DApp Store Spot Survey

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1

Hello everyone :heart: Please humour me by answering these quick questions below with top of your head estimates:

  1. How much SNT would you spend to rank a DApp you built highly? (Use your imagination if you’re “not technical”, the more numbers and bigger spread of answers, the better)
  2. How much SNT would a “rich” company spend to rank their DApp? In other words, how much SNT spent on ranking would make you go: “Woah, that’s a lot!”

Answer Now, Read This After

If you have good resources for how much companies currently spend on SEO, please let me have them.

Reason for asking the above: the curve is designed so there is only 1 variable to consider, the ceiling. This ceiling is some % of the total SNT in circulation, and defines the Maximum SNT any one dapp can stake. So, if we have a 1% ceiling, and 3.4B SNT in circulation, then the max any dapp can stake is 34 million SNT.

The shape of the curve means it starts out costing just over 1% of what was staked to move a DApp down the rankings by 1% of its balance. This is great, it protects the little guys. However, it eventually gets to costing 0.5% to effect the ranking by 1% when half the ceiling has been staked (i.e. 17 million if we chose ceiling=0.01), and goes to pretty much 0 cost once you get to within 99% of the ceiling. This means there is a strong disincentive to stake more than around half the ceiling.

I personally think that a 0.4% ceiling seems good, but there are many ways of slicing this game theoretic cat. We could, for instance, only consider only 1/10th of the total in circulation as our bound and choose 0.8%, which gives us a maximum of 2.7M and strong disincentives to not stake more than 1.35M, which seems a little more realistic. We may need to go even smaller, though guessing for “longevity’s” sake with volatile SNT prices is not a very fun game.

2

Does the amount I spend depend on where my dapp appears in the list? If so, then 1 more SNT than the previous competitor. If not, then ([advertised active monthly Status users / 5000] * 1000) SNT.

3

Yeah, ofc it does, but I’m just asking for gut-feel estimates here, rather than how people will behave when they can see other rankings. What about question 2, how much SNT staked by someone would make you go “Woah! That’s a lot!”?

4

Anything over a $1000 in fiat value. If no fiat value will be displayed alongside that number, anything with 5 figures and above would make my eyes widen. I know $900 and less might seem like a lot too, but up until that 1k point I would see it as domain gambling - I’ve bought and sold domains in that range - while anything over 1k is kind of beyond a mental milestone that makes you stop and think I believe.

1 Like
5

Top of head:

  1. An app I built, probably like up to 35,000 SNT ($1k)?
  2. A big company with a lot of money, somewhere up to 3.5m SNT ($100k)?
6

I would spend up to 30% of the number of users the DApp store brings in X average lifetime value of a user for my DApp.

If you search around it’s a good practice for lifetime value (LTV) to be 3x customer acquisition cost (CAC). I’m just assuming most DApp developers will long term act rationally and converge on this ratio regardless of size.

So if the DApp store is expected to bring in 1,000 users with an LTV of 10, I would spend 1000 X 10 X 0.30 = 3,000 equivalent in SNT

If the DApp store is expected to bring in 1,000,000 users with the same LTV, I would spend 1,000,000 X 10 X 0.30 = 3,000,000 equivalent

7

alternatively, the same as my competitor and use the 1 snt to downvote them. which would be more efficient?

8

That depends how much they stake. If it is below ~21 000 SNT, then it is cheaper to stake 1 SNT more; if more than, then downvoting is more effective.