The InfoFi ecosystem is struggling—not from lack of participation, but from a fundamental design flaw in its reward structure.
When incentives are denominated in volatile tokens, the outcome is predictable:
Pump → Hype cycle → Dump → User exodus → Drama.
This cycle repeats because contributors face inconsistent value capture. A token that's worth $10 during launch might be $2 by the time you can claim it. Uncertainty kills long-term engagement.
What if the model flipped?
Imagine stablecoin-denominated rewards: • Predictable value (USDC, USDT pegged to real purchasing power) • Transparent distribution rules (no hidden calculations) • Merit-based ranking (leaderboard determines top performers) • Targeted allocation (rewards flow to top 100–500 contributors)
Would this solve the retention crisis? Probably. When contributors know exactly what they're earning and its real value doesn't evaporate overnight, participation dynamics shift entirely. The narrative moves from speculation to sustainability.
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BlockchainBard
· 12-23 15:54
Seeing through but not saying it, but the real stablecoin model is the right path. At the moment the coin price plummets, everyone wants to smash their phones, it's better to just go for USDC.
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gaslight_gasfeez
· 12-23 15:43
The stablecoin incentive mechanism really needs to be tried; otherwise, it's just playing people for suckers.
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HappyToBeDumped
· 12-23 15:29
The idea of stablecoin incentives sounds plausible, but could it still just be a different guise for playing people for suckers?
The InfoFi ecosystem is struggling—not from lack of participation, but from a fundamental design flaw in its reward structure.
When incentives are denominated in volatile tokens, the outcome is predictable:
Pump → Hype cycle → Dump → User exodus → Drama.
This cycle repeats because contributors face inconsistent value capture. A token that's worth $10 during launch might be $2 by the time you can claim it. Uncertainty kills long-term engagement.
What if the model flipped?
Imagine stablecoin-denominated rewards:
• Predictable value (USDC, USDT pegged to real purchasing power)
• Transparent distribution rules (no hidden calculations)
• Merit-based ranking (leaderboard determines top performers)
• Targeted allocation (rewards flow to top 100–500 contributors)
Would this solve the retention crisis? Probably. When contributors know exactly what they're earning and its real value doesn't evaporate overnight, participation dynamics shift entirely. The narrative moves from speculation to sustainability.