Arthur Hayes Advocates Points Over ICO and Yield Farming
BitMEX co-founder Arthur Hayes champions a points system as a superior fundraising and community engagement tool, in contrast to ICOs and yield farming, as detailed in his new essay “Points Guard.”
On this page
BitMEX co-founder Arthur Hayes champions a points system as a superior fundraising and community engagement tool, in contrast to ICOs and yield farming, as detailed in his new essay “Points Guard.”
He believes this method is safer from a regulatory standpoint, posing less risk of attracting unwanted attention from entities like the U.S. Securities and Exchange Commission, as ICOs have. Hayes criticizes yield farming for gradually increasing token supply and thereby devaluing them.
According to Hayes, a points system is a savvy marketing strategy, allowing users to earn points for project involvement or service usage, which can then be exchanged for tokens at their discretion, avoiding direct monetary rewards.
However, he cautions that the success of such programs hinges on trust between projects and users, warning against potential abuses by unscrupulous players.
The content on The Coinomist is for informational purposes only and should not be interpreted as financial advice. While we strive to provide accurate and up-to-date information, we do not guarantee the accuracy, completeness, or reliability of any content. Neither we accept liability for any errors or omissions in the information provided or for any financial losses incurred as a result of relying on this information. Actions based on this content are at your own risk. Always do your own research and consult a professional. See our Terms, Privacy Policy, and Disclaimers for more details.
Articles by this author
