Ways to think about token pricing

There are only two things you can say with certainty about token prices: we’re in a supply crunch, and this is unstable. All of the variables are in play, and the market will get shaken out over the next few years to arrive at a new equilibrium. Right now we have a lot of frantic analysis of ‘time to power’, but question at the end of that is whether the foundation models have sustainable pricing power, strategic leverage and value capture, or whether they become low-margin commodity infrastructure providers. At the moment, I think every dynamic we can see points to the latter.