Thoughts on the current state of the crypto market: Investing in last cycle's tokens is a waste; seek outlier cases to outperform the market
TechFlow Selected TechFlow Selected
Thoughts on the current state of the crypto market: Investing in last cycle's tokens is a waste; seek outlier cases to outperform the market
Our task is to first identify a new token issuance model to earn the maximum amount of cash.
Navigating Web3 tides with focused insightsAuthor: Ignas | DeFi
Translation: TechFlow
Investing in most tokens from the previous cycle is a waste—either they're boring, or their teams have already "made it" and are just pretending to care about their projects. Look for exceptions to outperform the market.
Solana is good for trading, but for long-term holding, Ethereum remains a better place. L2s currently underperform in both aspects.
-
Short-term success of $SOL relies on speculators' enthusiasm for meme coins, as it's still seen as the hub for meme tokens.
-
In the medium term, Solana has diversified use cases to attract communities. These will thrive once the meme coin frenzy fades.
The future of L2s depends on attracting unique, non-forked decentralized applications (think of zkSync paying $20 million to attract Lens). However, due to poor token economics, their tokens may lag in this cycle.
-
Polymarket shows promise, but user experience remains subpar: bridging to Polygon, multiple approval steps, and poor mobile experience.
-
Polymarket would thrive if it ran on Solana or integrated account abstraction (like Avocado smart wallets).
Polygon should go to great lengths to retain Polymarket. In fact, every chain should compete to attract Polymarket.
Mainstream Crypto Twitter accounts fail to explain what’s happening in the market:
-
Crypto complexity increases with traditional finance entering the space—exploding categories that don’t matter to them, since they only need 3x to 5x returns to meet their goals, including me.
Points-for-airdrop models are outdated, yet project teams avoid bold innovation due to risks surrounding TGE.
Innovators who reverse the trend—from points to airdrops—and invent new, compelling token distribution models will perform best. Our job is to identify these new models first to earn the most cash.
Innovation in tokenomics design has stalled; teams focus on fundraising, VCs favor established old models, and investors are tired of complex schemes.
DAOs face voter apathy because their protocols have become too complex, leaving holders with little motivation to participate.
DeFi OG tokens could perform well due to high circulating supply and business models: potential catalysts include fatigue with meme coins and clearer regulation around revenue sharing.
The Cosmos ecosystem faces challenges, but its community remains strong and loyal. If the community persists and overcomes current difficulties, Cosmos might rise successfully, just like Solana did.
Disclaimer: These are just my current thoughts—I could be completely wrong. You can check my first rant about market conditions.
Join TechFlow official community to stay tuned
Telegram:https://t.me/TechFlowDaily
X (Twitter):https://x.com/TechFlowPost
X (Twitter) EN:https://x.com/BlockFlow_News
Ignas | DeFi Research
