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.

This gets to the other mistake Diehl makes in that article, which, ironically, echoes a similar mistake made by many crypto absolutists: there is no reason why the Metaverse, or any web application for that matter, will be built on the blockchain. Why would you use the world’s slowest database when a centralized one is far more scalable and perform... See more

Put another way, we have to resist this skeuomorphic temptation to think that everything is better on the blockchain. Some things, when put on blockchains, just become the same as they were before, but on a blockchain

Blockchain-related technological and institutional innovation is part of an ongoing maturation phase of the Information Technology (IT) Revolution, which includes the emergence of IT-native forms of socio-economic organization that are digital, global, and increasingly decentralized and automated.