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My guess with traditional loyalty points is that many consumers just leave their points unused for one reason or another. This enables a business to be "more generous" with the purchasing power of the points than they otherwise would.
Using Taproot Assets, does that dynamic change through abandoned sats that the company paid for but no longer have the private keys for being "burned"?
Thanks for your YT videos Ian! 🤝
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Yep "breakage" is the % of reward value that goes unclaimed. Once a user claims their rewards to their own self-custody the business will of course no longer be able to do anything about it, but up until that point any unclaimed value could always be rolled over or returned back to their reward budget. One of the businesses we're talking to about this even wants to take a portion of the breakage and use it to establish a corporate treasury position in bitcoin!
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