How Cryptocurrency Startups Can Deal With Their New-Found Popularity
Looks like crypto is the new cool kid on the block! Global investors are clearly eyeing the space, with CoinDCX and other companies finding increased financial backing. The WazirX token saw a surge of over 50% soon after the ban on cryptocurrency trading was lifted, while MATIC was up by around 25%. There’s been more interest in bitcoin and WazirX itself, with Indian Google searches for both on the rise since late February. And it’s hard to dispute Google.
With all this new-found popularity, Indian crypto startups shouldn’t rest easy. In what several crypto experts call the “boom-bust nature” of the industry, increased sign up opportunities pass by as quickly and explosively as they come. While Pete Rizzo of CoinDesk mentions that crypto-startups often make the mistake of overthinking execution at this point, there’s also the otherwise common danger of under or over-hyping, as can be the case with ICOs.
To ensure customer interest is maintained even after the initial enthusiasm, there’s a number of things startups can do that glaringly sound close to what we learned in high school.
#1 - Making it seem like you’re everywhere by actually just being in the right place(s).
It always looks like the cool kid brings with him the party - but he doesn’t, really. He just brings it up in a space that was already primed for it. Startups need to consider their audience segments, and go where they dwell. Experienced users of the crypto community are, of course, well-connected and present over a variety of platforms, including LinkedIn, Reddit, Telegram and Twitter. All crypto startups need to do then is to join a platform according to the region they wish to target, and continuously tend to the communities’ appetite for research, insight and breaking news. Founders of popular crypto companies might consider going beyond sharing their authority on the subject, and also respond to questions and look for inspiration from the audience themselves. This can also help users associate a trusted face with the company, especially in its initial stages.
Everyday audiences who don’t understand crypto yet can be engaged with on platforms like Instagram and TikTok with educational content. In the climate of increased general interest, this is particularly important, with examples that explain crypto’s relevancy in everyday terms. Peter Sherif, an influential crypto trader who goes by the moniker ‘The Wolf of Bitcoin’ on Instagram, notes how young users in the age of 16-25 respond with interest to crypto content on TikTok. He puts out crisp and light-hearted videos that either offer direct information about crypto basics, or talk about relatable things crypto users go through with a funny twist at the end.
#2 - Not being hip and happening, but knowing what’s hip and happening.
There are cool kids who try too hard to stay that way. While exploring different platforms and formats, it’s also essential to remember not to get caught up in the kind of trends that might work for say, a food delivery app. Staying on top of data from one’s social media strategy and looking at the kind of user-generated content that’s being made by the crypto community while also encouraging more such content is one way to be in tune with customers.
#3 - Make your voice different, but consistent.
The thing about popularity was also how people dared to be themselves, or carried a seeming image of confidence that set them apart. Some call it being out of the box, but creating a brand voice that’s identifiable not for its quirkiness, but for its tone and ideologies is key. A famous instance of this? Apple. Its short, smug statements stay in your mind as a brand that’s essentially just human.
How startups use their voice is a matter that’s not just on social media, of course, and a matter to consider for all ends of communication, including price notifications, content that shows up in between loading other pages etc. Colin Aulds of the cryptowallet Billfoldl also warns against using too much self-promotional content, and at a certain point, to let communities speak for their brands.
#4 - Acknowledge and check up on everyone.
While some cool kids are known for not acknowledging anyone’s existence, the popular ones did in fact nod and make everyone feel like they’re valued. In the case of something that’s harder to understand like cryptocurrency, customers require reminders and a bit of hand-holding to keep them going on the crypto journey. Personalised, supportive communication for customers who become inactive as well as encouraging content about their growth or activity on the platform can go a long way in helping them make sense of how they’re doing, along with tips on what else they can do.
We saw the dangers of ignoring such customers in the case of mutual funds. The data showed that after the Mutual Funds Sahi Hai campaign, 260,000 SIPs got cancelled and redeemed within the same financial year, while 7,000 redeemed their lump sum investments. Since investors were looking at short-term returns instead of long-term performance and weren’t hand-held or told otherwise, they ended up feeling like what might be termed as being left in the dark.
With all the hype that’s being generated around crypto globally and in India, it’s a great time to make just the right use of the attention. Being in the hot spots of user activity, having a consistent voice, understanding what’s hip and letting each customer know the brand’s there for them (without being too obvious about it) are exactly the ways to do just that.