Foresight Ventures: Cooking a Feast for the Crowds

Author: Mike, Foresight Ventures

I. Dining Rules

You may find that assets drive the wild growth of Web3, filled with various asset standards for user trading, to the extent that it can be said that most Web3 applications are born from them.

The most common is the token standard.

For example, ERC-20 allows everyone to issue various types of tokens, which can have various narratives and utilities, such as equity, bonds, playing DeFi, DAO governance, etc. These tokens can also be traded following the AMM curve to complete speculative activities.

Or ERC-721, which allows everyone to issue NFTs. The value carried by NFTs is what is commonly referred to as consensus, speculative hype, and undeveloped utility.

Another example is friend.tech, where each user is a Ponzi scheme based on keys, trading according to a bonding curve. This includes the recently popular ordinals ecosystem, BRC-20, various inscriptions, and various gold mining games using Web3 game engines… On the surface, they provide new utilities, but essentially they are just new asset standards with different carriers.

It's like a person designing a casino game, with rules set by him. He can open his own casino, and others can open their own casinos by following his rules. He can provide these rules as public goods for free to other casinos, such as the ERC-20 and ERC-721 standards. He can also take a cut, like how Opensea takes various series of NFT trading fees, or Uniswap charges transaction and liquidity pool protocol fees.

We don't trust people, we trust code.

The advantage of Web3 over Web2 is that once a model is conceived, the permissionless nature of blockchain allows the model to be quickly deployed to the market in the form of smart contracts, validated by market feedback, while the transparency of smart contracts enables participants to discern risks themselves. Issuing assets is often a simple pump and dump, but sometimes it is also a way to quickly get products up and running, with cycles of launch, expansion, bubble, and convergence that can be greatly shortened. Many project teams have quickly completed cold starts by controlling the market and using highly attractive models, attracting a large number of users and liquidity, while building infrastructure and networks. Filecoin and Polkadot are classic examples.

Degens are like crows, smart and greedy, attracted by assets, feeding on assets, and fighting over assets. The Web3 world is like a feast prepared for crows, where projects are like dishes made of various ingredients. Smart and strong crows can feast, while dull and weak crows may be defeated in the scramble for food and starve, or may eat poisonous dishes (like rug pulls) and fall into danger. Project teams play the role of chefs, creating projects through asset standards to manipulate the crows to achieve their own goals.

II. Using Narrative/Utility as Cooking Tools

We humans are not born to understand the world through facts and numbers, but through narratives.

Narrative refers to the stories and information conveyed through language, text, visuals, or other forms. It is a way of expression used to describe events, experiences, or concepts, aimed at conveying specific information, viewpoints, or values to the audience. BTC is a very compelling narrative: decentralized digital gold, an alternative for payments and transfers, financial inclusion, a tool for resisting the system. BTC has the potential to change the modern financial system, and the breadth and depth of this narrative's impact are enormous. AI, the BTC ecosystem, modularization, etc., are currently popular narratives in Web3. While we seek opportunities in these popular narratives, we also look for non-consensus narratives, as non-consensus Alpha often yields greater returns than consensus.

Narratives are the carriers of assets, like a pot that determines the upper limit of value. As long as the logic cannot be falsified, a sufficiently attractive narrative can theoretically make the market's cake very large. Just like buying incense at a temple or seeking a shaman to bring good luck, people will pay for some unproven visions. It is not only a way for projects to convey their vision, values, and goals but also an important means to attract and maintain the interest of the community, investors, and users. The following explores the importance of narrative in establishing assets from several dimensions:

1. Influencing Participant Emotions

• Emotion-driven: In a funding scheme, participants' emotions are a significant factor. An engaging narrative can evoke excitement, confidence, or fear, thereby influencing participants' behavior.
• Attractiveness of the Story: Humans are naturally drawn to stories. A good narrative can make complex concepts easier to understand and more appealing, which is especially important for attracting participants.

2. Facilitating Understanding and Dissemination

• Simplifying Complexity: Web3 gameplay and strategies are often complex and difficult to understand. An effective narrative can simplify complex information into easy-to-understand stories, helping participants quickly grasp key information.
• Enhancing Dissemination: A compelling story is easier for people to remember and share. In the age of social media and the internet, the speed and reach of story dissemination can greatly influence the popularity and attractiveness of a funding scheme.

