Hi đđ» denzeâs digest is fortnightly-ish series where I curate & share the most interesting and useful crypto content Iâve consumed recently. You can also find me on Twitter (@_denze).
Todayâs digest is all about web3/crypto use cases. Weâll hear from Evan Conrad & Li Jin:
Where are all the crypto use cases?
Evan Conradâs article is a response to claims that âafter 13 years, there are still no use cases for crypto." He argues that:
1/ We shouldnât conflate the different technologies emerging within crypto
For example, at a higher level, we tend to bundle up all blockchains together but there are big differences. Bitcoin as a blockchain may have launched 13 years ago, but Ethereumâs smart contract platform only launched 7 years ago. Blockchains and smart contracts are related but different technologies. Then, when we dive deeper into the projects that are emerging, we need to realise that most have only been around for a few years. Keeping these timelines in perspective in useful.
2/ Just because a use cases isnât useful to you in particular, it doesnât mean itâs not a real use case
A good example of this is money. There are people whoâll happily accept cryptocurrencies and stablecoins as a form of payment. These tokens are also enabling the creation of decentralised financial markets. For example, lending protocols like AAVE let anyone take out a loan, so long as theyâre able to provide the necessary collateral.
3/ The purpose of blockchains is decentralisation
People tend to compare blockchains to databases because it makes it easier to understand. But that doesnât mean blockchains are actually used like databases. The value of blockchains and particularly smart contracts is that they let us cut out middlemen, and our reliance on trusted third parties.
The impact of web3 on the creator economy
This short thread from Li Jin summarise the value of crypto/web3 for creators:
in this context, creators are individuals who upload their own content online, and the creator economy is about about these individuals monetise their creations
in web2, the possibilities for creator monetisation are limiting. Creators create artificial scarcity over their content to monetise directly from their fans, sell services (e.g. courses, memberships) or rely on advertising
in web3, NFTs allow us to own digital assets, creating an opportunity for creators to monetise directly from their superfans
web3 is additive to web2, as it allows creators to leverage web2 models to reach a wider audience, while tapping into web3 tech to monetise from their biggest fans
For more on this, hereâs my deep-dive on Liâs thoughts on the role of crypto in the creator economy.