Look at the currency market from the perspective of the project side.

Look at the currency market from the perspective of small and medium-sized project side, and you will find that the current crypto circle is in a very absurd situation, and the underlying logic is wrong.

First, where do their profits come from?

I read some decks of project side, and the whole article is about listing, market value management, market making, and the business just casually talks about some narratives, that is, such projects and coins can still be listed to cut leeks. The airdrop is advertised, and if it is really released, it will be postponed indefinitely or simply 1-3u per account, which is even considered a lot. The income still has to be pulled from the sheep, selling coins for money.

Second, is their token economics really reasonable?

10% is used for ecological construction, and 20% is used for VC, that is, in the seed round. With this distribution situation, retail investors will definitely not make money, and even VC may not be able to make money.

The starting price announced on the exchange is not completely accurate. Add in various fees (there will be some intermediary-like institutions in the middle), and the chips obtained by VC are not very low in cost. Coupled with the long-term lock-up, many have already fallen below the line.

Compared with traditional finance, the crypto industry is still in its infancy, so no matter what trend this market takes, it will not be too unexpected.