3. Building Trust and Brand

• Building Trust: Through narrative, a funding scheme can create a sense of trust. Historical data, success stories, or the vision of leaders in the story can enhance participants' trust.
• Brand Identity: Stories help funding schemes establish a unique brand identity. This not only attracts participants but also helps stand out in a competitive market.

4. Influencing Market Expectations

• Market Dynamics: Markets are driven not only by data and facts but also by expectations and forecasts. A strong narrative can shape market expectations, thereby influencing capital flows and prices.
• Self-fulfilling Prophecy: In some cases, a strong narrative can even lead to a self-fulfilling prophecy, where the market acts based on belief in a certain narrative, making that narrative a reality.

III. Using the Market as Fuel

Stand on the windward side, and even pigs can fly.

A sufficiently large flame is needed to quickly cook delicious dishes; if the flame is too small, the dishes may be undercooked, or the feast may end before the dishes are ready.

Narratives and markets need to match in time and space. The key to choosing a market is to meet the needs of existing potential participants: how many people are willing to participate, who the participants are, how much capital is involved, and how the product meets their needs. Their participation can, in turn, bring what to the project.

Product-Market Fit is the key to project success; it not only determines whether a product can survive in the market but also serves as the foundation for sustainable growth and development:

1. Demand Confirmation: Product-Market Fit ensures that your product or service meets actual market needs. If the product does not match market demand, it may fail even if the product itself is of high quality.
2. User Retention and Word of Mouth: When a product closely aligns with market demand, user satisfaction is higher, leading to a greater likelihood of word-of-mouth promotion. Satisfied users are the best marketers.
3. More Effective Marketing: Having product-market fit makes marketing efforts more efficient, as you target consumers who are most likely to benefit from your product.
4. Foundation for Growth and Expansion: Product-Market Fit is the foundation for sustainable growth. Only when the product fits the market can project teams effectively expand and grow.
5. Resource Optimization: Understanding market demand helps businesses allocate resources better, avoiding wasting time and money on features that do not meet market needs.
6. Competitive Advantage: In a competitive market, products that can accurately meet consumer needs are more likely to gain a competitive edge.
7. Risk Reduction: Understanding and meeting market demand can reduce the risk of business failure. Product-market fit means the product is accepted by the market, reducing uncertainty when launching new products.
8. Attracting Investment: For startups seeking funding, being able to demonstrate that they have achieved or are close to achieving product-market fit greatly increases their chances of attracting investors.

In the Web3 space, a well-demonstrated example of product-market fit (PMF) is the well-known Uniswap:

1. Addressing the Need for Decentralized Trading: Uniswap created a decentralized trading platform that allows users to exchange cryptocurrencies directly with each other without traditional intermediaries like banks or exchanges, and it also allows for permissionless asset issuance.
2. Simplifying the Trading Process: Uniswap uses a model called Automated Market Maker (AMM) to simplify the trading process. Users do not need to match trades with specific buyers or sellers but interact directly with smart contracts, improving efficiency.
3. Providing Liquidity Incentives: Uniswap encourages users to lock their assets on the platform to provide liquidity and rewards them through a share of transaction fees. This mechanism attracts a large number of liquidity providers, providing liquidity for newly issued tokens (土狗).
4. Trustless Environment: Based on blockchain, Uniswap allows users to trade without having to trust each other or third-party intermediaries, reducing trading risks.
5. Promoting the Development of the DeFi Ecosystem: The emergence of Uniswap has promoted the development of the entire decentralized finance ecosystem, providing a foundation for the growth of other DeFi projects and services.

IV. Using Desire as Ingredients

Now that we have the pot and the fire, it's time to add our ingredients.

The Seven Deadly Sins are a group of particularly serious sins in Christian tradition, originating from early Christian reflections and teachings on human behavior. The concept of the Seven Deadly Sins was initially formed by early Christian thinkers, particularly Evagrius of Pontus in the 4th century, who listed eight major human vices known as the "Eight Evil Thoughts." In the 6th century, Pope Gregory I modified and condensed this list to seven, forming what is now known as the "Seven Deadly Sins." The established Seven Deadly Sins include pride, envy, wrath, sloth, greed, gluttony, and lust. These sins are considered the root of other evils. The Seven Deadly Sins hold an important place in Christian moral and spiritual teachings, used to instruct believers to recognize and avoid these vices to promote the health and redemption of the soul.

Avoid? No, we want to leverage people's desires. The password to wealth is clearly written in ancient scrolls. The essence of business is to discover or create demand and meet that demand; demand is hidden behind desire. Often, a good business will ultimately lead to two outcomes, or both outcomes existing simultaneously: amplifying or satisfying users' desires.

