The Blockchain Industry is in a Tight Spot, How to Break Out of the Current Situation? | Part 2

In Part 2, we propose a way to break out of the current situation and possible implementations in the future.

Written by Robin Gu, a Researcher at X-Order, an investment and research organization dedicated to the study of value capture in open finance. We strive to be a bridge between new finance and interdisciplinary fields with relation to science and research. It is founded by Tony Tao, who is also a partner at NGC Ventures.

The Way to Break Out of the Current Situation

The key to promoting the development of the industry — attractiveness

The New Yorker

These productivities ultimately form the driving force of the industry’s evolution.

In the development of traditional industries, another inspiring model comes from the education industry.

Rumble.com

Possible Implementations in the Future

All of the above are from a macro point of view of the whole industry. Of course, we can be an emotionless observer, and do something to boost the momentum with insights into the industry’s dynamics. However, as practitioners, we hope to find a more suitable direction for the industry through our own efforts.

Direction 1: Improve Self-haematopoiesis

The biggest worry for the industry is whether the project will die because it does not have enough cash flow. Therefore, whether the project team has its own hematopoiesis capacity rather than only relying on selling cryptocurrency to survive is key.

Entrepreneur.com

Direction 2: Create Closed-loop Demand

Hematopoiesis is a way to ensure a project’s survival, but for an emerging industry, it is better to form its own unique and irreplaceable needs. This is the basis for the long-term stable existence and development of the industry.

Therefore, creating a unique closed-loop demand rather than haematopoiesis will be a more effective way to push the industry forward.

Wanxiang Blockchain Twitter

Diversified Cross-border Organizational Incentive

I believe you are familiar with organizational incentive, it is also a topic that is often raised in the field of blockchain. What we want to emphasize here is diversification and cross-border.

There are two levels of cross-border, one is crossing the national boundary, the other is crossing time boundary.

The advantage of using a token to reward specific behaviours or meet specific needs within the organization system is that one can ignore the differences of national boundaries. It is possible that the hourly wage for developing a piece of code in one country is much higher than that in another country, but such behaviour in the internal field of an organization is consistent if it is measured by tokens.

Gamification

At present, the gaming industry is the most suitable application for the tokens. It has both the hematopoiesis ability described in the first direction and the demand creation ability in the second direction.

Various industries and buildings in the blockchain sandbox game, NeoWorld
Humphsthoughts.me

Machine Requirements

Inc42.com

In the world of robots, tokens are just what you need.

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Translated by (via our WeChat Account): Xin Yue

Robin Gu, Researcher at X-Order

We discover and invest in meaningful blockchain tokens and projects with a helping hand from intelligent machines