On Nathan Schneider on the limits of cryptoeconomics

I think a lot of crypto space, maybe because of its roots in cypherpunk culture, tries to reinvent the wheel on things that regular financial, governmental structures have A/B tested for a very long time and produced battle-tested solutions for. And some of these innovations do make sense in a new environment. But many of the changes are trying to ... See more

People will talk in circles here because “sustainability” is often poorly ever defined. So let’s be concrete. All PoW or PoS networks are fundamentally “sustainable” in that permissionless operators will always be incentivized to run them so long as users are willing to pay a nonzero amount of money to use them.

• If REV ≥ expenses required by operato

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Perhaps most interestingly, there are some potential new opportunities by which protocols might actually be much more sustainable. In the last few years, with the development of cryptocurrencies and tokens, it has become theoretically possible to build a protocol that uses a cryptocurrency or a token that has some value attached to it, with the val... See more