Cryptocurrency Payments: A Catalyst for User Growth - Moonshot Case Study

Author: Oak Grove Ventures Research Team

Introduction

This article explores the key role of crypto payment solutions in driving the growth and broader adoption of the cryptocurrency ecosystem, fundamentally revolutionizing user experience and lowering the barriers to using blockchain technology.

This report analyzes the growth strategies and mechanisms behind Moonshot. Moonshot is a cryptocurrency platform that has achieved rapid user growth in its niche and gained strong traction in the market. By studying how each platform has succeeded—from leveraging KOL influence, focusing on product innovation, to designing incentive-based ecosystems—we gain insights into how to establish sustainable growth models in the Web3 and meme coin sectors, ultimately paving the way for continuous innovation and user-centric economic models.

The Relationship Between Crypto Payments and User Acquisition

Crypto payments are particularly effective in driving user adoption as they simplify the traditionally complex processes associated with interacting with blockchain, such as wallet setup, private key management, and cumbersome transaction procedures. Moreover, these payment solutions provide a seamless experience for users transitioning from traditional financial systems to cryptocurrencies through convenient fiat deposit features, significantly lowering the entry barriers and making it easier for new users—especially those unfamiliar with crypto technology—to actively participate in blockchain platforms.

Kaito is an excellent case study of utilizing payment features to acquire users. The platform serves hedge funds, traders, researchers, and developers globally, showcasing how seamless crypto payments can facilitate growth. To find a scalable recurring payment solution, Kaito adopted Loop to eliminate manual billing, saving time and reducing operational costs. By integrating Loop into Stripe, Kaito now supports fiat and cryptocurrency subscriptions—covering platforms like Ethereum, Polygon, BNB Smart Chain, Optimism, Arbitrum, and Base—allowing users to easily choose their preferred payment method while also helping Kaito expand its global reach.

Crypto payment settlement solution protocols like AEON further enhance the accessibility and practicality of crypto payments. AEON allows payers to settle transactions using crypto assets from any blockchain or trading account to the recipient's preferred target chain or fiat currency, simplifying the user experience and broadening the application of digital assets. Since its launch last year, AEON has integrated with nearly 100 partners, including 4meme, Bitget Wallet, and TON, currently supporting payments to over 1 million offline merchants in Southeast Asia. Its extensive integration indicates that effective crypto payment solutions can significantly increase user adoption by enabling seamless transactions and adapting to various ecosystems.

Additionally, the protocol's current integration with AI agents opens up new possibilities for automating financial interactions. This includes empowering autonomous agents to complete real-world payment tasks, such as booking hotels, purchasing groceries, ordering coffee, and delivery services. These advancements align with the trend of AI-driven financial agents, with platforms like Coinbase's AgentKit integrating with OpenAI's Agents SDK to equip AI agents with on-chain wallets, enabling them to conduct secure, internet-native financial transactions. This integration allows AI agents to autonomously manage service payments, access advanced data sources, and interact with decentralized finance (DeFi) protocols, enhancing operational efficiency and user experience. Similarly, in the decentralized physical infrastructure network (DePIN) space, projects like Helium Mobile have partnered with Sphere to offer new users the option to pay for mobile plans using various cryptocurrencies. By linking supported wallets like Phantom, Coinbase, and Solflare, users can prepay for a year of service, increasing the flexibility and practicality of using cryptocurrencies for essential service payments. The fusion of AI-driven payment agents with simplified crypto payment protocols like AEON demonstrates the increasingly synergistic effects between emerging technologies, creating a more efficient and user-friendly crypto payment system for global users.

Growth Case: Moonshot

Moonshot is an application built on the Solana blockchain, designed to simplify the trading process of meme coins and lower the entry barriers for ordinary users into the cryptocurrency market. Moonshot's core competitive advantage lies in its deep understanding and precise grasp of the meme coin market, as well as the convenient fiat deposit channels it offers, such as Apple Pay, credit cards, and PayPal. These payment methods enable users to easily convert fiat currency into cryptocurrencies.

1. Early Influence of KOLs

Renowned KOL Murad (MustStopMurad) was a significant driver of organic traffic for Moonshot in its early stages:

• Murad's Endorsement: In July, Murad expressed strong optimism for Moonshot on Twitter, leading to a surge in attention. His influence further amplified after he delivered a speech titled "Memecoin Supercycle" at the Token2049 summit in Singapore in September.

• Riding the Meme Coin Wave: The market cap of the token "SPX 6900" that Murad promoted surged from under $9 million to $900 million. Moonshot had already launched this token early, establishing a reputation for "early discovery of high-potential tokens."

By leveraging recommendations from top KOLs and launching potential tokens early, Moonshot established itself as the preferred platform for high-growth meme coins.

2. Achieving Growth by Leveraging Hot Meme Coin Projects

After the price surge of $MOODENG, Moonshot's growth broke through initial circles:

• Listing Effect: As the price of $MOODENG continued to rise, Moonshot actively promoted this success on its official social channels, highlighting record trading volumes and the continuously rising token price.
• Joint Interaction with the Meme Coin Community: The official Twitter account of $MOODENG also responded, frequently recommending Moonshot as the preferred platform for purchasing its tokens. This natural collaborative marketing further expanded Moonshot's visibility and credibility.

Due to multiple early listings of "hit" meme coins, Moonshot has positioned itself as an early discovery platform, attracting new projects to actively apply for listings and encouraging the community to trade on Moonshot.

3. Interaction Between Officials and KOLs

Moonshot's Twitter strategy focuses on amplifying community and KOL content:

1. Sharing KOL Posts: Frequently retweeting and commenting on KOL discussions about Moonshot.
2. Giveaway Activities: Attracting new users through giveaways and other activities.
3. Showcasing Profitability: Highlighting screenshots of users' high earnings, emphasizing success stories.
4. Hot Topics and Community Support: Engaging in discussions about trending market news and creating a friendly supportive environment for new users.

