DESIGNING TOKENOMICS and TOKENS 2.
William Mougayar
Investor, Advisor, Board Member
Author, The Business Blockchain
Founder, The Token Summit and WMX
@wmougayar
Zug, 22 Nov 2017
What is Tokenomics
1. How you design your token role
2. How you distribute your tokens
3. How you govern your token
monetary policy
© 2017 William Mougayar @wmougayar
What is a token?
A cryptocurrency with a special purpose
© 2017 William Mougayar @wmougayar
What is that Purpose?
The killer app for the blockchain is
not tokens, but it is the creation of
private economies or ecosystems.
Tokens are just enablers to that.
© 2017 William Mougayar @wmougayar
How are we doing that?
By giving the token a utility:
ü Right
ü Ownership
ü Work
ü Currency
© 2017 William Mougayar @wmougayar
Tokens 1.0 vs. Tokens 2.0
Copying what we see
vs.
Inventing what we don’t see
© 2017 William Mougayar @wmougayar
ACID TEST for Tokens
1. What would happen without the
token?
2. Why do you need a blockchain?
3. What is the blockchain enabling
that wasn’t possible before?
© 2017 William Mougayar @wmougayar
What is a token?
A unit of value that an organization
creates to self-govern its business model,
and empower its users to interact with its
products, while facilitating the
distribution and sharing of rewards and
benefits to all its stakeholders.
© 2017 William Mougayar @wmougayar
If you are thinking “Tokens”
1. A token is not a carrot
2. Token must be native to the
blockchain for maximum
leverage
3. If not, proving the Token-to-
Market Fit will be more difficult
© 2017 William Mougayar @wmougayar
Token-to-Market Fit
is the new
Product-to-Market Fit
© 2017 William Mougayar @wmougayar
Token Value Proposition
By Whom will the token be
used; How; at what Cost; for
what Benefit; and Resulting in
what Valuable Transactional
Activity?
© 2017 William Mougayar @wmougayar
Reality Check: Disconnect Between
Key Relationships
1. Value vs. Valuations
2. Monetary Policy vs. Economic Model
3. Demand vs. Supply Drivers
© 2017 William Mougayar @wmougayar
BLOCKCHAIN IS 90%
GOVERNANCE AND BUSINESS
MODELS.
THE OTHER 50% IS TECHNICAL.
© 2017 William Mougayar @wmougayar
Some Critical Factors
1. Regulation
2. Funds
3. Scalability
4. “Better” blockchains
5. On-chain governance
6. Role of Foundations
© 2017 William Mougayar @wmougayar
There is no silver bullet for designing or
complying
I hope a lot more good Apps come out of
$250 Billion than just currency usage
Need more blockchain, and less Token
© 2017 William Mougayar @wmougayar
THANK YOU
William Mougayar
Investor, Advisor, Board Member
Author, The Business Blockchain
Founder, The Token Summit and WMX
@wmougayar
wmougayar@[Link]
[Link]
Zug, 22 Nov 2017
