorship system in which the sponsor receives part of the money from his godson who will then have to pay his sponsor. Therefore, the people at the top earn a lot more than those at the bottom of the pyramid.

It is a fraudulent and unauthorized concept in all its forms. But many critics argue that the game system Move to earn it is closely related to the Ponzi scheme, in one way or another.

StepN relies on tokens to ensure their stability

However, taking this process into account, the first StepN player should be the richest of all. There are, in fact, currently thousands of players on the application. However, that’s not the case.

The game Move to earn StepN relies on two tokens to ensure its stability. First there is the Token GST utility, which is generated endlessly over the network, with each player’s action (updating sneakers, buying new pairs, etc.). The more GST there are, the more its value decreases. Then there is the GMT governance token, which is limited in number and allows players to participate in certain application decisions.

Player compensation on StepN

The remuneration system on StepN depends on the investments of the players. There is a basic reward for Classic Sneakers. In addition, there is a limit of daily winnings, to avoid abuse of the application. Players have the ability to increase daily earnings and rewards by updating their basketball or purchasing new pairs on the app.

Don Crypto, an experienced player on StepN, has invested over $ 15,000 to maximize his winnings. He estimates that at some point he will be able to enjoy his returns on investment and start earning a lot of money with this application.

Conclusion

Games Move to earn are they Ponzi schemes? At first glance, this is not the case, even if some applications look similar. As for StepN, players are paid based on their investment, not based on the entry of new players into the network. But are there blockchain applications that actually use this system?

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Emilio Stantina

Interested in investing and financial markets after a business school in Chambéry, the passion for cryptocurrencies was evident. The blockchain is certainly the universal tool of tomorrow.

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