Venture capital firm a16z has identified arcade tokens as an undervalued asset class within the Web3 ecosystem. Unlike speculative tokens, arcade tokens function similarly to points or game tokens, primarily used for consumption. Their blockchain integration offers composability, portability, and open usage advantages. Issuers can dynamically adjust supply and pricing to incentivize users, drive growth, and create network effects. These tokens are particularly suited for application-based projects due to their stable value and flexible control, positioning them as a fundamental yet overlooked economic primitive in Web3.
a16z Highlights Arcade Tokens as Undervalued in Web3
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