A NEW FRAMEWORK FOR IDENTIFYING MOATS IN CRYPTO MARKETS

Summary from the TLDR Crypto newsletter

This new framework for assessing defensibility in crypto markets proposes evaluating based on the question: “If I fork this app, with $50M in token subsidies, can I steal and maintain market share?” Traditional moats like liquidity and TVL may be insufficient for long-term defensibility, as they can be subsidized by well-funded competitors. True defensibility may stem from intangibles like brand, superior UX, and a team's innovation ability. Value capture is moving towards front-ends and their wallets, given their proximity to end users and access to order flow.