Fees drive blockchain & app sustainability reflecting demand & funding growth. But poor incentive structure can easily inflate the quality of the fees being generated, creating significant expenses that dilute the overall token value and price.
Fees signal utility and user demand as some of the outperforming tokens have showcased in this market like AAVE, AERO and HYPE but don’t always tell the full story.
@aave generates $24M/month in lending fees, funding its DAO & upgrades. @AerodromeFi earns $8.1M/week in swap fees, all distributed to veAERO holders. @HyperliquidX’s $587M/yr fees from perps & spot markets fund HYPE buybacks, helping to drive value and token appreciation.
But fee generation alone is not enough as incentives can be a detriment and create false sense of demand and sustainability. Celestia is a prime example of the impacts of incentives vs fee generation with over $100M in incentives this year with just $250k in fees, paired with unlocks the price has suffered dramatically. Another good example is Velodrome, although they’ve generated $6.3M in fees this year they also have payed out almost $9.0M in incentives contributing to the poor price performance.
The main takeaway is that fees are a very important metric but you can’t ignore the cost of generating those fees in the form of incentives and the market prices reflect that.
My current thesis is to invest in projects that are properly balancing value, fees, & incentives which I believe will lead them to out perform the rest of the market over the near and long term.
366
0
ardizor 🧙♂️
My Bullrun Targets 📈
• $ETH: 4x
• $SOL: 7x
• $HYPE: 10x
• $XRP: 5x
• $ONDO: 4x
• $SUI: 5x
• $ENA: 8x
• $NEAR: 10x
• $SPX: 15x
• $AERO: 20x
• $PENGU: 10x
Next 100x call drops in a few days
You’ll regret not following
11.01K
1
Émerick Mary reposted
Ignas | DeFi
Top revenue-generating protocols share value with token holders using simple tokenomics.
On a flip side, the more complex the tokenomics, the more cautious I'm about the project.
Part of this is due to me getting rekt with overly complicated Ponzi-tokenomics:
If you don't understand complex tokenomics, you are the exit liquidity.
So, less complicated is not a bad thing, although it's less exciting.
Just check $BERA with their 3-token model: The model was supposed to boost liquidity, yet without real revenue, the team is considering revamping tokenomics.
At the end of the day, if there's no value for the token, over-engineered tokenomics won't be able to maintain its price.
Revenue sharing to holders is key.
Question: Which model is your favorite?
- $HYPE does automatic buy backs
- $AAVE ad hoc: DAO votes on model (currently buy back)
- $SKY/ $MKR: Stake $SKY and get yield in stablecoins $SKY
- $veAERO: Stakers get trading fees while LPs get AERO emissions
We're at an exciting stage of experimenting with how to add value for token holders.
But while crypto is moving towards simplicity, TradFi is FOMOing into crypto via reverse mergers and strategic crypto reserves.
Seems that the top this type will come from TradFi instead of our own over-leverage.
8.94K
1
deBridge
Last week's top tokens are here 🔥
1. HYPE
2. KTA
3. AURA
4. TRUMP
5. AERO
6.93K
17
hitesh.eth
$AERO outperformed $HYPE in Past 7D.
Recent fundamental growth data:
- Dex Volume growth: +23%
- Fees growth: +27%
- Token Trading volume growth: +300%
Catalyst: Coinbase Onchain Trading Integration will drive more revenue for aerodrome.
3.73K
76
AERO price performance in USD
The current price of aerodrome is $0.59876. Over the last 24 hours, aerodrome has decreased by -1.33%. It currently has a circulating supply of 1,631,042,693 AERO and a maximum supply of 1,631,044,693 AERO, giving it a fully diluted market cap of $976.60M. The aerodrome/USD price is updated in real-time.
5m
+0.81%
1h
+2.97%
4h
+2.62%
24h
-1.33%
About Aerodrome (AERO)
Aerodrome (AERO) is a decentralized digital currency leveraging blockchain technology for secure transactions.
Why invest in Aerodrome (AERO)?
As a decentralized currency, free from government or financial institution control, Aerodrome is definitely an alternative to traditional fiat currencies. However, investing, trading or buying Aerodrome involves complexity and volatility. Thorough research and risk awareness are essential before investing.
