1. Think like this: those "blockchains" that spend a lot of events means they have a lot of funds to burn, meaning if I buy a token, they burn like this my funds. Its not only if market is in the bear market but also in the bull market.
2. In cases of majority if not all of other blockchains, such as NEAR, SOLANA even ETHEREUM and many other blockchains, community cannot vote to decide whether funds will be spend or not, this is a very unique position we have on Cardano, yes it creates tensions but at least you can vote in or vote out certain spending. I was thinking the other day that we are taking this for granted here but absolutely it should not be taken as such.
I believe our treasury desires to be spend very carefully and strategically, looking at examples of coins that have zero treasury spending (Bitcoin), it means very little spending and usually absolutely most needed things.
(Austerity > Over Spending) Deflationary Supply seems to be doing the trick.
I have been also poaking around Solana and Ethereum communities and both are very angry at the prices / spending but even more so Ethereum community. When Ethereum foundation sells large chunk of ETH, they get absolutely furious as price has been stagnant since 2021. They were hoping for "flippening" Bitcoin and they got sideways movement since 2021. AVAX community is literally pulling hair apart and SUI community close to going bonkers. Solana observes very little movement on chain and even their on chain bots "faking activity" / "wash trading" to appear used.
We are not only in bear market, we are in general bear market of L1 chains including Ethereum since 2021. Price goes down, up and down and up but stays within a particular range.
My gut feeling is that we still didn't manage to create good enough L1s that can bring normies over staying in the banking or exchanges. There are a few very important components missing:
1. Custodial wallets (Schnorr / Multi-Sig) such that if you forget a mnemonic somebody can remind you it (trusted party).
2. Privacy Selective Disclousure for those you give permission (Midnight building it).
3. Robo investors, take money set risk and earn me yield on it (including taking risk on the technical failures) with e.g. min yield). Claude Code AI agents could help but we need this to be in wallets, like
@BeginWallet tried to do / is doing.
4. Tax help, banks in many countries actually help you with tax collection automatically deducting, in crypto you have to mess around with software yourself / classify transactions but this is not needed if you only stay in stables / no yield but then you can as well stay in your bank (if you have one).
5. Wallets with 2 factor authentication some Zk login, maybe even extra confirmation baked into chain itself (I believe MultiverseX had great ideas there).
6. Uncollateralized loans DeFi Kernel in case of Cardano
7. Quantum cryptography to calm people down
Only if you give high enough of incentives in (3) can people move on chain because why else would they (at least in the west). In the developing nations, Binance Smart Chain Tron probably takes it all and it is all about accessibility to stable coin. If you have a stable coin that is loosing 25% every year, you prefer to replace it with stable coin that looses only 7% per year (USD). (Source: 7% is taken from interviews with
@LynAldenContact)
Especially (1) is controversial but I believe people are afraid to forget mneomonics.
#Cardano
I cannot support allocating around 14 million ADA to events to be clear and transparent early on.
This comes from the treasury and in practice creates sell pressure that impacts ADA holders, including those I represent. I do not see a clear return or lasting value to justify it.
If you disagree, you should move your delegation. If you share this view, I welcome your support in delegating to me as a DRep.
Thank you for the continued support. š
drep1ygsgfhcydhlfglamhzkjn97rz3edef8a4z99fwl2frcwnrcmgurt3