Open source has become a cornerstone in the Web3 ecosystem, fostering transparency and trust among users. However, it also presents challenges by lowering entry barriers and increasing competition, exemplified by SushiSwap's replication of Uniswap's code. Portal Labs emphasizes that open source should serve as a foundation rather than a final goal. They advocate for strategies like establishing clear boundaries, implementing community governance, encouraging rapid iteration, and using open source to drive ecosystem growth.