239 sats \ 5 replies \ @TheBTCManual 20 Aug 2023 \ on: Subscription plans vs transaction fees bitcoin
Why not both? Freemium users can pay a certain fee per transaction while subs can skip the fee and also get access to other features the wallet provides, the fee structure can also act as a method of churning users into subscribers as they become a heavy user of the wallet.
Nailed it. A lot of the ride sharing and food delivery apps in the US use this model. It's a goldilocks payment model imo.
They'll often offer promotions to switch to the subscription model because it's better for them in the long run, but it's optional.
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What do you think is a reasonable transaction fee or subscription plan? 0.1% transaction fee or 100k sats per year subscription? What would users pay for a 'perfect' experience? 🤔
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That's a tough one,
If a 0.1% transaction fee is your base then the average user would need to turn over 1 BTC worth of transactions per year to justify the subscription fee, not much of an incentive but if you have a user base that is constantly making transactions then it makes sense or if there's added value/features accesses in the subscription make it more enticing
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I think this is how DoorDash and InstaCart premium subscriptions work. Paying the subscription reduces or eliminates the per transaction fee.
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They've started to roll it out here in South Africa too, UberOne is advertising everywhere, what also makes this model successful is the physical constraints of the service, the subscription can pay for itself if you use Uber for example during peak hours and avoid those surge charges
I think a model like this could work for additional services like CoinJoins, atomic swaps, or submarine swaps that wallets provide, so you put them in a priority queue with subs first and highest bidding non-subs after
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