The winds of narrative and market may change over time, but in the thousands of years of human civilization and technological advancement, having experienced countless cycles, desire remains unchanged. Smart people often manipulate groups through the laws of human nature, satisfying the needs of the group and integrating them into their own systems to achieve their goals. Below are some mechanisms (business models) and examples that can attract flocks of crows, regardless of whether they are Web2 or Web3; they all play the role of ingredients that stimulate the appetite of the crows. However, under the permissionless conditions of Web3, their composability and deployment efficiency have been enhanced, opening up more possibilities.

4.1 Providing Trading Markets

The existence of trading implies speculative attributes, with the possibility of buying low and selling high. Uncertainty and high return potential together constitute the vision of quick wealth, attracting people to pursue immediate and significant wealth growth. Liquidity and volatility are particularly important in trading; in a casino, every chip transfer means the house takes a cut. The reason why the fundamentals of tokens are often considered better than NFTs is largely because tokens have better liquidity; tokens can be divided into countless parts, allowing everyone to participate regardless of capital size, making trading more flexible. In contrast, NFTs are mostly traded as single units; even if an NFT can be fragmented into many parts, they collectively correspond to only one value, making the trading threshold higher and flexibility lower. Volatility means the potential for high profits, providing a sense of excitement and instant gratification.

Successful trades bring not only financial returns but also psychological satisfaction from victory and achievement. Even if luck plays a larger role, successful trades are often seen as a reflection of intelligence, analytical ability, and predictive skill.

Keywords: Greed, Pride

4.2 Endorsements

Gaining endorsements from top investment institutions or KOLs can also stimulate followers' desire to participate; conversely, these investment institutions or KOLs can use their authority and influence to exploit them. DYOR:

1. Trust and Credibility

• Brand Trust: Large institutions usually have a good reputation and brand recognition, adding trust and credibility to their recommendations or endorsements.
• Professional Recognition: Large institutions are seen as experts and authorities in the market, and their decisions are often considered well thought out and based on sufficient information.

2. Sense of Security and Risk Reduction

• Reducing Perceived Risk: Followers often believe that if a project or asset has the support of large institutions, the risk of investing in that project or asset may be lower.
• Following Professionals: Followers tend to mimic the behavior of investors they perceive as more knowledgeable and experienced.

3. Social Proof and Herd Mentality

• Social Recognition: Investment decisions by large institutions are seen as social proof, implying "if these professional and successful institutions are investing, it must be a good opportunity."
• Group Dynamics: Humans have a natural tendency to conform, especially when faced with complex decisions, leaning towards the choices of the majority.

4. Market Influence

• Market Leadership: Investment behavior of large institutions often has a market-leading effect, influencing the overall trend in a particular field or asset.
• Demonstration Effect: The decisions of these institutions may initiate a demonstration effect, attracting more investors to follow.

Keywords: Laziness

4.3 Market Control

Market control refers to the behavior of manipulating asset prices and trading volumes through a series of means and strategies. News, pump and dump, market making, and using price increases to attract people all refer to market control. Here are several key reasons why market control attracts participants:

1. Temptation of Quick Profits

• Promises of High Returns: Market control activities are often accompanied by rapid price increases, creating the illusion of quick and high returns for retail investors.
• Greed: Humans have a natural tendency to pursue wealth growth, especially when it seems easily attainable.

2. Fear of Missing Out (FOMO)

• Herd Mentality: When seeing others seemingly making huge profits in a short time, retail investors often fear missing out on similar opportunities.
• Social Proof: The investment behavior of others is seen as "proof," suggesting the correctness of the investment decision.

3. Market Sentiment and Group Behavior

• Market Frenzy: During market booms or bubbles, retail investors are easily attracted by widespread optimism.
• Herd Mentality: People tend to mimic the behavior of the majority around them, especially in situations of information asymmetry.

A common example is the well-known pump and dump:

1. Pump:

• Creating Phenomena: Investors or groups artificially hype an asset (usually with low liquidity) through various means (news, statements, social media, community calls), creating the illusion that the asset is about to rise, or making early participants wealthy to create a wealth effect that attracts newcomers.
• Raising Prices: This hype attracts the attention and interest of other investors, leading them to buy the asset. As demand increases, the asset price rises.

