We define “#GeneralizedMining” as “any supply-side service provided by a third party to a decentralized network in exchange for compensation allocated by the network”.
Chances are the compensation is provided on-protocol & denominated often, but not always, in a native asset.
Chances are the compensation is provided on-protocol & denominated often, but not always, in a native asset.
#GeneralizedMining opportunities span staking, but also curation, liquidity provision, computational resource provision, TCR voting, governance, market making, and beyond. The market of generalized mining opportunities and supply-side providers is a “third-party economy”.
Investors, and their active participation in networks, is relevant to a subset of the third-party economy. As @TusharJain_ writes, and @fredwilson summarizes, that subset deals with opportunities that help to bootstrap networks.
multicoin.capital/2018/10/23/the…
multicoin.capital/2018/10/23/the…
Not only does #GeneralizedMining enable investors to add measurable concrete value to their portfolio networks through bootstrapping, liquidity provision, and operational loss-leading; cryptoinvestors are also the best-positioned profile for this type of early network engagement.
