content coins monetize content by attaching an attention market to it and sending a portion of the initial supply and transaction fees from trading to the creator

these markets are purely speculative  and are characteristic bubbles with a steep curve followed by a crash and asymptote to 0

these markets are dominated by sophisticated players: automated traders that try to “snipe” a large supply for very little in the first moments of the market, or active traders using tools and / or insider knowledge

the general flow of value is from retail (either collectors or gamblers) to these sophisticated players with the creator getting some relatively small portion

if you measure efficiency as the proportion of net changes in value going to the creator these markets are a not an efficient way to pay creators though it's possible the creator makes more money from speculators looking to profit in the market that otherwise wouldn't have supported the creator directly

Building @warpcast and @farcaster / dad / like to read, cook, ski, code