1. Dump:

• Selling at High Prices: When the asset price reaches a relatively high level, the initial promoters sell their holdings at high prices.
• Price Collapse: With a large volume of selling, the asset price begins to plummet, leaving later investors facing losses, especially those who bought at high prices.

Whether for raising prices to profit or to gain attention, or to quickly attract participants to provide liquidity or build infrastructure, market control is an effective method to achieve one's goals through user behavior.

Keywords: Greed, Pride

4.4 Incentives

Incentives are the most direct way to attract users: airdrops, referral bonuses, interest earnings, mining rewards, and discounts after reaching trading volume thresholds are all low-risk and clearly rewarding methods. All these incentive methods provide clear value propositions, allowing users to see potential benefits directly. Incentives increase user participation in the platform or project, promoting growth and expanding the user base. As more users participate, the platform or project itself gains value, further attracting more users. Essentially, it is all about mismatching spot and futures.

These incentives are often closely related to user participation, and there may also be some exit penalty mechanisms to establish users' sunk costs, binding users to the project.

Tip: Immediate and short-term incentives have a strong addictive nature, which is what we know as "instant gratification."

1. Airdrops

• Low Risk: Users usually do not need to invest funds or only need to hold specific assets to have the chance to receive free tokens or assets.
• Direct Returns: Airdrops provide direct financial incentives, allowing users to immediately receive valuable tokens.

2. Referral Bonuses

• Network Effects: Existing users can earn a certain rebate or reward by inviting new users, leveraging network effects to encourage users to promote products or services.
• Win-Win Situation: Both the inviter and the invitee often benefit, creating a win-win dynamic.

3. Interest Earnings

• Passive Income: By staking or investing in specific assets, users can earn passive income, such as interest or other forms of returns.
• Relatively Low Risk: Compared to direct trading markets, earning income through interest is generally seen as a lower-risk strategy.

4. Discounts After Trading Volume Thresholds

• Encouraging Active Trading: Offering discounts when users' trading volumes reach certain thresholds incentivizes users to trade more frequently.
• Increasing User Stickiness: Discounts attract users to continue trading on the same platform, enhancing user loyalty to the platform.

5. Mining Rewards

• Accelerating Construction: Whether liquidity mining or node mining, token incentives attract people to participate, accelerating the construction of liquidity and node networks.
• Value Binding: Mining activities often come with staking and slashing mechanisms, binding the interests of nodes to the value of the network. The exit or wrongdoing of nodes incurs economic losses, maintaining the network's secure and stable operation. Bitcoin's 51% attack and Optimistic's fraud proof are good examples: if a node wants to act maliciously, its costs often far exceed its gains.

The recent Blast airdrop directly attracted a large amount of liquidity, gaining over 800 million in liquidity in just a few weeks. The logic is very simple and crude: throwing cash in participants' faces while inviting points create a Ponzi-like network effect. Although cross-chain with L1 increases risk exposure, participants care about whether this model can make them profit, and these security issues are minimized in the face of abundant cash, leading to a continuous influx of participants.

Keywords: Gluttony

4.5 Leverage

Leverage can amplify gambling tendencies, significantly increasing investment risks and potential returns, thereby intensifying gambling-like psychological and behavioral patterns:

1. Increased Potential Returns

• Amplifying Profits: Leverage allows investors to control larger investments with less capital, thus amplifying potential profits.
• Attractiveness: This amplification effect attracts investors seeking quick, high returns, similar to the pursuit of big winners in gambling.

2. Increased Risks

• Amplifying Losses: Leverage not only amplifies profits but also losses. Even slight adverse market movements can lead to significant financial losses.
• Pressure and Impulsive Decisions: Facing higher risks, investors may experience more pressure and make impulsive, irrational decisions.

3. Psychological Impact

• Overconfidence: Using leverage may lead investors to become overconfident, mistakenly believing they can control market risks.
• Chasing Losses: After incurring losses, investors may increase leverage in an attempt to quickly recover.

4. Invisible "Bets"

• Intangible Funds: Unlike physical casinos, funds in the crypto market are digital and intangible, which may lead investors to underestimate their actual investments and risks.

5. Accessibility and Convenience

• Ease of Use: Many Web3 products make using leverage very easy, similar to the widespread accessibility of gambling.

Perpetual contracts with 100x leverage, Rollbit's 1000x leverage, and Rari Capital's DeFi lending all attract a large number of users through high leverage stimulation, becoming indispensable attractions of these projects.

