Business Model
The Cymorph business model consists of two key strategies, designed for specific use cases. These categories are referred to as 'Blockchain Focused' and 'Web 2.0 Focused.' The primary goal of these strategies is to ensure a steady income stream for the business, unaffected by market conditions, whether bullish or bearish. In this chapter, we will delve into the monetization strategies proposed for each of the use cases outlined in this whitepaper.
Blockchain & Gaming Business Model
For blockchain projects and games seeking integration with Cymorph through the SDK package and API, the integration process is free. However, there is a nominal monthly subscription fee. When a game or other Web 3.0 project successfully integrates Cymorph as its primary avatar generation mechanism, users have two avatar creation options. They can either mint avatars for free with a royalty percentage attached, or they can choose to pay a set fee for each minted avatar without any royalties.
This approach significantly reduces the entry costs for both integrating projects and their users. In addition to providing an avatar generation mechanism, we offer an NFT asset trading system, similar to platforms like OpenSea and Magic Eden. We charge a modest platform fee of 1-3% each time an asset from an integrating project is purchased.
To sum it up, the Blockchain & Gaming business model generates revenue through monthly subscription fees imposed on integrating projects, avatar minting charges, and platform fees levied on users. The specific subscription fees, royalties, and platform charges are yet to be finalized and the numbers presented here are for reference only.
Example Scenario:
Let's consider Game A, which wants to use Cymorph as its avatar generation infrastructure. They contact our team for onboarding, which is entirely free. Users create their initial avatars and mint them for free. When users decide to sell an avatar, they incur a set royalty fee (3-10%) along with a modest platform fee (1-3%). If a user opts to mint an avatar without royalties, they pay a predetermined fee and are charged a platform fee only when they make a sale.
Shopping & E-commerce Business Model
In the case of e-commerce stores seeking integration with Cymorph, there will be a fixed monthly subscription fee, while the onboarding process will be provided at no cost. This onboarding includes technical assistance for adding their clothing lineup to the Cymorph asset repository.
For e-commerce stores with a physical presence, they have the option to acquire Cymorph's smart mirrors. As long as the monthly subscription fee is paid, we will offer technical support for these smart mirrors.
Should any of the clothing items from e-commerce stores be purchased as NFTs, a platform fee will be applied to these transactions.
Another monetization strategy for this use case focuses on in-app purchases of real-life items. As discussed in the utilities section of this whitepaper, users will have the ability to buy real-life clothing items within Cymorph or any game integrated with Cymorph. In such cases, a referral fee will be charged.
In summary, the monetization approach for this use case consists of monthly subscription fees, platform fees for NFT purchases, and referral fees for real-life item purchases.
Example Scenario:
If an e-commerce store wishes to integrate Cymorph into their online shop, we assist them with the onboarding process at no cost and implement a monthly fee for software usage. Additionally, we offer support in digitizing their clothing lineup. Customers of the store can conveniently preview clothing items using their realistic 3D avatars to aid in their purchasing decisions. Moreover, users have the option to acquire the same item as an NFT for use in the metaverse.
Entertainment & Adult Industry Business Model
For this specific use case, our business model centers around monthly subscription fees structured in different tiers. We have tailored pricing tiers for two key sectors: the entertainment and adult industries, each offering distinct features.
Artists using Cymorph for 3D avatar generation in creative projects like artwork and music videos will choose from various monthly subscription tiers. One of these tiers will include a unique 3D model export feature, enabling users to create 3D printed merchandise.
In the adult industry, pricing tiers are determined by the functionalities the software offers. To enhance the user experience, we will develop a dedicated app with an optimized user interface (UI). Users will be charged based on the number of 3D models they wish to access. If a user seeks an interactive model of a specific OnlyFans actress, the cost will include the model's fee. To foster a creator economy, we will share revenue with model owners.
In a nutshell, our business model for this use case revolves around monthly subscription payments akin to Software as a Service (SaaS). Additionally, users can make add-on monthly payments based on their specific model preferences.
Example Scenario:
Consider a user who registers for the customized Cymorph adult app and opts for the pro version, which includes various AI-generated models. The user can then acquire any desired 3D models for an additional fee. Monthly charges align with the chosen package.
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