Tokenomics 2.0 is a new way to design token economies around trading itself. With Uniswap v4 hooks, teams like $UPEG, $SATO, and $PRISM are already moving in this direction. We believe it is time to call it Tokenomics 2.0. More soon.

Hooks can provide tokens and protocols with a built-in source of revenue. Even meme tokens driven largely by speculation can gain new economic functions when Hooks are integrated into their design. This relatively small extension layer may materially change how defi protocols are structured. This is one reason @BinanceWallet @BinanceAcademy has given “Hook Summer” greater attention. More soon

Our analysis of Uniswap v4 Hooks suggests a recurring pattern. When a project builds its economic model around Hooks rather than treating them as an add-on, swaps, fees, state, and value distribution can form an integrated loop. The more deeply a project ties its business logic into this loop, the stronger the flywheel can become. We refer to this approach as Hooknomics. We believe it could become an important direction for the next generation of token economics. A detailed paper will be published next week.🧻

As shown in the diagram, Tokenomics 1.0 is mostly linear: issuance, incentives, distribution, and sell pressure. Tokenomics 2.0 has a native loop built into it. With hooks, swaps, fees, state, and value distribution can be designed as one connected system, instead of separate incentive layers. If this is built into a project from day one, the economy has a real chance to compound through usage. Hooknomics is not a fixed standard. It is a design principle for token economics built around Uniswap v4 #Hooks. A full Tokenomics 2.0 design note is coming soon.

Agreed. More V4 hook projects are exploring token economics built around trading itself. A Tokenomics 2.0 manifesto based on the hook framework is coming soon, offering a reference for future projects to adopt and build on.

tokenomics 2.0 = #hook summer