Find out more about Aerodrome (AERO) prices and information here on OKX today.
How to buy and store AERO?
To buy and store AERO, you can purchase it on a cryptocurrency exchange or through a peer-to-peer marketplace. After buying AERO, it’s important to securely store it in a crypto wallet, which comes in two forms: hot wallets (software-based, stored on your physical devices) and cold wallets (hardware-based, stored offline).
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Number of posts mentioning a token in the last 24h. This can help gauge the level of interest surrounding this token.
Contributors
Number of individuals posting about a token in the last 24h. A higher number of contributors can suggest improved token performance.
Interactions
Sum of socially-driven online engagement in the last 24h, such as likes, comments, and reposts. High engagement levels can indicate strong interest in a token.
Sentiment
Percentage score reflecting post sentiment in the last 24h. A high percentage score correlates with positive sentiment and can indicate improved market performance.
Volume rank
Volume refers to post volume in the last 24h. A higher volume ranking reflects a token’s favored position relative to other tokens.
In the last 24 hours, there have been 812 new posts about Aerodrome, driven by 488 contributors, and total online engagement reached 132K social interactions. The sentiment score for Aerodrome currently stands at 86%. Compared to all cryptocurrencies, post volume for Aerodrome currently ranks at 2960. Keep an eye on changes to social metrics as they can be key indicators of the influence and reach of Aerodrome.
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Posts
812
Contributors
488
Interactions
132,303
Sentiment
86%
Volume rank
#2960
X
Posts
526
Interactions
57,084
Sentiment
89%
AERO FAQ
What’s the current price of Aerodrome?
The current price of 1 AERO is $0.59876, experiencing a -1.33% change in the past 24 hours.
Can I buy AERO on OKX?
No, currently AERO is unavailable on OKX. To stay updated on when AERO becomes available, sign up for notifications or follow us on social media. We’ll announce new cryptocurrency additions as soon as they’re listed.
Why does the price of AERO fluctuate?
The price of AERO fluctuates due to the global supply and demand dynamics typical of cryptocurrencies. Its short-term volatility can be attributed to significant shifts in these market forces.
How much is 1 Aerodrome worth today?
Currently, one Aerodrome is worth $0.59876. For answers and insight into Aerodrome's price action, you're in the right place. Explore the latest Aerodrome charts and trade responsibly with OKX.
What is cryptocurrency?
Cryptocurrencies, such as Aerodrome, are digital assets that operate on a public ledger called blockchains. Learn more about coins and tokens offered on OKX and their different attributes, which includes live prices and real-time charts.
When was cryptocurrency invented?
Thanks to the 2008 financial crisis, interest in decentralized finance boomed. Bitcoin offered a novel solution by being a secure digital asset on a decentralized network. Since then, many other tokens such as Aerodrome have been created as well.
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Disclaimer
The social content on this page ("Content"), including but not limited to tweets and statistics provided by LunarCrush, is sourced from third parties and provided "as is" for informational purposes only. OKX does not guarantee the quality or accuracy of the Content, and the Content does not represent the views of OKX. It is not intended to provide (i) investment advice or recommendation; (ii) an offer or solicitation to buy, sell or hold digital assets; or (iii) financial, accounting, legal or tax advice. Digital assets, including stablecoins and NFTs, involve a high degree of risk, can fluctuate greatly. The price and performance of the digital assets are not guaranteed and may change without notice. OKX does not provide investment or asset recommendations. You should carefully consider whether trading or holding digital assets is suitable for you in light of your financial condition. Please consult your legal/tax/investment professional for questions about your specific circumstances. For further details, please refer to our Terms of Use and Risk Warning. By using the third-party website ("TPW"), you accept that any use of the TPW will be subject to and governed by the terms of the TPW. Unless expressly stated in writing, OKX and its affiliates (“OKX”) are not in any way associated with the owner or operator of the TPW. You agree that OKX is not responsible or liable for any loss, damage and any other consequences arising from your use of the TPW. Please be aware that using a TPW may result in a loss or diminution of your assets. Product may not be available in all jurisdictions.
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