Nudge is launching a new decentralized finance (DeFi) protocol on Ethereum designed to unlock the economic value hidden in users’ wallets, it told Cointelegraph on Aug. 15.
The goal is to create a two-sided marketplace where Web3 protocols pay incentives to users — or “Nudges” — for directing onchain assets, liquidity and engagement.
Nudge will launch a new DeFi primitive called “Re:allocation Value” that represents the economic value of users’ onchain activity, according to the company.
“Users can extract a significant amount of this value by getting paid or ‘Incentivized’ by the protocol to reallocate these scarce items onchain,” Nudge said in a statement shared with Cointelegraph.
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Nudge’s programmable smart contracts allow participating protocols to create “sophisticated eligibility and payout criteria” for incentive programs, it said.
“One significant use case is asset nudges, where users can earn rewards by reallocating their holdings—stablecoins, memecoins, or governance tokens—among competing ecosystems,” the statement said.
Other use cases include “liquidity nudges,” where users increase their returns by reallocating their staked Ether (stETH) or liquidity to the highest bidder, and “activity nudges,” where protocols pay users to redirect engagement.
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