Protocol 🔼 vs. Token 🔽: The Uniswap Conundrum
The Chief Investment Officer of investment firm Arca, Jeff Dorman, just dropped a truth bomb on X. Replying to Uniswap founder Hayden Adams's positive protocol stats, Dorman made a critical distinction that every
$UNI holder needs to hear.
His verdict?
"Bullish on Uniswap the protocol.Bearish on UNI the token."
Why the stark contrast? 🤔
Dorman argues that in today's regulatory climate, the UNI token is essentially "meaningless." It has no utility, no cash flow rights, and no governance power that truly impacts value accrual.
The message to the team is clear:
✅Switch to a model that shares protocol revenue with holders.
✅Or implement a buyback-and-burn mechanism with fees.
✅If not, the token serves no real purpose.
This highlights a massive trend in crypto: valuing fundamental utility over speculative assets. A great protocol doesn't automatically mean a great investment if the tokenomics are broken.
What do you think?
Is Dorman right?Should all major protocols move towards value-sharing models?
Like & Repost if this makes you rethink your UNI thesis! 👇
DYOR No Financial advice!
#Uniswap #UNI #DeFi #Crypto #Tokenomics $UNI