The average stablecoin liquidity per token has dropped significantly from $1.8 million in 2021 to just $5,500 in March 2025, prompting protocols to demonstrate reasons for investors to hold. Rising token issuance has diluted available capital without increased demand, leading to lower liquidity, weaker communities, and diminished engagement. Investment in revenue generation and transparent operations is crucial for sustaining interest in crypto projects. Mature platforms like Ethereum rely on ecosystem depth and native incentives, while newer protocols must demonstrate consistent performance and transparent operations to earn their place. Different stages of maturity for crypto projects (Explorers, Climbers, Titans, and Seasonals) have varying capital needs and strategies. Revenue distribution models can help projects establish governance legitimacy and maintain user participation. Effective investor relations are essential for building trust with token holders and institutional participants. Responsible capital allocation depends on timing, governance, and communication, not just market conditions.
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