There is a lack of viable and sustainable business model in the space, with the exception of exchanges (casinos).How is it a superior technology for "people who code and create" to get better rewards for their efforts?
I'm glad you went down the rabbit hole. I'm sure you've learned a ton.
How? Where are these opportunities you speak of?
I'm only critical because I've been down that road. I also thought it was a "marvelous" new type of computer. I envisioned all of the creative ways smart contracts could be used.
So far, the best use of smart-contracts I've found are AMM (automated market makers). It's a genius way for people to exchange one digital asset for another without an intermediary.
Ultimately, I didn't find "all the opportunities" you speak of. I mostly found scammers, degenerates, and losers masquerading around fancy words to suck people out of their hard earned money.
Even for large networks like ETH which I still use and find valuable, I learned that with ZK cryptography you could essentially nest multiple layers down until the cost of a transactions reaches ~0 while preserving maximal levels of security, though you would sacrifice liveliness across other applications.
Meaning the business model of selling block-space on smart-contract platforms is a race to the bottom.
What about BTC and a store of value? I think it has merit. Which is why I have some for that purpose. But as I've outlined before, it isn't without flaw. For all the flack Peter Schiff gets, I think he's actually right that Gold might be a better store of value.
So where's the value? Because there clearly is some value somewhere.
The real value is in the network.
The real value is in the shared belief system among participants.
The real value is memetic.
The rest of the "global computer" and "decentralization" and all the other buzzwords is baloney for the rookies, and gospel for the zealots who get high from their own supply.
I treat it like a casino because it's largely a casino. Arguably the best invention so far with crypto has been stablecoins, which according to some is a CIA invention which allows it and other three-letter agencies to print money to fund their black ops off the books.
Maybe I went too deep down the rabbit hole. Because what I found was mostly rabbit poop.
I hope you learn more than me and prove me wrong.
Unlike an ordinary business which sells a product or service and can sustain itself.
Most projects are just softwares that are perpetually free to use, requires vc funding, with a hope that traction bringing the value of tokens higher and profit from there.
This leaves late adopters to be bag holders.
The projects also legally cannot pay “dividends” and that would be security laws violation. SEC now even considers burning tokens by a centralized entity like Binance to be security laws violation.
So this leaves fat protocol theory to work out its way. Most projects fail while ETH and SOL prosper.
There is a reason why memecoins are strong this cycle. Because memecoins are lean, you do not need a team of research staffs, customer service running perpetually free to use software.
If the only way that passive investors fan profit is from token value appreciation then there is no fundamental difference between investing in team doing hard scaling solution or investing in a memcoin started by a bunch of 20 years old making noise in twitter and discord.
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