open markets are generally bad for early stage communities and ventures
AI summary of the linked articleThe author argues that open markets are generally bad for early stage communities and ventures. Listed harms include distraction, attracting speculators, activist "investors" and unaligned people, distorted incentives when prices swing too high or low, and a culture that becomes financialized and centered on price. The author acknowledges some exceptions but says the same outcomes have repeatedly played out over years of observation. |
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2 comments mishaSubmitter You’re essentially trying to capitalize on renting / letting out a house that hasn’t quite been built yet and arguing over how it should be furnished. I think there’s a order of operations comment by @july https://warpcast.com/july/0x40316f2e  Feels like there is a missing step or 3 by just going fully open token market. I guess this is where pre-sales come in. It would be good to sell tokens to true believers first who essential act as angel investors. Ideally the team, not an LP position, gets this capital so they can build with it. Then eventually its a full public launch (potentially after multiple token rounds). The challenge with this approach is then the early investors have incentive to sell all their tokens on Day 1, since they got in at such a low price and can instantly profit. So then you need to play around with lockups, etc. |
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