Within the narrow context of a token’s home protocol, supply and demand for the token will — for a well-designed system — reflect supply and demand for the protocol’s services and functionality. But no token lives within a quiet walled garden. Rather, every token lives in the noisy Forest.

Braintrust doesn’t pay customer acquisition costs in cash, but it does pay them in tokens. That increases circulating supply. As long as Connectors are willing to accept BTRST tokens for their referrals, the system works; but increase circulating supply too much, too fast, the tokens become worthless, and Connectors stop connecting. It’s a delicate... See more

On the supply side, a token will increase in value if fewer of those tokens exist—we call that deflation. A token will decrease in value if more of them exist—that’s inflation. When you’re evaluating the supply side you don’t have to worry about things like whether the token has any utility, or whether it will generate income for its holders. You’r... See more

On the supply side, a token will increase in value if fewer of those tokens exist—we call that deflation. A token will decrease in value if more of them exist—that’s inflation. When you’re evaluating the supply side you don’t have to worry about things like whether the token has any utility, or whether it will generate income for its holders. You’r... See more