On Value Capture at Layer 3

Rocco
Rocco
Mar 22, 2019 · 5 min read
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Framework for Layer 3

I would like to take these concepts and speak on the value capture of Layer 3 services. To define a layer 3 service, this is a service that is built on top of both a base chain and a number of middle protocols to abstract them for consumer use. To give concrete examples of these services, we’ll use two of them: Veil, and Radar Relay.

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Opting Out as an Option

It’s important to note that most of these services are possible without the assistance of a Veil or Radar Relay, but the experience they provide is what generates value for them. As a user, do I want to use Augur’s client, or do I want to use Veil’s clean experience and trade derivatives on the available markets. But it’s important for individuals with interests in these businesses to take note of the risks associated with building on the foundational layers of choice, and how the future of those protocols will impact the business. It’s also important to note that many of these services will become commoditized over time.


Alpine Intel

Building the blueprints for new digital economies.

Thanks to Phil J Bonello

Rocco

Written by

Rocco

Former Strategy Lead @ Alpine | Fungibility Maximalist | Opinions are my own | Stories are not investment advice | Nohow on

Alpine Intel

Building the blueprints for new digital economies.

Rocco

Written by

Rocco

Former Strategy Lead @ Alpine | Fungibility Maximalist | Opinions are my own | Stories are not investment advice | Nohow on

Alpine Intel

Building the blueprints for new digital economies.

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