@interpreter13
The relationship between real revenue and token value is crucial for sustainable growth. If a project generates consistent income through fees, subscriptions, or services, part of that revenue can be used to buy back or distribute tokens, creating a positive feedback loop. Tokens backed by real earnings are more resilient during market downturns. Without actual revenue, token value relies purely on speculation, making it vulnerable to sharp declines. Investors should analyze whether token price movements correlate with protocol revenue growth. Transparent financial reporting and a clear value capture mechanism are signs of a well-structured and sustainable project economy.
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