How web3 blurs the line between users and investors

So far we had web products that had founders with investors association creating successful products for users to consume. The product had utility and was creating money for the organizations or individuals.

Now you see the *token economics* structure coming into the picture for creating any new product/protocol on web3. The fundamental properties of cryptocurrency tokens are utility, governance, and coin. These tokens for any new product are now owned not only by the founder and investors but also by the users of the application.

These tokens which are collected via airdrops, giveaways, and rewards are now a path for users to be investors in those protocols. These protocols create mechanisms to ensure those users who understand and believe is greater than others have a process to earn more rewards by supporting the brand value and being a long-term holder of the token, apart from just using the application.



Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store