Definition ∞ Platform monetization refers to the strategies and methods employed by a digital platform to generate revenue from its user base or services. This can involve subscription fees, advertising, transaction fees, or premium feature access. Effective monetization models are crucial for the sustainability and growth of any digital ecosystem. It converts user engagement into economic value for the platform provider.
Context ∞ Platform monetization is a frequent topic in discussions about Web3 and decentralized applications, where new economic models are emerging. News often covers how tokenomics and non-fungible tokens are being used to create novel revenue streams for blockchain-based platforms. A critical future development involves balancing user value and ownership with sustainable economic models for decentralized autonomous organizations.
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