Came across one heck of a crypto promoted tweet
A whole post by @liron dunking on crypto, web3 and @tferriss‘s new podcast with @cdixon and @naval
I enjoyed the podcast, and crypto does deserve scrutiny
But like most critics, OPs argument is full of holes 🕳
A whole post by @liron dunking on crypto, web3 and @tferriss‘s new podcast with @cdixon and @naval
I enjoyed the podcast, and crypto does deserve scrutiny
But like most critics, OPs argument is full of holes 🕳
Since my last thread taking a look at crypto critics did so well, here is another!
I’m writing this for myself as a way to check my own thoughts and make sure I’m not getting swept up in the hype and the ponzi too!
Let’s see how well these arguments hold up!
I’m writing this for myself as a way to check my own thoughts and make sure I’m not getting swept up in the hype and the ponzi too!
Let’s see how well these arguments hold up!
https://twitter.com/NickADobos/status/1446139858804621317
#1 looking at Marketing.
Do web3 companies need marketing?
They do cite Coinbase here, and OP does note that Coinbase uses paid marketing
However, we are getting caught up in one example
Do web3 companies need marketing?
They do cite Coinbase here, and OP does note that Coinbase uses paid marketing
However, we are getting caught up in one example
First, Coinbase isn’t exactly a crypto company. It’s a hybrid. Web 2.5 not 3.0
It’s a centralized exchange. This is different from decentralized exchanges like uniswap, sushiswap and many more
Coinbase interfaces with crypto, but its company and tech stack aren’t crypto based
It’s a centralized exchange. This is different from decentralized exchanges like uniswap, sushiswap and many more
Coinbase interfaces with crypto, but its company and tech stack aren’t crypto based
I’ve also seen other 2.5 companies like BlockFi, advertise on billboards in the airport. Or Voyager and more crypto exchanges on my twitter feed
But these are all hybrid companies
They interface with crypto and web3.0 but aren’t structuring their companies as crypto
But these are all hybrid companies
They interface with crypto and web3.0 but aren’t structuring their companies as crypto
Op is nitpicking
The bigger point here is that most web3 companies don’t need to market because they turned their customers into owners and salespeople
Btw when someone says “all” or “never” usually they don’t actually mean all, instead most. All just sounds more convincing
The bigger point here is that most web3 companies don’t need to market because they turned their customers into owners and salespeople
Btw when someone says “all” or “never” usually they don’t actually mean all, instead most. All just sounds more convincing
Companies like compound labs, and sushiswap are turning customers into shareholders
If you use the service and deposit, you earn governance tokens, which are basically stocks
Like if your bank gave you stock in the company for depositing with them, in addition to any interest
If you use the service and deposit, you earn governance tokens, which are basically stocks
Like if your bank gave you stock in the company for depositing with them, in addition to any interest
This creates something fascinating
Suddenly the customers of your service are now also owners
They are stakeholders who gain from creating sales, which means they are now paid to work for the company!
Suddenly the customers of your service are now also owners
They are stakeholders who gain from creating sales, which means they are now paid to work for the company!
Which means they instantly become paid influencers who pitch, sell, recruit and spread the word
Most often without traditional paid marketing channels
Allowing massive new tech companies and services to arise faster than companies have ever been created before
Most often without traditional paid marketing channels
Allowing massive new tech companies and services to arise faster than companies have ever been created before
And they are being created by tiny core teams
Dydx is a 19 person company that has earned $75+mil in revenue this year, only through sept!
With trading volumes higher than Coinbase!!
That is ~$3.9mil per employee, aka double Apple’s 2019 revenue per employee
Dydx is a 19 person company that has earned $75+mil in revenue this year, only through sept!
With trading volumes higher than Coinbase!!
That is ~$3.9mil per employee, aka double Apple’s 2019 revenue per employee
Sushiswap even did the hilarious thing of copy pasting the entire uniswap codebase, added stocks for users, and stole half their customers
Forcing uniswap to also introduce governance token rewards
Forcing uniswap to also introduce governance token rewards
Now many early crypto users hope to earn thousands of dollars for using protocols who may retroactively airdrop them stock later on
OP links to another post here, dunking on @cdixon ‘s claims.
So brief segue into this one too.
medium.com/bloated-mvp/ch…
So brief segue into this one too.
medium.com/bloated-mvp/ch…
Take rates.
Robinhood’s take rate isn’t 0%. It’s 100%.
They are a two sided marketplace. Just like social media is free to use, and makes money by selling ads, Robinhood allows for free trades and makes money by selling other things.
Robinhood’s take rate isn’t 0%. It’s 100%.
They are a two sided marketplace. Just like social media is free to use, and makes money by selling ads, Robinhood allows for free trades and makes money by selling other things.
They take 100% of that. Robinhood doesn’t pay you to buy with them
Roblox, as well as the Apple App Store and Google play store use similar 2 sided marketplaces
Their customers aren’t people using the app or playing the game. They are the developers making it. Platform take 30%
Roblox, as well as the Apple App Store and Google play store use similar 2 sided marketplaces
Their customers aren’t people using the app or playing the game. They are the developers making it. Platform take 30%
Most video are games are indeed 100% take rates, but that’s because they don’t sell user generated content like social media and Roblox do. They make their own in house
Axie is incredibly different because it doesn’t sell user content at all. It’s all in house and give away 90%
Axie is incredibly different because it doesn’t sell user content at all. It’s all in house and give away 90%
They can do that because of the ownership model used where players become stakeholders
Spotify and intermediaries.
Spotify isn’t the main intermediary, the labels are!
There is value and cuts being given out to app interface, as well as physical merch and ticket sales, Crypto won’t cut this out.
Op does correctly identify this!
Spotify isn’t the main intermediary, the labels are!
There is value and cuts being given out to app interface, as well as physical merch and ticket sales, Crypto won’t cut this out.
Op does correctly identify this!
But he totally misunderstand what a label does
True music labels do promote and distribute music, as well as help book gigs and what not. (Though I’ve heard this varies greatly)
Publishers, for music or even books are primarily venture funds. Like shark tank.
True music labels do promote and distribute music, as well as help book gigs and what not. (Though I’ve heard this varies greatly)
Publishers, for music or even books are primarily venture funds. Like shark tank.
They prepay an artist to record, help manufacture it, then take the lions share of the profits. This is the rent.
They only do the distribution things because they now own the IP and the upside!
Crypto allows music labels to be being replaced by a crowd of fans!!
They only do the distribution things because they now own the IP and the upside!
Crypto allows music labels to be being replaced by a crowd of fans!!
This part is similar to pre sales and things like kickstarter
But crypto tokens also allow fans to now own upside and invest, like a stock in addition to getting the final product or extra merch
Benefitting similarly to participating in the defi protocols mentioned earlier!
But crypto tokens also allow fans to now own upside and invest, like a stock in addition to getting the final product or extra merch
Benefitting similarly to participating in the defi protocols mentioned earlier!
The intermediary being cut out is not the app for listening to or buying the song, or the venue selling concert tickets
It’s the business and funding model for musicians.
Artists and paying fans can be now more closely tied, and musicians can earn much more!
It’s the business and funding model for musicians.
Artists and paying fans can be now more closely tied, and musicians can earn much more!
Bitcoin does not remove intermediaries from payment. The Bitcoin network itself is an intermediary between people doing trade.
It cuts out the intermediaries within the payment system. No more bankers taking a huge cut for providing the service.
It cuts out the intermediaries within the payment system. No more bankers taking a huge cut for providing the service.
Oops broke this thread
https://twitter.com/nickadobos/status/1455007411182264320
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