Why On-Chain Reputation?

Reputation System provides a better solution for user engagement & making them hooked :

• Separates Financial Value from Signaling Value
  Reputation separates signaling value from financial rewards given by projects.

• Better Composability for Long-term Benefits
  Reputation score is highly composable between protocols making them usable across chains & different types of projects.

• Hard to Earn Value, More Friction to Leave the Platform
  Reputation provides provenance of work as compared to financial rewards and the scores can’t be bought from the market making them hard to earn.

From DappRadar’s Report

One excellent strategy to improve user retention is to incentivise users by rewarding them. It could be done in the form of coins, extra lives, discounts on in-app-purchase accessories, etc. Through this kind of engagement, users feel valued and might stick around for longer. A dapp game such as Splinterlands provides daily rewards to its users.

Read the full article here.

From a16z crypto article

Reputation systems present an opportunity for platforms to recognize—and thus incentivize—participants’ high-quality contributions, including content creation, moderation, community building, and gameplay. This is crucial to the growth and sustainability of any web3 project.

Read the full article here.