Nearchos

፨ Legal Entities for Web3 & DAOs 🎙️Host of Just DAO It! Podcast & /daos Channel 💼 Founder of MIDAO 🟪 Purple 🏴 bDAO nf.td/thethriller

Exactly the way I'm looking at it. 

I just think there's a larger market potential for getting devs funded to build stuff when there's a tighter circle of value extraction.

When it's just a trading pool and devs collect fees, the incentives dictate that: 

- extractive traders will win the most
- devs that hype pump 'n dumps will get the most, especially if they're also Sybil traders 
- devs who focus on building quietly get the least
- the most dedicated holders get nothing in the end almost always 

We'll never get mainstream adoption with this structure- or even worse if we do it'll mean we've finally just trained the entire world to normalize degenerate day trading...

I think if we design systems that encourage a more transparent funnel of value from investors to builders, it creates an entirely new incentive structure that encourages more pro-social development.

It's pretty nuanced, but I think it's significant to point out that corps, despite what the individual ppl working for them might feel personally, have no interest in benefiting society; "they", as a corporate entity beholden to shareholders, have an interest in benefiting their influence over society. 

If there's an option to solve a societal problem in a way that benefits everyone equally and doesn't have any downsides, but it creates less opportunity for corporate profit, big corps will choose to push society a different direction and use whatever resources at their disposal, including an "education system" to train everyone that their value-extractive solution is better.

It's a conflict of interest, so we shouldn't assume that corps will have society's best interest in mind at any point in the process.

So my point is that in order for us to have an education system that doesn't have perverse incentives, it has to be an open system with transparency and accountability. Corps can help, just not control.

You know who else wins in this scenario? 

The protocol. 

This is kind of a mind-twister for me. If crypto is a casino, the protocol is the house.

When looking at incentive design from a behavioral economics perspective, if we want to design pro-social protocols as a base layer... We have to somehow enshrine these values in such a way as to keep the protocol from pursuing it's own best interests.

You know who else wins in this scenario? 

The protocol. 

This is kind of a mind-twister for me. If crypto is a casino, the protocol is the house.

When looking at incentive design from a behavioral economics perspective, if we want to design pro-social protocols as a base layer... We have to somehow enshrine these values in such a way as to keep the protocol from pursuing it's own best interests.

https://warpcast.com/trigs/0xc294cc11

Revnet

Imagine when every business is tokenizing it's cash. Will look very look very different & move soooo much faster. 

Imagine an a loosely knit network of projects providing services to FC app devs morphing into a kuritsu like structure without the governance burden.

Relevant thoughts: 

https://warpcast.com/kmacb.eth/0x03e82b3e