don't buy

Staking Rewards, DPoS Viability, and Telos’ User Problem

If staking offers no rewards, doesn’t that destroy DPoS? I ask: why would anyone lock tokens then? It’s almost comical to hear the critiques aimed at Solana when they process about 83% of all crypto transactions. You can fault their architecture all you want, but right now there’s no compelling reason to build or transact on Telos. There’s zero competitive advantage.

REX isn’t the core issue, and inflation isn’t the main problem either. The real challenges are a LACK OF USERS, LACK OF LIQUIDITY, and LACK OF APPLICATION DEVELOPERS — and these are tightly connected. Address those problems or the network risks becoming irrelevant.

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AI Analysis

The core of this opinion is a critique of tokenomics and network effects: staking rewards are fundamental to DPoS models because they align incentives for validators and delegators. If those rewards v...

AI Recommendation

Prioritize restoring or redesigning staking incentives to re-align DPoS participant economics. Clear, sustainable rewards or alternative utility for staking tokens will help retain validators and dele...

Disclaimer

The AI analysis and recommendations provided are for informational purposes only. Any investment decisions should be made at your own risk. Past performance is not indicative of future results. Always conduct your own research and consider consulting with a financial advisor before making any investment decisions.

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