Keywords: Greed

4.6 Lotteries

Lottery mechanisms are also amplifiers of gambling, stimulating and leveraging people's strong reactions to random rewards, just like buying incense at a temple or people paying for wishes:

1. Uncertainty and Incentives

• Incentive Effect: The incentive effect brought by uncertainty is very powerful. The randomness and potential grand prizes in lotteries excite people and create anticipation.
• Dopamine Release: When participating in a lottery and anticipating possible victories, the human brain releases dopamine, a neurotransmitter associated with pleasure and reward.

2. Imbalance of Risk and Reward

• Temptation of High Returns: Even if the chances of winning are low, the enormous potential rewards can attract people to participate, ignoring the actual risks.
• Underestimating Costs: Participants often underestimate the actual costs of small investments when accumulated over time.

3. Chasing Losses

• Chasing Big Prizes: Participants may continue to invest, hoping to eventually win the grand prize, similar to the "chasing losses" mentality in gambling.
• Sunk Cost Fallacy: Long-term participants may continue to engage due to the time and money already invested, hoping to break even or profit.

4. Illusion of Control

• False Sense of Control: Participants may mistakenly believe they can improve their chances of winning through certain strategies or intuitions.
• Pattern Recognition Tendency: People tend to look for patterns or rules in random events, even when these patterns do not exist.

Pooltogether is a well-known lottery project in Web3 that allows users to deposit funds into a common prize pool to earn interest. These interests are then used as prizes, distributed to randomly selected participants through regular drawings. All users' principal remains safe; even if they do not win the prize, they do not lose their deposits. This mechanism combines the security of savings with the excitement of a lottery, providing a no-risk opportunity to earn additional returns.

Keywords: Greed

4.7 Flywheel (3,3)

The Ponzi schemes we are familiar with have a simple logic: the investments of later participants fill the profits of early participants, while also carrying a network multiplication effect.

Projects like Olympus DAO and Anchor Protocol can attract a large number of participants, even though they are criticized by some as resembling Ponzi schemes, because they combine innovative financial mechanisms, promises of high returns, and widespread interest in decentralized finance (DeFi). Here are several main reasons why these projects are attractive:

1. Promises of High Returns

• Attractiveness: These projects often promise returns higher than traditional financial markets, which is highly attractive to investors seeking high yields.
• Yield Farming: Participants can earn seemingly substantial interest or token rewards through staking, lending, or other means.

2. Innovative Financial Mechanisms

• Unique Models: These projects typically operate based on unique and complex financial models, such as algorithmic stablecoins, liquidity mining, bonds, etc., attracting those interested in financial innovation.
• Technological Appeal: Interest in blockchain and decentralized finance technology is also an important factor attracting participants.

Keywords: Greed

4.8 Agents

The crypto world is like a gold mine, with countless treasures waiting to be unearthed, but the complex mechanisms and operations make the mining process fraught with difficulties.

Human nature is inherently lazy, which gives rise to shovels. The market has various types of shovels, including wooden shovels, iron shovels, stainless steel shovels, and excavators. Efficiency, cost, and application scenarios vary, and what users want is simply to maximize returns with minimal costs: maximizing returns with a certain level of risk or minimizing risks within a certain return expectation. Each time a shovel is used, it is a bet, and the shovel itself can profit through commissions or revenue sharing from the bets. There are two types of agency methods: one provides various betting strategies for users to choose based on their preferences, such as copy trading and liquidity mining pool aggregators, while the other directly helps users manage resources.

For example, a recently popular project, Clore.ai, has a very convenient mechanism for miners, helping them find the highest yield mines in the network to mine. When there is a specific demand for computing power services, it completes the network allocation tasks; when there is no demand for computing power services, the network finds the cryptocurrency with the highest mining yield at that time to participate in mining. This way, GPU miners can simply throw their mining machines into the network, automatically maximizing their returns.

Various trading bots, ERC-4337, intent-centered applications, and AI agents are all such shovels; they help users skip complicated steps and achieve their goals quickly and efficiently, which is the key to enhancing user experience (UX).

Would you prefer to be given a mine directly, or would you rather be given a mine after being provided with a shovel and having the sales channels set up, along with a fully automated assembly line? Which one would you choose?

