Simplicity as protocol

I had a conversation with a friend again with the same topic, what exactly first class assets, what is assets, what are asset classes? Why it can be assets? What makes it valuable? etc. He still remembered we talk about it before, and I thought I understood at that time. However, it turns out that I have no words to describe it to bite-size information.

Since there are not any analogies in our former articles, I will need to absorb any knowledge first, then transfer to easily understand languages but not programming style language which are for machines.

To read a paper better

One of our researchers told me that it’s normal to take a week to read one paper until you are familiar with that area. You will be faster when you can skip the abstraction, and pick the main parts, which about four to five chapters, and you will still totally get its point.

So for me, it takes times. I also need to filter the reading materials. The more I know, the more succinct the description becomes.

Simply explanation helps me understanding

The supply will ultimately be defined by the economic model and whether it’s a utility or security (asset). What use does the token have, what is its purpose?

In the past, people gave it no thought and choose random numbers. Now, it’s different.

There are 3 types:
1) Currencies (store of value)
2) Assets backed by real-world assets (gold etc)
3) Utility tokens, tokens that have a purpose and the demand drives up the value.

Well, this will be defined by regulation ultimately. You can only work towards building a framework and carrying out a study against similar coins that have been classified.

Token and coins have different definitions.

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