Dubai frens, missing tomorrow’s event = automatic red flag

We see everything

In just 7 days, Tether saw a 20% jump in transactions, but Uniswap allegedly processed ~5x more

• 3.7M transactions vs. ~1.65M for Circle + Tether combined
Even if inflated, it can show that DeFi protocols are where user activity concentrates

Most crypto launchpads might look great on paper, but how are they actually doing?

All of them may be able to brag about ATH ROI, but current ROI tells a different story. Hype against reality.

Only 3 out of the 10 top launchpads are in the green over the past year

Important reminder

https://calendly.com/enquiries-simplicity/tokenomics

How much revenue should go to buybacks vs. the business itself?


For one of our clients, we break it down like this:

- Revenue from non-transaction sources stays with the company

- Up to 50% of transaction fee revenue goes to buybacks, if there’s enough income from other sources


If there’s not?

We cover the shortfall using TX fees first. Then, 50% of the remaining TX fee capital is used for buybacks.

The buyback share is calculated based on the original TX fee revenue using internal formulas.

“Stablecoins flipped Visa”. Not really


Yes, 2024 volume was higher, but much of it includes whales, MMs, and exchange flows. Not consumer payments

Infra is catching up fast, but UX and real-world use are still lacking. Still bullish, but capacity ≠ adoption

Hope you’re building sustainable tokenomics and no rugs

But wait, you haven’t called us yet


https://calendly.com/enquiries-simplicity/tokenomics

One of our clients raised $10M in equity.


The VC got:

- 33% of the company

- A token warrant for 33% of the insider allocation (the tranche reserved for VCs, team, advisors, not total supply)


The warrant gave them the option to buy those tokens for $1

not market value, just a nominal price for tax purposes. So basically free.


We modelled other options, as a bonus, too:


→ Let the VC buy those same tokens at a discount
30%, 50%, 80%, up to the project.

At 50%, the project raises an extra $5.85M → total token raise: $32.75M


→ Let them buy at full token price, but drop the token valuation to $50M instead of $90M

This bumps the token raise to $33.4M


Things we said no to:

- Giving 33% of the entire token supply because the VC got 33% equity.

- Letting the VC push token valuation down to $30M.
That kind of mismatch with listing FDV (expected $100M–$120M) breaks credibility and investor trust.


This is what professional equity + token warrant structuring looks like

Last week, our Co-Founder Alex Fatuliaj broke down how to align your token supply and emissions with user growth.

This is exactly what founders need to keep in mind when designing emissions, valuations, and broader token models.

(drop an extra reaction if that Paint presentation made things click)

BABY hasn't fully collapsed, yet. The token is down 37% from launch


The problem? Tokenomics


• 49% insider allocation (30.5% investors, 18.5% team)

• 8% inflation and unlocks = sustained sell pressure

• 18% for project development (there's governance, but for network upgrades)

Three teams tried to build their tokenomics in-house. They ended up burning $135K and months of work.

We broke down what went wrong and what we had to fix:

https://x.com/SimplicityWeb3/status/1919669145433427994

The fundamental baseline for thinking about fundraising tranches in tokenomics

* Each investor wants to buy as many tokens as possible for as cheap as possible, wants to liquidate them as quickly as possible, and wants to not have other investors liquidate their tokens first.

* You, as the project, want to make sure that each investor is happy with their tranche, that you don’t give too much allocation to investors, that the overall sell pressure doesn’t come quicker than you can handle, and that fundraise enough capital.

Only 4 L1s have outperformed BTC so far this month:

- KAS (+31%)

- SUI (+17%)

- SOL (+6%)

- AVAX (+4%)

The rest? Lagging significantly, including ETH, TRX, BNB, and TON

There are 9 data points one has to keep in mind when designing the fundraising tranches.

These are all inter-related: you change 1, you need to change the others.

JOIN NOW

Daniel Malinovski is unpacking what VCs are really looking for in 2025.

Hosted by Laura K. Inamedinova (Gate.io & Gate Ventures)

Alongside:
• Petro Yanytskyi – Monolith VC
• Maks Charyev – AlfaCatalyst
• Andrey Baral – PrimeLink
• Sergey Khusnetdinov – Gain Ventures

🔗 https://x.com/i/spaces/1dRKZYPnBmwxB

If you’re building or fundraising this year, don’t miss it.

92% of projects fail by confusing holders with users.

So how do you make people actually care about your product?


-
Worth the 4-minute read if you’re launching anything with a token:

https://www.simplicitygroup.xyz/blog/token-holders-are-not-users

Right now, we’re working on the biggest research project in the industry on successful TGEs.

Here’s some alpha on what makes them work:

Tokenomics
Sustainable emissions and a launch strategy driven by supply and demand.

Marketing
Web3 performance ads targeted at wallet holders; hype-building starts at least 2–3 months in advance.

Secret sauce
You'll have to find out when reading the paper.