@unbanksy
Three ways this leads to superior outcomes:
1. Entire supply is accounted for by the protocol. The lockups can still happen but it’s all on chain and protocol is “prepared” for it. There’s never surprise vested emissions that rekt the chart
2. There’s guaranteed liquidity and this liquidity is based on the entire cap table. So every token can be sold. These guarantees do not exist in tokens with exogenous liquidity provided by eg VCs or market makers.
3. Broad participation by all types of market participants - long-term holders are incentivized to hold via staking from trading fees. Short-term speculators can access leverage on day 1. Risk-off investors can borrow and take the underlying reserves at 0% interest.
The cap table still matters ofc but solving subpar tokenomics alleviates much of the gripe I see today
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