Crypto Turns Companies Into Communities

The first thing he would notice is that crypto shortens the horizon on Original Bezos’ observation that, “in the long-term, there is never any misalignment between customer interest and shareholder interest.” In crypto, the customers can also be the owners from the earliest days. He might raise money directly from customers instead of (or in additi... See more

Marc Andreessen's original formulation of product-market fit describes how startups move from minimum viable product to serving customers. Cryptonetworks instead start with nothing, apart from token-based incentives and narratives, mobilizing developers and contributors to spontaneously coordinate in ways that end-users will ultimately find benefic... See more

So, why is this model better than the legacy business model? Like legacy models, protocols aren't dominated by profit-seeking capital providers. By issuing protocol-specific governance tokens, they may also include users (supply-siders and demand-siders). So the real users get a say when token holders decide whether to charge transaction fees.

Tokenised communities have the potential to turn members into active participants and stakeholders, by using community tokens as the primary means of community access, engagement & coordination. Community tokens combine elements of fandom (belonging and connection), patronage (membership and support) and investment (liquid ownership and financi... See more