After topping the charts in the App Store and making rounds through international news publications, Sweatcoin, the app that pays people for exercising, announced that it has successfully raised over $5.7 million in funding.
The announcement came after the app started gaining significant traction and finally went viral, topping the App Store chat and remaining in the iTunes’ top 5 apps of all types afterward.
At press time, the app is listed at number 4 of the top 5 apps available from iTunes.
The company was founded by four partners, Oleg Fomenko, Anton Derlyatka, Danil Perushev and Egor Khmelev.
How does Sweatcoin work
The app pays its users in digital coins, dubbed as Sweatcoins, in return for daily steps that the users have taken.
The Sweatcoins can then be redeemed over the app’s website for various products and services such as sneakers, healthy snacks, and books.
However, various users just value the psychological reward that comes with receiving the Sweatcoin after they have put in physical effort to maintain a healthy lifestyle.
The app has been a success since it started gaining popularity by getting featured in numerous publications such as Forbes and Telegraph. It was also featured on news channels ranging from CNBC to Fox News.
Gaining momentum from these mentions that began from 2016, Sweatcoin has been trending as the top health and fitness app in the App Store since September 2017.
The app currently holds more than 2.2 million active users that utilized the app in this week itself.
So it uses a coin system, does it operate on a blockchain?
It does not operate on a blockchain, and the Sweatcoin does not act as a cryptocurrency due to this reason. However, one of the co-founders for the app, Oleg Fomenko, expressed the company’s plans to develop these features for Sweatcoin so that it could have the potential to grow as a blockchain platform with its cryptocurrency.
For now, the company is focusing on meeting the rapidly increasing demand for the app and the work that it causes for Sweatcoin’s current 8-person team. The company aims to expand their operations so that Sweatcoin can continue on its path to be an app that is as successful as other innovative ventures such as Snapchat – which continued being a global phenomenon and is still known for its “filters” and “stories”, features that most of the other chat apps rolled out later after seeing their adaptability by the public.
It will not be a surprise if you start seeing “clones” of Sweatcoin which might be trying to capitalize on the original team’s hard work and immense efforts.
The clones may have improvements, or they may be exactly like Sweatcoin, for now, Sweatcoin seems to be a unique player in the field, and it would be interesting to see how it affects fitness routines in the lives of its users.