QwQiao, co-founder of Alliance DAO, has identified the expense/revenue ratio as the most objective measure of a business's competitive "moat." In a recent post on the X platform, QwQiao argued that while other metrics may be considered vanity indicators, the expense/revenue ratio provides a clear picture of a company's market position. He noted that a business with a strong moat in a growing market should see continuous revenue growth. Without a moat, companies risk losing market share or engaging in price wars, leading to stagnant or declining expenses. QwQiao further explained that the absence of a moat does not equate to a lack of value. Instead, it indicates that the business is effectively delivering value to its customers rather than retaining it internally. This scenario, he suggests, is common among most businesses globally.