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Investor 🚌 User ✈ Both πŸš€

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@muratkbesiroglu
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I became a member of Steemit in January 2018. Since the Steem price increased 40 times the previous year, everyone has been in a good mood. Steemit, at the time, had a lot to criticize, but one thing is for sure, it was way ahead of its time. The main features were easy-to-read accounts, near-zero transaction costs, a non-custodial wallet, community-selected validators, and an actual use case.

Steemit and Hive

When I became a member, the Steem blockchain had 200,000 users. At that time, there were 15 million Ethereum wallets, but these were predominantly accounts opened on centralized exchanges because there were no DEFI applications, NFTs, or play-to-earn games.

In 2020, prominent members of the Steem community created Hive. At the time, it was crypto winter, and those who viewed crypto as a speculative investment had disappeared. Despite believing in the future of crypto, I took a break from blogging because it wasn't generating enough income and focused entirely on writing sci-fi novels. At the beginning of 2021, I started producing content on Hive again.

Hive supports use cases like vlogging, microblogging, gaming, and blogging today. Although we are in the bear season, 370k users are actively using Hive.

Crypto Investors Vs. Users

It is estimated that there are approximately 320 million crypto investors worldwide today. On the other hand, according to my calculations on Dappradar statistics, there are about 11 million crypto users. I define the user as someone using a dapp with a non-custodial wallet.

You can find detailed information about the statistics I gave above in my How Many Are We? article.

I believe that the primary determinant in crypto is the number of users, as the most critical factor in crypto adoption is participation. Investors whose relationship with crypto is to buy the popular coins of that period from a central exchange disappear when prices fall.

The contribution of social media sites played a large part in the adoption of the internet by large masses. People like to produce content on the internet. People who stepped into the internet later started to shop online thanks to social media.

Zombie Chains

From the perspective of the number of users, we see that some networks are overpriced. Or we can say that others are underpriced, assuming they have reasonable valuations.

Why do some networks with billions of dollars in market capitalization not even have a hundred thousand users?

Developers may be developing new features on the network in question. Users will prefer the network more when the features under development come into play.

PoW networks other than Bitcoin do not have an ambitious development schedule, while development activity continues unabated in major PoS networks. However, claims that things will improve in the future for PoS networks that have existed since 2017 are losing credibility.

The mismatch between network value and the number of users may be due to its appeal to companies or institutions. We have to admit that there are fewer companies or institutions than individuals.

On the other hand, the networks claiming to serve banks or companies in the future do not seem credible to me. The reason for my disbelief is the slow adaptation by institutions and companies.

Owning The Internet

Web3 networks take participation to the next level, ensuring that people own the infrastructures they use. When digital asset ownership is added, user loyalty increases.

The unique advantages come with being both a user and an investor of a network. The knowledge about the infrastructure increases over time, and innovations are adopted much more quickly.

Conclusion

Users who share a digital infrastructure and have a say in its development gain community awareness over time. If the community's builders have the necessary leadership qualities, the unity of interest comes to the fore rather than conflict.

A Web3 community of talented people is highly likely to do well. Transparency makes it easy to imitate successful examples.

The values ​​that make up Web3 communities are not set in stone. Therefore, they can change over time. On the other hand, the web3 concept seems extremely powerful even in its current form.

Thank you for reading.

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