Many things in Web3 are actually understood by everyone, but no one is willing to say it out loud:
The token economics of most projects are basically disconnected from what they actually do.
Take various DEX tokens for example, you might think that a large trading volume means the token should rise, but the money the protocol makes has nothing to do with your tokens; the tokens in your hand are at most just a "voting right," merely making a sound.
Even the recent news about Uniswap proposing to buy back UNI with transaction fees shows how absurd this situation really is.
Why have AI tokens gained some popularity in this round?
Because they are trying to genuinely bind the tokens to the projects themselves.
Some use revenue for buybacks, while others require holding tokens to use the services.
The direction is good, but the problems are also obvious:
Are there hard constraints? Who will supervise? What if the team changes the rules?
Most projects are vague on these key points, it's not that they don't understand, but intentionally not being clear; if they are clear, how can they leave themselves a way out?
So for selecting altcoin spots next, it's advisable to look at three concrete standards:
First, tiered token holding.
The more tokens you hold, the higher the level of service permissions you can access, not just for governance voting.
Second, the project is making money.
If real money is being used to buy back tokens, it means the team is putting skin in the game.
Third, directly use all income for destruction, following a deflationary route.
The team can earn less or even nothing, allowing users to see the token price rise while using the service.
Meeting two of these three criteria would be best; if the project is particularly excellent, one criteria can also be considered. Of course, you need to research what the current situation of the token you are optimistic about is.
The trading path is long; choosing tokens cannot just be about stories; you need to see if they are truly willing to bind their interests with yours.