Keywords: Laziness

4.9 Arbitrage

Although arbitrage sounds like a game for speculators, the existence of arbitrage mechanisms can sometimes be a way to ensure system health. Arbitraging the same asset across different trading markets can stabilize asset prices between each market, bringing the purchasing cost closer to the actual market price, thus reducing user risk. If a project wants to anchor a certain asset, establishing price difference arbitrage is a good method. Taking perpetual contracts and Luna/UST's algorithmic stability as examples:

Perpetual Contracts

When the price of a perpetual contract is higher than the spot price (i.e., the contract is overvalued), the long position pays funding fees to the short position; conversely, the short position pays the long position. The funding rate is usually adjusted every certain period (e.g., every 8 hours). The adjustment of the funding rate reflects the market's expectations and sentiments regarding the future price of the asset. Through this payment mechanism, traders are incentivized to trade in a direction that brings the price of the perpetual contract closer to the spot market price, helping the market self-regulate so that the price of perpetual contracts does not deviate significantly from the spot price over time.

Luna/UST

Basic Concepts

• UST: TerraUSD (UST) is an algorithmic stablecoin designed to maintain a 1:1 value with the US dollar.
• Luna: Luna is the native token of the Terra ecosystem, used for governance and maintaining the stablecoin system.

Anchoring Mechanism

• Algorithmic Adjustment: When the market value of UST deviates from the 1:1 ratio with the US dollar, the system uses an algorithmic adjustment mechanism to restore balance.
• Two-way Conversion: Users can freely convert UST and Luna at a fixed value of 1 US dollar.

Price Stabilization Operations

1. When UST > $1:

• Mechanism: Users are incentivized to mint UST with Luna at a value of 1 US dollar because the market value of UST exceeds 1 US dollar.
• Result: This increases the supply of UST, thereby lowering its market price.

1. When UST < $1:

• Mechanism: Users can buy UST at a price below 1 US dollar and convert it into Luna at a value of 1 US dollar.
• Result: This reduces the circulation of UST, thereby increasing its market price.

Arbitrageurs, while seeking profits, unknowingly become tools for project teams. While maximizing risk-free returns, arbitrageurs engage in market games, which in turn maintain market stability. MEV is another interesting example in the crypto world.

Keywords: Greed

4.10 Competition and Game Theory

Let users engage in games, hype, and allow the funding scheme to naturally expand.

Commonly referred to as "involution," the establishment of wins, losses, ranks, and standings leads people in the same scenario to compete with each other. Those at the top want to maintain their positions, while those at the bottom want to kick out those above them to climb up, inadvertently achieving the goals of the rule makers.

There are many examples in Web2; many games have ladder rankings or tier rankings, and many players often spend heavily to increase their strength or continuously play to improve their ranks. The money spent on these purchases unknowingly flows into the pockets of game companies, contributing to loyal activity and game time while players compete day and night.

Douyin has a PK reward feature where two bloggers compete to see who can receive more rewards within a limited time. Each blogger hopes their reward count surpasses the other, prompting them to do their utmost to encourage their fans to reward them. Fans also hope their favorite blogger wins. Typically, the reward activity becomes very frequent before the time limit, and without Douyin's own promotion, the reward amount is naturally driven up by the bloggers and fans, with a significant portion of the rewards becoming Douyin's profit.

There is a project called Alpha Club that employs a similar logic:

A successful KOL, wishing to share the password to wealth, decides to hold a space. The information is valuable, and the space is limited, so there is a price. How is the price determined? By using a bonding curve, incrementally increasing.

With limited space, what happens when it fills up? They use Sliding Bids, where later participants pay higher prices according to the bonding curve to the first person currently seated, and so on.

Early participants automatically profit, while later participants continuously increase in value. Everyone becomes part of the market liquidity itself.

Users have two motivations to participate in the bidding: one is the demand for alpha information and knowledge, and the other is the demand for speculation. Serious crypto investors and speculative degens become participants in market pricing under such pricing models. The slogan of Alpha Club: You either earn or learn, is a true reflection of the first principles of the market.

Keywords: Envy

V. Conclusion

Under desire, various gameplay can be invented. By combining these models and extending them to different narratives and market scenarios, countless funding scheme models can be born. When a sufficiently profound narrative, a matching market, and an attractive model reach a mutually beneficial state, a delicious dish is born. It does not necessarily require strict supply-demand matching and application scenarios; the crows will come uninvited.

Human nature drives prices, and prices revert to value— the game between consumers and speculators constitutes the essence of the economic world. In product mechanisms, we may glimpse the truths of games, prices, and markets.

In the chaotic and orderly Web3, we are all chefs, and we are all crows.

P.S. Thanks to Forest Bai for the suggestions and guidance on this article.