Exclusivity is a Double-Edged Sword – there are diminishing returns to growing an exclusive community. The Social Token Paradox by @gaby_goldberg got me thinking about how socials tokens based on exclusivity might get trapped in a cycle of growth and diminishing social value.

Traditionally, the crypto community distinguished between the following types of stable tokens: (i) fiat-collateralized or commodity-collateralized stable tokens, (ii) crypto-collateralized stable tokens, and (iii) algorithmic stable tokens. Lately (iv) central banks have also started looking into tokenizing their currencies which already come with

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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