From the perspective of the Ponzi three-plate theory, MEME coin rises

Original Author: CaptainZ (X: @hiCaptainZ)

Based on this theory, this paper explores the reasons for the three-Bull Market disc theory: encryption MEME coin is a mutual aid market, Decentralized Finance is a Dividend market, and ICO is a split market.

What is the three-disc theory

Encryption Vedic believes that one of the greatest values of Crypto is the democratization and tradability of Ponzi for the first time.

Everyone can send it, and they can trade plates. External factors aside, each round of Crypto Bull Market is driven by Ponzi's fundamental innovation to study Ponzi, and you can find megatrend level alpha in the market according to the firstness required for Ponzi innovation.

Although Ponzi is dazzling, in the final analysis there are only three models: Dividend Plate, Mutual Aid Plate, and Split Plate. Everything Ponzi is a combination of these three models. Based on this logical analysis method, he called it the "three-disc model". The three sets can appear separately or combined, each with its own advantages and disadvantages, corresponding to the corresponding logic.

• Dividend: Invest a lump sum of money at one time and obtain income from linear dividends over time;

• Mutual aid disk: A pays B, B calls C, and C calls A, thus forming a flow mismatch, and Settlement income by transaction;

• Splitting Order: Splitting an asset into new targets over time. Attract incremental capital with new low-priced targets. The income is realized through the appreciation of the underlying value;

In terms of logical design, the characteristics of the three disks are as follows:

MEME IS A MUTUAL AID DISC

The core of the traditional mutual aid market lies in the mismatch of funds. This model usually involves longing participants transferring money to each other in order, forming a capital cycle. Generally speaking, a user will receive more money from the next house than he will long to the money he gave to the previous home, so as to earn more long money than their original investment. The project team generally earns returns through the commission of each transfer.

This Ponzi model is the most decentralization of the three models, because once the rules are made, there is no need for the "manager" to intervene, because pumping is essentially tax extraction.

The traditional mutual aid disk is a mismatch of funds on an shorter scale, so it does not need to form a pool of funds, and most of them cannot freely enter and exit funds, but it must promise high returns. So why is it said that MEME coin is a mutual aid plate?

We generally believe that MEME coin have two most important attributes:

Fair Launch: Everyone can participate (everyone can help each other);

Full Circulation: No need for the project party to reserve;

The so-called "cultural attributes" and "extraordinarily large amounts" are not necessary.

MEME coin is actually a mismatch of funds on a time scale. Let's assume that in a certain Bull Market context, a certain MEME coin has been pump strongly, then in fact, the one who bought coin at a high price today paid the coin yesterday, and the one who bought coin yesterday paid the coin at the lowest price the day before yesterday. And because of the uniqueness of time itself, it has formed a "passive lock-up position" (people cannot always step into the same river). So we have the following comparison:

Decentralized Finance is a Dividend Disc

Decentralized Finance is the core narrative of the last round of Bull Market (2020), which is technically about writing financial rules into smart contracts (Blockchain a way to combine technology with a certain field), and in tokenomics, distributing protocol Token in a Liquidity Mining way: depositing money protocol getting tokens.

For example, the two most important aspects of the financial sector are trading and lending, and then there are Uniswap and Compound. In Uniswap, users deposit Token A and Token B into a trading pair LP pool to earn income. In Compound, users need to deposit borrowed tokens into the pool to earn income. Most of the earnings are protocol Token, and a small amount is real money (stablecoin).

Decentralized Finance is a typical Dividend Order, because the basic logic of the Dividend Order is "invest a whole amount of money at one time, and get income with linear Dividends over time", is it exactly the same as the above approach? We also have the following comparison:

ICOs are splits

ICO is the core narrative of the last Bull Market (2017), and its approximate gameplay is that an idea in any field is written into a white paper, and then financed to issue tokens, so that most people mistakenly believe that the only application scenario of Blockchain is "issuing coins" (another way of combining Blockchain technology and a certain field). So in that cycle, there were longer strange tokens, such as "doing environmental protection and issuing coins", "doing computers issuing coins", "doing charity issuing coins", and so on.

As we know, a splitting order is the continuous splitting of an asset target into new ones. Attract incremental capital with new low-priced targets. If we look at the Crypto Assets track at that time as a capital disk, the emergence of various ICOs is to divide the Crypto Assets asset target into new investment targets (new ICO Tokens) through "new stories" to attract incremental funds. So we still have the comparison chart:

The crypto world is the disk circle

If we ignore the specific evolution of technology, it seems that the past decade has indeed represented the evolution of the Ponzi model from a tokenomics perspective, and even we can think of Bitcoin Mining as a kind of Dividend (stake Mining Rig generating BTC benefits).

Is that the order of evolution is: Dividend (BTC Mining) - Split (ICO) - Dividend (Decentralized Finance) - Mutual Aid (MEME)?At the same time, the project is becoming more and more Decentralization.

On the other hand, if you look at MEME as a track, the emergence of more and more long MEME coin is actually the embodiment of split disks, so it can be considered that MEME is a combination of (mutual aid disk + split disk).

Mutual aid orders may be the real answer to the "mutual dumb buying" of this round of Bull Market (Restaking is a Dividend Order, DePin is a Dividend Order, Layer 2 is a Split Order, obviously retail investors only want to play Mutual Aid in this Bull Market).

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