>>> "The reason to launch a token shouldn't be raising capital. It should be to create incentive alignment around your protocol in a way that improves it." +1. I saw many projects in the last bull market that used tokens as a way to raise capital or simply cash out. Although it might work, especially for those who can't raise VC money for some reason, tokens won't achieve their full potential unless they provide the incentive alignment. I think BLUR was a great example. OpenSea seemed untouchable, but because of BLUR's pro-traders-oriented features, smart vampire attack & token design, they dominated the market.
Yeah BLUR is a great callout. Ironically despite the many crash & burn examples tokens are still so under-used given how receptive the market is to multiple launches (Gelato/Arrakis), Maker Endgame, etc., valuation multiples, memecoins, points, EigenLayer. We’re also moving to a post-governance era where not every token has to build a DAO. All of that helps.