The Rise of TADA: How a Web3 Taxi App is Disrupting Singapore’s Ride-Hailing Scene

In the bustling streets of Singapore, a quiet revolution is taking place in the ride-hailing industry. As cryptocurrency enthusiasts from around the world descended upon the city-state for Token2049, one of the largest crypto conferences in Asia, they found themselves turning to an unexpected app for their transportation needs. TADA, a blockchain-based ride-hailing platform, has suddenly become the talk of the town, overshadowing even the mighty Grab in certain circles.

But how did this underdog manage to capture the attention of the crypto-savvy crowd? Let’s dive into the story of TADA and explore how this Web3 taxi app is shaking up Singapore’s ride-hailing scene.

The TADA Phenomenon

Picture this: You’re a crypto enthusiast attending Token2049 in Singapore. You’ve just landed at Changi Airport and need to get to your hotel in Marina Bay Sands. You open your usual ride-hailing app, Grab, and are quoted a fare of about 20.5 Singapore dollars (roughly $15 USD). Then, a fellow conference-goer tells you about TADA. You give it a try and boom — the same ride costs only 15.4 Singapore dollars, a whopping 25% less.

This scenario played out countless times during Token2049, as TADA’s invitation links circulated through crypto group chats like wildfire. But TADA’s appeal goes beyond just cheaper fares. The company has deployed a clever strategy to attract the crypto crowd, offering substantial subsidies and integrating with popular blockchain technologies.

The Million-Dollar Subsidy Strategy

TADA didn’t just rely on word-of-mouth to spread its gospel. The company went all-in with a subsidy strategy that would make even the most bullish crypto investors raise an eyebrow. During the five days of Token2049, TADA offered a staggering 60 SGD (about $44 USD) free ride credit for the first 4,000 users who used their Telegram Mini App. After that, users could enjoy a 50% discount on subsequent rides.

Let’s do some quick math: 4,000 users x 60 SGD = 240,000 SGD. Add in the ongoing 50% discounts, and we’re looking at a subsidy pool of at least 600,000 SGD (approximately $440,000 USD) over just five days. That’s no small change for a company that’s not even the market leader.

But here’s where it gets interesting: TADA isn’t just throwing money at traditional app users. To get these juicy subsidies, riders must use TADA’s Telegram Mini App and pay with $TON or $USDT through a TON wallet. It’s a bold move that blends the familiar (ride-hailing) with the cutting edge (crypto payments and Telegram mini-apps).

The Driver’s Perspective: A “Zero Commission” Model?

One of TADA’s key selling points is its claim of a “zero commission” model for drivers. According to the company’s website, after financial payment fees like credit card charges, all fares go directly to the drivers. This stands in stark contrast to giants like Grab, which typically take around 20% commission.

However, the reality is a bit more nuanced. TADA does charge a small platform fee, but it’s structured in a way that’s much more favorable to drivers:

• No fee for fares under 7 SGD
• 0.6 SGD fee for fares between 7–18 SGD
• 0.8 SGD fee for fares over 18 SGD

This means that at most, drivers are paying about 8.6% in fees, and often much less. For long-distance trips, drivers get to keep a larger chunk of the fare compared to other platforms.

This driver-friendly approach has made TADA popular among Singapore’s ride-hailing drivers, many of whom have seen their incomes drop on other platforms due to low fares and high commissions.

The Blockchain Backbone: More Than Just a Gimmick

At first glance, you might think TADA is just another ride-hailing app with some crypto sprinkled on top for marketing. But dig a little deeper, and you’ll find that blockchain technology is central to TADA’s business model.

TADA is actually a product of Mass Vehicle Ledger (MVL), a blockchain company founded in 2018 by Kay Kyeongsik Woo, who previously created the Korean travel app easi6. From day one, MVL positioned itself as a blockchain company exploring the ride-hailing space, rather than a traditional transportation company dabbling in crypto.

This blockchain-first approach has allowed TADA to explore unique models like its low-commission structure and token-based incentives. It’s also opened up new revenue streams: in 2022, crypto-related business accounted for 37% of MVL’s total revenue.

The Challenges of Web3 Adoption

While TADA’s recent success at Token2049 is impressive, it hasn’t been all smooth sailing for the company. Like many Web3 projects, TADA has faced the challenge of bridging the gap between crypto enthusiasts and the general public.

Previous attempts to attract users with promotions like “Take TADA and Earn Bitcoin” or “Invite Friends to Join TADA and Earn Bitcoin” fell flat. The team discovered that convincing someone who’s never used cryptocurrency to buy some just to take a taxi is an uphill battle.

This realization led to a pivot in strategy. Instead of trying to convert the masses to crypto, TADA decided to focus on serving existing Web3 users. The launch of their Telegram Mini App during Token2049 was a manifestation of this new approach, targeting conference attendees who are already comfortable with cryptocurrencies.

The Future of Ride-Hailing: Web3 Integration or Temporary Hype?

As the dust settles from Token2049 and the generous subsidies come to an end, the big question is: Can TADA maintain its momentum? Without the 50% discounts, TADA’s fares are actually higher than competitors like Grab. This higher pricing might benefit drivers, but will it be enough to keep cost-conscious consumers on board?

The answer likely lies in TADA’s ability to leverage its Web3 credentials beyond just payments. The company has plans to offer multi-chain wallets and DeFi products for drivers, develop DePIN data maps for better routing, and even explore RWA (Real World Asset) vehicle projects to provide drivers with affordable cars.

These initiatives point to a future where ride-hailing isn’t just about getting from point A to point B, but about participating in a decentralized ecosystem that benefits both drivers and riders.

The Bigger Picture: Web3’s Real-World Impact

TADA’s story is more than just a tale of one company’s clever marketing during a crypto conference. It’s a glimpse into the potential real-world impact of Web3 technologies.

By integrating blockchain and cryptocurrencies into a service as mundane as catching a ride, TADA is demonstrating how Web3 can solve real problems and create value in traditional industries. Their driver-friendly fee structure, enabled by blockchain efficiencies, shows how decentralized technologies can lead to fairer economic models.

Moreover, TADA’s experiment with the Telegram Mini App showcases the potential for seamless integration between messaging platforms, cryptocurrencies, and real-world services. This could be a blueprint for how other industries adopt Web3 technologies in user-friendly ways.

Conclusion: A Ride into the Future

As Singapore’s ride-hailing market continues to evolve, TADA’s emergence as a serious contender is a story worth watching. Whether they can maintain their momentum post-Token2049 remains to be seen, but their innovative approach has already left a mark on the industry.

For the broader crypto and Web3 community, TADA’s experience offers valuable lessons. It shows that successful adoption of blockchain technologies doesn’t always mean reinventing the wheel. Sometimes, it’s about taking familiar services and enhancing them with the unique benefits that Web3 can offer.

As we watch TADA navigate the challenges ahead, one thing is clear: the lines between traditional services and Web3 innovations are blurring. And for those of us along for the ride, it promises to be an exciting journey indeed.