Want to deflate the token bubble? Fix the market cap indicator.
Zach Herbert
67629

Thank you very much for this well documented and insightful post.

It’s unclear to me though what should individual investors do to preempt these issues. If you combine your argument #1 and #2 it would mean it’s safer (longer term) to hold assets which discrepancy is the smaller between circulating and total AND which inflation factor it low. That leaves us with Augur, Bitcoin and Litecoin (both used as stable coins).

But then there’s a paradox: these 3 tokens have very limited intrinsic use cases (resp. betting, payment and value-holding), so how can we reconcile limited use cases with long-term value? (as compared, e.g., to Ethereum and the infinity of smart contracts)

Would be very curious to have your views on this Zach Herbert

Thanks again for your article

One clap, two clap, three clap, forty?

By clapping more or less, you can signal to us which stories really stand out.