$SOL Solana Founder Outlines a Smarter Long-Term Growth Strategy 🚀
Solana founder Anatoly Yakovenko (Toly) recently shared an important insight on how crypto projects should think about long-term capital formation, in response to a discussion on token buybacks vs user growth incentives
Toly explained that in traditional finance, capital with a 10+ year horizon takes years to fully mature. Because of this, relying on short-term token buybacks may not be the most effective or sustainable strategy for crypto protocols.
Instead, he pointed to staking as crypto’s strongest model for long-term capital formation. Staking naturally rewards committed holders, while gradually diluting those who are unwilling to stay invested over time. This creates healthier, more aligned incentives across the ecosystem.
He further suggested that protocols could retain profits in the form of tokens that later convert into real protocol assets. By encouraging users to lock and stake tokens for a fixed period (such as one year), projects can strengthen their balance sheets while rewarding long-term participants.
Bottom line: Sustainable growth in crypto isn’t built on quick buybacks — it’s built on patience, aligned incentives, and long-term staking that compounds value over time. 📈💎