4. "Moonshot Had It First"

This is a simple yet clever strategy: Moonshot frequently retweets announcements from competitors or partners, adding the tagline "Moonshot Had It First." This subtle messaging showcases Moonshot's role as a pioneer, cleverly highlighting its record of early innovations and project launches, positioning Moonshot as an original leader in the field.

5. User Acquisition Strategies

5.1. Referral Rewards on the App

Moonshot offers referral rewards of up to $100, but with the following restrictions:

• Geographic Restrictions: Users from the US, Canada, Hong Kong, South Korea, and Japan.
• Deposit Requirements: A minimum fiat deposit of $20 is required to qualify for the reward.
• Reward Claim Process: Both the referrer and the referred must click the "Claim" button to receive free meme coins.

Although the referral program seems straightforward, it cleverly requires users to deposit $20 to ultimately receive the reward, ensuring that users are genuinely willing to participate and filtering out those with lower intent to register.

5.2. Social Media Referral Rewards

Moonshot encourages users to share referral links on Twitter, offering 50% of the referred user's trading fees as a reward, which has also sparked KOL assistance in spreading the word.

5.3. Rumors on Reddit

Some discussions on Reddit claim that users can receive $3 to $100 just by registering without a deposit. Although unverified, this buzz has still raised the platform's visibility and sparked curiosity. However, official channels confirmed the $20 deposit requirement.

Key Points: By combining high rewards with deposit thresholds, Moonshot ensures the quality of user growth and filters for genuine traders.

6. Partnership with MoonPay—Integration of Third-Party Payments

6.1. Eliminating Technical Barriers: Simplifying the Conversion Between Fiat and Cryptocurrency

The integration of Moonshot with MoonPay enables seamless fiat deposits via Apple Pay, credit cards, and PayPal, effectively connecting the Web2 and Web3 ecosystems. This eliminates user frustrations with complex blockchain processes (such as wallet setup, gas fee management, or private key storage).

According to an analysis by Gate.io Learn, "User Growth Structure: Among 204,000 new users, 83% completed their first deposit via Apple Pay/PayPal, with an average deposit amount of $420 per transaction." This data emphasizes the dominance of Web2-friendly payment methods in attracting non-crypto-native retail investors, especially those interested in meme coin speculation but deterred by the cumbersome processes of traditional blockchain.

The integration of MoonPay allows Moonshot to attract users who know nothing about blockchain, mirroring the simplicity of traditional payment apps like PayPal. This is crucial for attracting retail investors seeking low barriers to entry for meme coins.

6.2. Dominance of Fiat in Trading Volume

Fiat trading has become a pillar of Moonshot's trading activity, especially during the highly publicized meme coin launches:

• Example of $TRUMP:

• Within 12 hours of $TRUMP's launch, the number of new users on Moonshot skyrocketed, with $400 million in fiat deposits flowing into Moonshot via MoonPay, setting a platform record. This accounted for approximately 65% of Moonshot's historical trading volume during the event.
• During the peak of $TRUMP, weekly trading volume surged to $1.73 billion, with fiat trading accounting for over 80% of total inflows.

• Overall Trend:

• On average, 60-70% of daily trading volume on Moonshot comes from fiat purchases, particularly evident in popular meme coins like SPX6900 and GOAT.

6.3. Liquidity Assurance During Demand Surges

During periods of heightened demand, MoonPay played a crucial role in enhancing Moonshot's liquidity. When purchases of $TRUMP on the platform depleted the crypto reserves, MoonPay secured a $160 million emergency loan (with $100 million from Galaxy Digital and $60 million from Ripple) to prevent transaction failures during the explosive launch of $THUMP on Solana. MoonPay initially estimated demand at $50 million, but after a significant surge in trading volume, its request doubled to $100 million, ensuring uninterrupted transactions for 750,000 new users. After traditional banking resumed, MoonPay repaid the loan, solidifying Moonshot's reputation as a reliable, retail-friendly platform capable of seamless fiat-to-crypto conversions during high-volatility events.

Conclusion and Summary

Moonshot leverages KOL-driven marketing and community-centered strategies to drive rapid growth. However, their core approaches differ:

Growth Highlights:

1. KOL and Community Synergy: Establishing strategic partnerships with well-known KOLs or engaging in reciprocal promotions with popular projects can accelerate brand awareness.
2. Incentivizing Quality Users: Setting meaningful thresholds or offering rewards, whether through user deposits or content quality, can ensure higher user engagement.
3. Showcasing Success Stories: Highlighting successful cases can inspire trust and garner media attention.
4. Expanding Through Ecosystem Tools: Voting platforms, referral systems, and OTC markets can facilitate deeper engagement and self-sustaining user adoption loops.
5. Integrating Fiat Payments: Incorporating simple fiat deposit methods (such as Apple Pay, credit cards, or PayPal) can significantly lower entry barriers for users unfamiliar with blockchain technology, accelerating broader adoption.
6. Enhancing User Convenience Through Automated Crypto Payments: Crypto-based subscriptions and automated trading simplify the user experience, attracting crypto-native users who prefer direct on-chain payments.
7. Token Incentives: Offering token rewards and crypto-based participation incentives can improve user retention, engagement, and long-term loyalty.

In summary, Moonshot's success highlights the importance of innovative incentive design, strong KOL support, convenient crypto payment solutions, and genuine community engagement in driving sustainable growth. By combining these strategies, emerging projects can replicate (or even potentially surpass) the rapid expansion seen in this case study, further enriching the broader Web3 landscape.