Earlier this year, our team at RabbitHole set out on a journey to serve the needs of the growing ownership economy. We’ve been observing how projects and protocols are finding their community owners and stewards.
What we discovered was astounding.
In aggregate, cryptonetworks across the decentralized finance ecosystem are paying upwards of $100M a month to attract liquidity into their network. Often, only a few individuals are taking it upon themselves to contribute to these networks in larger roles.
Meanwhile, forks of decentralized applications are accelerating. Retail users remain confused about the differences between projects with similar interfaces. As a result of the noise, a growing number of would-be network owners remain stuck on centralized exchanges, uncommitted about taking a journey down the proclaimed crypto rabbit hole.
We’re now at a pivotal moment as an ecosystem.
In order to attract mainstream users who will participate with us in a new digital economy, we need a new set of crypto-native solutions for crypto-native products. We can no longer rely on legacy media infrastructure, like Medium or Twitter, to teach retail users how to be owners. We can no longer rely on unsustainable owner-acquisition rewards that dry up before helping projects find their long-term community stewards.
We must create an eternal guide for the next generation of owners that makes them feel the magic of crypto.
Today, it’s more clear than ever that network governance is here to stay. It’s imperative that we focus on getting more of the right users to participate in these networks as they mature, not just the most wealthy.
To do this, we must re-imagine the levers we pull – areas like the education process, the token distribution timeline, and unique incentives tailored to network usage and contribution rather than speculation.
At RabbitHole, we’ve built a platform that aims to help networks engage the right users and reward them with a piece of ownership for providing work in the most verifiable form: provable on-chain transactions.
Work is not just proof-of-work. It can be anything related to network participation: