Understanding Crypto Networks: People, Machines, & Opportunity
Whenever people hear the term network, they often think of a multilevel marketing scheme. This is just one instance of a network and not a very good one, in my opinion. Networks are also not restricted to the human element, especially in the crypto space. Look at Bitcoin, for instance; what began on a single laptop is now a massive network of computing mining rigs across the globe.
Yes, there are people behind these operations, but they are incentivized to be there. They are not merely promoting a product or idea. They are actually rewarded for being there and engaged in the daily operations. This is the beauty of what is currently happening in the crypto space. An economy is rising that is fundamentally different from what we have known and experienced.
I often refer to this as the incentivized economy. Regardless of whether we are talking about SocialFi, DePIN, or traditional mining, incentivization is at the heart of the model. MachineFi is another exciting and rewarding element of the incentivized economy. Essentially, these opportunities depend on network effects, and individuals can create their own networks within the broader network.
The Great Economic Shift Is Already Underway
This also fundamentally adjusts the idea of networks and how we build them. Networks can now actually be mining rigs running on renewables, or multiple DeFi operations across multiple networks and vaults/smart contracts. Networks can also be affiliate-based, in which both parties are rewarded. Networks can even provide liquidity across multiple lending platforms and facilitate asset allocation.
You can now work with people or without people, or both. The idea and concept of building a network is now so much more exciting. The opportunities are almost limitless, and building a “network” across as many “aspects” as possible is a wise move in my opinion. The Machine Economy enables participants to create networks by leveraging their devices and machines.
Why Building A Strong Crypto Network Pays Off
In the traditional sense, building a network is often related to a core business or company. This ultimately brings about a fairly high level of risk. You stand to lose your entire network if it is connected to or affiliated with a company that either goes under or is otherwise restricted. The opportunities and scope within the crypto space enable one to build a far superior network model.
At the end of the day, a network is established primarily to ensure consistency. Networks take on a life of their own and, in most cases, generate passive income that grows as the network expands or broadens in scope. Being able to harness opportunities across a wide range of sectors in the crypto economy offers enormous scalability and potential income growth.
How To Build A Crypto Income Machine That Grows Over Time
Building a network can be likened to building a machine or mechanism that will continue to generate income. This income may vary from month to month based on several factors. However, as the network expands over time, it should also maintain a consistent level of earning capacity. Long-term investors with a “builder” mindset are often drawn to the idea of building a network capable of sustaining their livelihoods well into the future.
Why Crypto Networks Create Greater Opportunity
The work you do today will work for you tomorrow! This is the beauty of building a network rather than simply generating income. The passive element makes a lot of sense. Whenever I look at an earning opportunity, I try to find a passive angle, even if it is not inherently passive. Whatever you do needs to have an element that provides future value.
This is why I am opposed to the traditional job mentality. It has nothing to do with building something for your future. The work you do never comes back to reward you again and again. It is simply an exchange of your time for money. In other words, nothing is for you! Nothing you do rewards you and your family in the future. It simply puts a plate of food on your table and a roof over your head for today.
If you stop working, the benefits also stop coming. Stop working after you have built a network and the income continues to flow. I find it hard to believe that intelligent people are willing to settle for simple “monetary exchange for time” models. It must be the false sense of security that a paycheck offers. Building a network is entrepreneurial and carries risk.
The Network Effect Compounds Over Time
One of the greatest advantages of building a crypto network is that it compounds over time. A monetized article, passive income app, referral base, or DePIN node may seem insignificant in isolation. However, over time they collectively compound, creating meaningful income. I believe this is where many miss the bigger picture regarding the incentivized economy. A single opportunity is never enough. One has to maximize one’s exposure.
For example, running Honeygain and other similar passive income apps on your laptop together with a monetized crypto price widget like TokenTicker. Additional browser extensions, such as Slice, can also operate passively in the background alongside other DePIN applications. Each application becomes another component of a broader digital network that continues working even while you sleep. One can then begin supplementing income by blogging on Hive and using reward apps like Cointiply, FREECASH, and RewardJoy.
Furthermore, these are merely the starting blocks of such a strategy. DePIN and MachineFi have a plethora of monetized opportunities. Essentially, this can be a network that functions independently of any individual. You can enhance it via affiliate programs. However, it is not necessary, although beneficial. A network of apps and opportunities that can earn $0.50 to $1 a day can compound over time into a meaningful additional income stream.
Final Thoughts
Building a network is truly building your net worth. A salary needs to be earned every day. Everyone should be creating some form of independent income, regardless of whether they have a job or a career. Being reliant upon a salary is not a position of strength, regardless of its size. Ask those who lost jobs when COVID hit.
Creating some level of independence is a start I believe everyone should be making. These are obviously my own views. To the faithful readers and subscribers, thanks for your loyalty and support. Hope to see you soon!
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