Ignore his tweet, but take a look at that data: sell $11M, but only receive $407k. That is the immediate evidence to how crucial liquidity is for assessing the real value of a project.

Maybe things are looking up after all

In the last 30 days, $190M was transferred from Solana to Ethereum, with $143M from Eth to Sol.

Similar pattern can be seen with Arbitrum, BNB, Base, and others: more value is leaving Solana than entering.

Is the industry healing?

Source

Looking at it from September to now, there was $950M sent from Eth to Sol, and $828M from Sol to Eth.

Evidently the tides are changing.

Why your token economy might be a house of cards🃏

Most tokens don’t play a meaningful role in the ecosystem, they’re just fundraising tools disguised as utility.

This leads to a major issue: projects acquire token holders, not real users.

👉The result? A fragile economy where people stay only for staking APY, airdrops, or speculative gains.

When the hype fades, they leave. And if you never built real demand for your product, there’s nothing left but a worthless token.

Full article

A token with strong governance power or exclusive community access may have value far beyond its price tag.

How do we measure real value beyond just market cap?💼

Imagine a token, $ABC, that reduces transaction fees from 10% to 7%.

🔹 10 users each make $100,000 transactions

🔹 They pay $10,000 in fees normally

🔹 Holding 1 $ABC cuts fees to $7,000

If all 10 users buy $ABC, the total value = ($3,000 savings × 10 users) - token price.

If $ABC starts at $100, its perceived value might be $2,900 each.

📌But here’s the catch: exchanges move price up as tokens are bought. $100 → $500 → $1,000 → $1,500… until net value approaches zero.

So, even if market cap says $30,000, the real token value might only be $7,500.

Market cap ≠ value💰

This is why blindly trusting market cap can be misleading.

Join our X Space: Launchpads & IDOs 🚀

The IDO market is full of opportunities, but also risks. How do you spot the best projects early and avoid common pitfalls?

Let’s break it down with top experts in the space.

📅 Wednesday, Feb 26
🕒 12:00 PM UTC

Speakers:
@SingularityDAO
@decubate
@FinceptorApp
@ChainGPT_Pad
@CoinTerminalCom

🎙 Hosted by: @SimplicityWeb3

Don't miss out - mark your calendar and join us 👉
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Why network effects make or break a token economy

In traditional finance, a company’s valuation depends on its assets, revenue, and profits.

In Web3, a token’s value is largely dictated by network effects — the more people use a network, the more valuable it becomes.

📌 Bitcoin & Ethereum didn’t just succeed because of good tech. They built massive network effects that drove demand for their tokens.

A strong token economy must be designed to facilitate adoption and network growth, notably by ensuring that incentives between all users are aligned, and the whole ecosystem is greater than the sum of its parts. Otherwise, even a well-structured economy will struggle to gain traction.

Reminder: Our X Space is today🎙

Launchpads & IDOs: How to Spot Opportunities & Avoid Risks kicks off today at 12:00 PM UTC!

The IDO market is full of potential, but how do you separate promising projects from pitfalls? Join top experts as we break it down.

Speakers:
SingularityDAO
Decubate
Finceptor
ChainGPT
Coin Terminal

🎙 Hosted by: Simplicity Group

Don't miss out👉
https://x.com/i/spaces/1vOGwXbOlvLJB

Can’t we just copy a successful project’s tokenomics and call it a day? No.

A token’s economy is shaped by:
🔸 Utility – what problem does it solve?
🔸 Revenue model – does the project generate income or rely on token sales?
🔸 Market strategy – retail-focused vs. institutional-driven adoption.
🔸 Ecosystem – integrations, partnerships, and demand drivers.

Example: Ethereum’s tokenomics wouldn’t work for most Layer 1s today. Yet $ETH remains dominant because its design reflects Ethereum’s unique needs.

Every token economy is a game of incentives.

When incentives are well-structured:

✔️ Users contribute value to the network
✔️ Token holders are motivated to participate
✔️ The economy grows sustainably

When incentives are misaligned:

❌ Users exploit reward mechanisms
❌ Token holders act against the system’s health
❌ The economy collapses

Game theory is crucial in token design because every participant will act in their own best interest, even if it harms the system.

There are different ways of calculating how many tokens to emit/give out based as a function of received capital, and this emission can be charted into what's known as a bonding curve.

We explore the main 4 types in this article, with examples and formulas you can plug and play into your own economies.

Read here