DAOs, which are organized around a core mission and shared treasury, often issue tokens for governance and utility purposes, and also use the tokens to incentivize user deposits, a process called liquidity mining. Critics have said that liquidity mining offers imperfect incentivization and attracts temporary “farmers” who soak up the rewards and leave when the well runs dry.
Related posts
-
Paraguay Raises Bitcoin Mining Power Fees by 14%, Companies Mull Stopping Operations
The National Power Administration of Paraguay (ANDE) has surprised cryptocurrency mining operators by raising power fees... -
Coinmetrics Report: Bitcoin Mining Faces Turbulence in Q2 2024
Bitcoin miners experienced a challenging second quarter in 2024, marked by a 7% decline in hashrate... -
Peter Thiel's Founders Fund Leads $85M Seed Investment Into Open-Source AI Platform Sentient
The round was co-led by Pantera Capital and Framework Ventures. Source Spread the love