Cointime

Download App
iOS & Android

The Importance of Balancing Token Incentives with Product-Market Fit in DeFi Launches

  • Wechat scan to share

Launching a token can be a complex process, as it can attract both early adopters and opportunistic investors. This can be problematic if the tokens also serve as a voting mechanism for the project's future. To ensure product-market fit, data can be used to understand user trends and identify potential farming.

However, there is an ontological concern about what a token represents, as it can signify both ownership of the protocol and a financial vehicle correlated to its success. The success of a token launch depends on various factors, and projects should take a slow and careful approach when experimenting with tokenomics to maximize their potential.

Comments

All Comments

Recommended for you

  • BTC breaks through $97,000

    the market shows BTC breaking through $97,000, now trading at $97,011.43, with a 24-hour increase of 0.85%. The market is volatile, please manage risks.
  • BTC breaks through $96,000

    the market shows that BTC has broken through $96,000 and is now trading at $96,014.98, with a 24-hour increase of 1.15%. The market fluctuates greatly, so please manage your risks well.
  • Binance Wallet’s New TGE B² Network is Now Available for Investment

    according to official page data, Binance Wallet's new TGE B² Network is now open for investment, with an end time of 18:00 (UTC+8). The participation threshold for this TGE is that Alpha points must reach 82 points.
  • The price of ALPACA perpetual contract on Binance platform rose by more than 25% in the past 5 minutes

    the current price of ALPACA perpetual contract on the Binance platform has risen by over 25% in the past 5 minutes, now falling back to $1.3683. At the same time, the spot price of ALPACA is $1.22, showing a significant price difference.
  • To participate in Binance Wallet's new TGE B² Network, you must have 82 points

    according to the official announcement, Binance Wallet has announced the participation threshold for the new B² Network (B2) TGE, with Alpha points needing to reach 82 points.
  • 1confirmation founder: There is a negative correlation between the popularity of the seed round and the success of the project product

    On April 29th, Nick Tomaino, the founder of 1confirmation, wrote on X that there is a negative correlation between the popularity of seed round projects and their success. Participating in a hot round is indeed exciting: high funding amounts, intense competition, big-name investors, and extensive media coverage. However, rarely does participating in such hot projects before the product-market fit is clear bring truly outstanding results. At 1confirmation, some of the most "popular" projects we have invested in have actually performed the worst.
  • U.S. Treasury Secretary Benson: We hope to obtain long-term tariff revenue and agreements

    US Treasury Secretary Besant said he hopes to obtain long-term tariff revenue and agreements, and the US will hold talks with at least 17 partners in the coming weeks. There is a good chance of seeing income tax reductions in the tax bill, and tariff revenue could be used for tax cuts.
  • MilkyWay has opened airdrop applications

    April 29th news, MilkyWay stated on social media that the airdrop application has been opened, and the application will be closed at 18:00 on May 29, 2025.
  • U.S. strategic Bitcoin reserves may announce details in the coming weeks

    Trump signed an executive order in early March this year proposing to establish a national strategic reserve of Bitcoin and other tokens, and requested the Treasury Secretary to submit an evaluation report on the legality and feasibility of the plan within 60 days. With less than two weeks remaining until the 60-day deadline set by Trump's executive order, this means that more details about the US Bitcoin reserve will soon be disclosed. Market expectations for this may be one of the important catalysts for the recent rebound in cryptocurrency. In addition, any comments questioning the independence of the Federal Reserve have also had a positive spillover effect on Bitcoin.
  • BTC breaks through $88,000

    the market shows BTC breaking through $88,000, now reported at $88,059, a 24-hour increase of 4.25%, with significant market fluctuations, please manage risks.