"Token Function" TAG

Assessing cooperative structures’ suitability for cryptonetworks
  • research
In a recent article, Jesse Walden, founder of Variant Fund, and Connor Spelliscy, Co-Founder of the Blockchain Association, argue that cryptonetworks and projects, with executive teams domiciled in the US, could circumvent the legal issues with their networks’ cryptoassets being classified as securities by structuring their projects and token economies along the lines of traditional...
Token Function: The Value-Transfer Family and ‘Payment Tokens’
  • research
  Key Takeaways: Value transfers is extremely common among SCI Signals projects (and the industry more generally), yet these can be subdivided into a broad range of functions including cryptocurrency, payment tokens, and discount payments. The payment token has been a predominant token design, and most conversations about utility token value proposition and valuation methodologies...
Token Functions Overview: Vital Considerations in Cryptoeconomic Design
  • research
  Key Takeaways Token-based incentive systems have unique potentials and constraints; they can attract and organize value adding contributors in unprecedented ways, yet typically require a “level playing field” created by an immutable or distributedly governed ruleset. Host platforms—base protocols, seperate networks, dApps—can incentivize value-adding community collaboration through token function design and compensation mechanisms. A...
Issues of Fairness in Token Distribution
  • research
Key Takeaways Choices in token distribution strategy are early signals of how different kinds of contribution will be valued and how contributors are likely to be treated. Given its impacts on sustaining key contributor support, fairness is a quality worth consideration; rightly or wrongly, it will be a quality by which a project is judged....
Security Token Design
  • research
Key Takeaways The design of a security token–its legal rights, claims, and governance powers–is a critical feature in making digital securities attractive as investment opportunities. Many STOs, both successful and otherwise, involve legal instruments that seem vastly inferior, or at best difficult to compare to their traditional counterparts. The industry needs thoughtfully designed security tokens...