What are the benefits and drawbacks of conflating equity and money with tokenization?

Building /farcastle. Tryna help humans coordinate. TANSTAAFL! https://bootleggers.wtf/

I think projects blur the line in the hopes of getting the benefits of both without the downsides of either. Currency gives it segnoirage that it can deploy as needed, while equity promises some growth upside. We should judge projects harshly that intentionally conflate these two.

This is where @plor.eth took Happy Hour after your departure. The collateral vs. currency idea is intriguing. Think it presently complicates things but like to believe in a features that enables both utility and speculation

Good question. 

Equity has more promise of future value, I think. Or implication of specific utility. Less liquid, however, which I think is where the tokenized problems start coming in, because tokens are easily liquid. So there's a mismatch of underlying principles to address.

Money is more liquid by nature, so tokenization is more inline with the general utility it is designed for. It has less promise of future value, hence the importance of liquidity. 

Equity makes better collateral, money makes better currency.

soldier of Good. 🪖🥰 
producer × DJ. 🎧🪩 
working on /campfire. 🫴🪵🔥
host of /dww 🎧 +  /gtd 🛠️.
https://linktr.ee/0xdownshift

scammers love tokens for this one weird trick!

Yep. Wondering if it is possible to make that a benefit

tokens are far more susceptible to speculation and short-term mania than other vehicles