What is POAP?
The Proof of Attendance Protocol (POAP) NFT closely resembles a badge. In reality, POAP is a distinct digital memento, an NFT styled as a souvenir.
Understanding POAP
POAP non-fungible tokens allow organizers to verify the attendance of participants at a variety of events, be they physical or virtual. Additionally, POAP owners sometimes gain access to exclusive group chats, discounts on future events, and more.
If you are a person who enjoys both online and offline activities, your POAP collection could soon become the envy of those who are used to decorating their fridges with souvenir magnets. After all, physical trinkets are a relic of the past. On the other hand, POAP represents a high-tech ecosystem for storing memories of significant events that you have been a part of.
POAP NFT was first minted in 2021 for ETHDenver, the most significant #BUIDLathon in the Web3 industry. POAPs are minted as NFTs on Ethereum, leveraging smart contracts. Interestingly, not every NFT minted in honor of a specific event is considered a POAP.
POAP NFT for The Graph Community Source: thegraph.com
How does POAP work?
To be classified as a POAP, an NFT must be issued using the official smart contract of the Proof of Attendance Protocol. This requirement ensures the security and transparency of the process.
Additionally, a POAP NFT must meet two more requirements:
- Contain metadata related to a specific date or period lasting up to one year. This metadata can also include information such as the event name and its location.
- Contain an image that accurately reflects the nature of the event that took place.
After creating the POAP NFT, the organizer has the task of distributing this "digital badge" among the participants. This is usually accomplished using QR codes. Sometimes, links for downloading the POAP are sent out via email after registration and/or event participation payment. To help users save on Ethereum gas costs, POAP NFT now also operates on Gnosis Chain, a more cost-effective and faster Ethereum sidechain.
What Is the value of POAP and can they be sold?
How much are memories worth? First and foremost, the value of a POAP NFT is inherently recognized by its owner. The token symbolizes their personal experience, unlikely to spark admiration or commercial interest among bystanders. Moreover, organizers usually distribute POAP NFTs for free, so such tokens initially have no material value.
However, as with any rule, there are exceptions. Some rare POAPs or NFTs associated with significant events can command a relatively high price.
The most expensive POAP NFT sold in April 2023 was the XCOPY GALLERY-LAUNCH PARTY. The token was sold on OpenSea for $998.1. Source: NFT. Stats.
As the popularity of POAP continues to grow, we might see these NFTs become high-priced collectibles, akin to tickets from famous shows of yesteryears.
