Austin Castellaw

I think one of the most important things is for protocol teams or communities to first figure out what it is that they’re trying to accomplish and what their token specifically will be used for. For a lot of work token models like KEEP, NuCypher, or The Graph, the token is used to provide a service — the token is serving as a tax medallion. And so... See more

In web3, the situation is different.  New marketplaces can aggregate all existing NFTs. New social networks can surface all on-chain activities regardless of whether users ever signed up. How can a moat develop?  A potential answer is tokens.

Games like Axie Infinity, Crabada, and The Sandbox belong to this category.

Defensibility in web2 comes from proprietary data network effects. Each application is a walled garden, and a bigger user base translates into more utility vs. competitors.  The social network with most data, content, users, etc. is more valuable.

Spending vs HoldingCash flowsGovernanceCollateral

Isn’t it weird how the tables have turned? Now, let’s look at a Web3 version of this.

Game's sources and sinks are CRITICAL to develop a healthy economy of a game, both web2 and web3.It helps to shape a sticky user's behavior, and, of course, affects user attraction and retention.