A Holistic View on Token Utility
new article! i distilled recent discussions with tokenomics clients into generalizable advice for token utility
the key learning is to go from looking at utilities separately (e.g. fee discount, revenue sharing) to a holistic view of value sharing
➡️ Three stages of value flow: Create → Capture → Distribute - and why token utility should live in the last stage
➡️ Why value distribution is zero-sum in the short term but can be positive-sum over time when capital is reinvested wisely
➡️ How common utility designs unintentionally dilute value received by passive token holders and what to do about it
➡️ The case for profit sharing over pure revenue sharing and how to implement it without revealing full financials
➡️ Practical frameworks to control value dilution, separate token holders from product users, and tier value sharing based on treasury health and growth milestones
