Improving Community Distribution

Distributing tokens to users through airdrops and ongoing liquidity incentives: Airdrops distribute tokens to users based on their past actions. They may be high-value users of other protocols or have previously used the present protocol — however, this approach rewards past behavior over future commitment. There is no assurance that these pe

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Early versions of token distributions have led to unsustainable dynamics wherein speculators are rewarded instead of those who are adding consistent value to networks through actual usage.

3. Early Adopter Rewards Token distribution models that reward early users will involve communities and protocols. Before a protocol has real network effects or much inherent utility, these types of users and developers add value. Compound developers and users are the best long-term stewards of the protocol. Regulations must be considered, but we b... See more