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The question this lesson answers 

Why would someone want this beyond liking the picture — and does it actually help the cause? 

Every serious definition of creativity contains two words, not one: new and useful. This lesson is about the second word — and about a skill that transfers well beyond NFTs, into any project where you have to work out what an idea is actually worth to someone.

By the end of this lesson you will be able to

  • Explain what utility means and why it changes a project's economics.
  • Describe six categories of utility and choose between them.
  • Separate an idea's impact from its feasibility and score both honestly.
  • Recognise the promise trap that has damaged trust across this whole field.

Why utility exists as a concept

The first wave of NFT collections offered ownership and nothing else. That works while a market is rising and stops working immediately when it is not, because a token whose only property is that you own it has no floor beneath speculation.

Utility is the response: the thing also does something. It opens a door, carries a vote, unlocks a service, proves you were there.

For social work this is not merely a market consideration — it is the more interesting half of the technology. A token that funds a cause once is a donation with a picture attached. A token that gives a community ongoing access, voice or resources is a small institution that keeps working after the launch excitement is over.

Six categories of utility

Access Holding it opens something: a workshop series, a private forum, a mentoring channel, a space, an event. Simplest to implement and easiest to deliver honestly.
Governance Holding it gives a vote — which project a fund supports, which artists are commissioned next. Powerful and frequently overstated: real governance means accepting outcomes you did not want.
Revenue share Entitles the holder to a portion of future income. Legally complex in most countries — this one needs advice before implementation, not after.
Identity and belonging A visible badge of membership in a community with shared values. Underrated, because it is not technical.
Proof of participation A non-transferable record that you did something — completed training, attended, volunteered. Portable, verifiable, cannot be bought.
Redemption Exchangeable for a real object or service — a print, a handmade item, a place on a programme. Easy to explain to people who find the digital layer abstract.

Most strong projects combine two or three. A project claiming all six has usually thought about none of them carefully.

The question that separates good utility from decoration

How does this utility strengthen the social mission? 

A discount code strengthens nothing. A workshop place turns a buyer into a participant. Voting rights turn supporters into stakeholders. A volunteering route turns attention into labour for the cause. Recognition turns a private purchase into public alignment, which is how movements grow.

Test each candidate: if a hundred people held this and used it, would the cause be measurably further forward? If not, it is a sales feature, not utility.

Impact and feasibility are two different questions

This is the transferable skill in this lesson, and it applies to every idea you will ever evaluate.

People usually judge an idea on a single vague axis — is it good? Splitting that into two questions is far more useful:

  • Impact. How much difference would this make if it worked?
  • Feasibility. Can it actually be done, reliably, by the people who would have to do it?

The two failure modes are opposite and both are common. High impact with low feasibility is the promise that never arrives and damages trust. High feasibility with low impact is the discount code — deliverable, harmless, and doing nothing.

People consistently overestimate feasibility for ideas they want to work. Being deliberately harsh on that axis is a discipline worth building now.

The promise trap

A large share of the reputational damage this field has taken comes from one pattern: projects promised things they could not deliver. Roadmaps full of games never built, spaces never opened, items never shipped. Buyers paid for the promise, the promise dissolved, and the whole category absorbed the distrust.

For a social project the risk is sharper, because the people disappointed are often the people you set out to serve.

Four defences: promise less than you can do (one utility delivered reliably for three years beats five that fade in six months); cost it out per person, per year (a thousand holders and "quarterly workshops" means four thousand workshop places annually — do the arithmetic before publishing the sentence); time-bound it explicitly ("access for 24 months" is honest; "lifetime access" from an organisation with two-year funding is not); and publish the wind-down — what happens if the project ends. Almost nobody does this, which is exactly why it signals seriousness.

Three forms that suit social causes particularly well

Reverse utility. Instead of receiving, the holder gains the right to give — a mentoring hour, a translation, a skill. For many supporters, meaningful participation is more attractive than a benefit, and it costs the project nothing.

Delegated utility. The buyer purchases and the benefit goes to someone else — a training place, a device, a service for a named person. The holder receives the permanent record of having made it happen.

Non-transferable recognition. Tokens that cannot be sold, issued to volunteers, participants and contributors. No market, no speculation, real portable proof of what someone did. For youth work and training this is arguably the most useful application of the whole technology.

Try this — Utility in three passes (30 minutes, on your own) 

Pass 1 — Diverge (10 min). For a hypothetical collection about your issue, list fifteen things a holder could receive, access, decide, unlock or contribute. Include the impossible ones. 

Pass 2 — Filter (10 min). Score each 1–5 on three axes: value to the holder, strength for the cause, and could this realistically be delivered every time for three years. Multiply. Be harsh on the third. 

Pass 3 — Commit (10 min). Take the top two. For each, write what exactly the holder gets, how often, who would have to be responsible, and what it would cost per holder per year at 200 holders. Then do that arithmetic. If the number surprises you, the exercise has worked. 

Looking ahead — in an Innovation Lab 

Young co-creators generate wonderful, generous utility ideas. The mission holder is usually the one who knows whether the organisation can still honour them after the project funding ends. Both perspectives are necessary, and the friction between them is productive rather than a conflict. 

The most useful sentence in that conversation is not "that won't work" but "I love it — who delivers it in month eighteen, and with what?" That is a design question rather than a rejection, and teams respond well to it. 

Your activity for this lesson

Run the three passes on your issue and submit your fifteen ideas, the scored filter, your top two fully specified, and the arithmetic at 200 holders. Also name one idea you would deliberately not promise, and say why.

Reflection

  1. Which utility idea was yours alone — and would you personally want it?
  2. Which axis did you find hardest to score honestly?
  3. Where else in your life could the impact/feasibility split be useful?

Key takeaways

  • Utility is what a thing does; it turns a one-off donation into an ongoing structure.
  • The test is not "would this help us sell" but "would this move the cause forward".
  • Impact and feasibility are separate questions, and people inflate feasibility for ideas they like.
  • Two things delivered reliably beat six announced.
  • Reverse, delegated and non-transferable recognition fit social causes better than commercial models.
Credits …
NFT ❯
ⓘ Lab Description