Aha White Paper
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Software-as-a-Token (SaaT), NFT Recurring Revenue (NRR)
NFTs have unleashed a fundamental revolution in the way that software can be monetized through what we’re calling the Software-as-a-Token (SaaT) revenue model, to differentiate it from traditional Software-as-a-Service (SaaS). SaaT is greatly superior to SaaS in its ability to:
  1. 1.
    Retain users
  2. 2.
    Convert users

Software-as-a-Token (SaaT) vs Traditional SaaS

In the traditional SaaS model, once a student decides to cancel the subscription, that revenue stream will end and more money must be spent to acquire new users. Software-as-a-Token with NFTs allow Aha to build a “subscription chain”, where users are incentivized to “pass it forward”.
⛓️ Our current customers will find our next customers for us.
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Royalty NFTs as access avatars is a key component to increase retention rate beyond a traditional SaaS subscription MRR or ARR models. Students who own the NFTs will be financially incentivized to find the next customers from their own personal networks. Aha will still earn revenue from future customers through royalty NFT smart contracts that will pay a portion of future NFT sales to the original creator (Figure 8c). This new revenue model is called NFT Recurring Revenue (NRR) to differentiate it from MRR or ARR.
Figure 8c. web3 Software-as-a-Token vs web2 SaaS
SaaT is similar to putting quarters to shopping carts in order to financially incentivize customers to return the carts for the next customer. The retailer can thus save money hiring staff to return the carts for the next customer (Figure 9).
Figure 9 - Quarters in Shopping Carts

Psychology of Expense (SaaS) vs Investment (SaaT)

The psychology of purchasing an NFT is also slightly different from paying for a monthly subscription.
💡 Paying for a subscription is a pure expense, but buying an NFT is an investment.
When users pay for a subscription, users will never see that money again. When users buy an NFT, users might get back more money than they put in. So there are significant differences in conversion rates into paying customers between the SaaT vs SaaS models.