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in equity, dividends are typically used to redistribute capital when there is no longer a better use for the cash
more than not, this happens when companies reach market maturity
however in crypto, a similar distribution can happen on day one in the form of a revenue split or fee redistribution
now with a dividend reinvestment plan, whereby all distributions are automatically used to buy more tokens in the open market, users will start compounding tokens on day one
we all know the power of compounding
think about what a 10% rev split looks like for holders compounding daily, six months out…
this is how you bake token repurchases into your model; this is how you incentivize long-term holders: you compound their holdings, which compounds their earnings, which compounds their holdings
at the end of the day, most people just want to see number go up
unfortunately that is not token price, but that could be this:
real-time streamed rewards directly claimable each & every day right in your wallet 4 replies
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