🆘 Around five months ago, we were approached by a project who wanted to redesign the economic model for their launched token. They wanted a more sustainable approach because too many tokens were being rewarded to users.

They loved our knowledge and offer, but ultimately opted for a more expensive, "traditional top 4 consultancy," in this case Ernst & Young, with the reason that the big name would allow them to deflect any risk associated with the changes.


➡️ Fast forward to today: the project CEO has been interrogated by Coffeezilla, exposing the changes and EY's report.

Long story short, Plutus started promising much higher staking rewards instead - e.g. deposit 50,000 PLU, and after 5 years you will have 215,000 PLU. How does this make sense?

Well, EY calculated that the token is actually worth $10.25, instead of the current $1.90, so all these extra rewards are "self-sustainable". How did they arrive at that conclusion?

"EY simplified their calculations by assuming that 100% of reward emissions are stacked, no PLU is redeemed, and no PLU is withdrawn."


➡️ So, to summarise, Plutus went to EY instead of crypto-native token economists, and EY recommended to build a bigger pyramid scheme by assuming 0 sell pressure and subsequently proposing that Plutus prevent people from withdrawing their rewards.


The lesson? Industry native expertise is indispensable.

For actually sustainable economy designs, reality-based modelling, and general token advisory, feel free to reach out to us: @Alex_Simplicity, @Daniel_Simplicity, @Yoaquim_Simplicity.

🌎 Crypto Currency Exchanges: A Real Look at Market Depth

We examined over 16,000 data points to assess the market depth of 35 leading cryptocurrencies on centralised exchanges: Binance, ByBit, OKX, KuCoin, Coinbase, Bitget, and MEXC.

There's a consensus that bigger exchanges have deeper order books, but is that true? We analysed the API data to find out.

Report: https://www.simplicitygroup.xyz/blog/top-crypto-exchange-depth-report

🐻Comprehensive Overview of the Berachain Ecosystem

This report explores the various components of the Berachain ecosystem, covering its technical framework: Proof-of-Liquidity (PoL), the BeaconKit consensus layer, and its innovative three-token economy.

It also spotlights 50 of the ecosystem's standout projects that are shaping the future of decentralized finance and web3.

🌍Full report: https://docsend.com/view/vse3sjib644qypg7

P.S. If you're in Devcon, find us for a hard copy.

🐻 Full report: https://docsend.com/view/vse3sjib644qypg7