Dumped By Community

There is a great concept that is growing in popularity in the startup world: Exit to community.

In the crypto world this is even more interesting and it means that when a project is mature and decentralized enough, it can be transferred into to hands of the community in a decentralized manner and live forever.

I love the Exit To Community concept but it is very hard to get there for most projects because:

  1. Most projects fail.
  2. The community needs to be really passionate and talented to be willing to take over.

A topic that don’t see many makers in the crypto world talk about is dumped by community.

Dumped by community is when people join your app, use it , etc. ONLY because of a perceived short term upside or your token is raising in value. The moment the price goes down or they need to put the project over their short term benefits, they will pick individual self interest and destoy the community.

This doesn’t only destroy the project but more often than not when a “dump by community” happens, lower IQ members that invest more than they can afford to lose will opt to personally attack and blame the people who put real skin in the game (devs, designers, makers) and try and cause them to quit.

They will also call you scammer if you had any upside from your involvement in the project. They expect for themselves to be able to freely trade and dump your tokens at any time, but you are expected to work 24/7 to pump their token yet never sell anything because it means you are a “scammer”.

In 2017 ICO issuers were taking all the upside and scamming the retail users.

In 2020-2021 retail users are getting incentives to use apps and than dump on builders, while builders are not expected to take any upside. 180 degrees opposite of 2017.

If your project is offering fake incentives to have users, but no one actually is really using your products, you will sooner or later be dumped by the community, because there was never a real community.