Tokenomics
sari and
Tokenomics
The idea that token holders can passively extract rent without providing equal value to a protocol is unsustainable.
In the long-run, token holders will likely need to be active network participants or assume some of the risk of the system to be viable.
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nametwitter.com
building sustainable networks in crypto is especially hard because the incentives are often short-term oriented
2 solutions to enable sustainable networks:
- token streaming/vesting (ie. @Superfluid_HQ)
- milestone based token rewards (ie. @UMAprotocol KPI... See more
Zachtwitter.com
Often, token models incorporate a single-use token design, i.e. a governance token conveys voting rights.
Could this change?
Future token designs may instead choose to incorporate a blend of economic, governance, and utility rights, opening a new design space.
... See more