Op-ed: Why community grants are the most undervalued marketing strategy Op-ed: Why community grants are the most undervalued marketing strategy
Crypto grants revealed as the hidden gem in Web3 marketing, building loyalty and spreading awareness.
3 min read
Updated: Jan. 29, 2024 at 4:08 pm UTC
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.
Have you ever wondered how some of the world’s largest corporations and governments have consistently captured our attention and loyalty? Well, here’s a hint: it’s not just about their products or policies; it’s about an open secret that has been in play for decades.
This article will unravel a hidden gem in Web3 marketing: community grants. In particular, we’ll explore why community grants remain the most undervalued marketing strategy.
The Power of Community in Crypto
If thereโs one thing every marketer in the blockchain industry worth their salt knows, itโs that in this space, community is everything. It’s the driving force behind the success of many projects, amplifying their brand messages far beyond the ambit of Web3-native audiences.
But it’s more than just textbook engagement; it’s about how communities help us spread the word. They don’t just engage; they evangelize. When communities rally behind a cause, they become its champions, storytellers, and most vocal advocates. In doing so, people demonstrate an incredible power to cement narratives. It’s the kind of organic endorsement that money can’t buy.
Crypto Grants: Fueling Ecosystem Expansion
You might wonder, “What’s the link between communities and crypto grants?” You see, grants are Web3 ecosystem playersโ way of recognizing and nurturing the power of community. These programs are not handouts but strategic investments in the ecosystem’s growth. You can think of them as the rocket fuel that propels projects to new heights.
Initiatives like DFINITY, the Ethereum Foundation, the Solana Foundation, the Aave Grant program, and the Cosmos Grant program, amongst others, support the rapid expansion of blockchain ecosystems. Over the years, they have played a crucial role in catalyzing innovation, nurturing talent, and expanding the horizons of what’s possible with blockchain technology.
Building Brand Loyalty and Spreading Awareness
Community grants go beyond mere financial support. Projects investing in their communities commit to the people who will eventually carry their message into the world. When implemented properly, community grants can have far-reaching effects.
Firstly, they build brand loyalty not just among developers but also among product builders and service providers who, in turn, deliver products and services that capture the essence of the community’s values. This loyalty ripples out to end-users, creating a bond that goes beyond the blockchain.
But it doesn’t stop there. Grant programs can trigger waves of awareness and engagement throughout the community. Take hackathons organised by blockchain foundations, for example. They don’t just attract developers and showcase promising talent; they create organic traction for entire teams and projects. This increases publicity at multiple levels โย among builders, end-users, and the broader audience.
Challenges and Pitfalls
Of course, there are hurdles and pitfalls in community grants.ย Many such programs lack robustness, often focusing too heavily on developers while overlooking other vital aspects of the ecosystem’s health.
To unlock the full potential of community grants as an organic marketing engine, we need more even distribution, nurturing all facets of brand growth. The flywheel would be so much more powerful if education, community events, and content creation didnโt get the short end of the stick.
Moreover, it’s crucial to consider offering grants to established ecosystem players in the Web3 marketing space. Much like software development, marketing in the blockchain space is a very niche playing field where professionals with a proven track record of delivering quality results are an invaluable asset. Their inclusion in crypto grants programs can be the missing piece that completes the marketing strategy puzzle for Web3 brands.
Conclusion
Crypto grants are powerful marketing tools hiding in plain sight from time. They harness the boundless energy of communities, amplify brand messaging, and create a ripple effect of awareness and organic engagement.
So, to all the builders in Web3 out there, consider this: your most effective marketing strategy might just be one that involves investing in your community. The principle goes beyond merely growing your projectโs numbers โ itโs about cultivating a movement. And that’s a legacy that transcends marketing campaigns.
Mentioned in this article
Guest Contributor 
Tim Haldorsson
Tim first stepped into the crypto world in 2017 and has never looked back since. Now CEO of crypto marketing agency Lunar Strategy, heโs contributed to a number of respected crypto publications and is always into talking all things crypto.
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