Let’s Start Controversy

How Crypto Validates Girard's Memetic Desire

Carlos

Carlos

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If Rene Girard were alive today, he would smile upon crypto fondly. Not because of our technological progress or our mission to bank the unbanked and free the internet from the shackles of big corporations, but rather because participants in this great online game have publicly proven his theories better than any other industry. Girard coined the term “memetic desire,” and that desire has spread through our industry like a virus.

Narrative uniformity plagues crypto.

Brands and social media followings are built by telling people what they want to hear. Bags bias every bagholder. A simple “ETH to $10k” tweet or LIWIFHAT will get more engagement from the Ethereum community than any new EIP. “DAOs are the future of work,” “Music NFTs are the death of labels,” “go bankless” – it’s not that we don’t believe what we’re saying, it’s that it’s easier to say it than it is to think critically about the implications and flaws of the statement. Once the crowd gets wind of a new narrative – “consumer crypto,” “web3 social,” “onchain media” – intentionality goes out the window. 

Much of this is due to the nature of social media, but that’s not the only factor, nor is it the most important. Competition validates theses, but in an ecosystem of public, 24/7 markets, controversy drives us forward. 

I’d argue that the antidote to narrative uniformity and the key to breakthrough innovation is not just competition, but controversy.

Crypto needs more controversy.

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What differentiates competition from controversy is not just the battle, but the public nature of the battle, in most cases driven by conflicting community sentiment. Controversy doesn’t need to be mean-spirited, but it needs to be loud. Controversy means there’s skin in the game, social or financial. Convictions are high. You can be publicly proven wrong, and people will go out of their way to do so.

Historically, crypto lore is full of controversy: BTC vs BCH, ETH vs ETC, Punks vs Apes, Uniswap vs Sushiswap… the list goes on.

Let’s use the UNI/SUSHI example. Sushiswap began as a fork of Uniswap, and vampire attacked the protocol by incentivizing LPs through SUSHI token rewards (via a unique fair launch, remember?). For a bit, Sushiswap had more daily volume than Uniswap. This ultimately led to the UNI airdrop, which helped Uniswap very quickly reclaim the throne as a top DEX and led to significant innovations in DEXs, which I would argue was a major catalyst in fueling traction in dethroning centralized exchange dominance. The vampire attack led to very heated public battles between and within the individual communities (e.g. Sushiswap’s founder token dump), but hindsight shows that the ecosystem is much more helpful and mature as a result.

As such, one could say that a “recipe for crypto controversy” includes:

  • Progressive community action

  • The right timing

  • Main character(s)

  • Strong narrative and counter-narrative

  • Financial incentives

More recently, Solana’s meteoric rise from the ashes has led to some heated battles between the ETH and SOL communities. Obviously, different L1s will naturally be in competition, but the controversy didn’t arise until Solana started “winning” across various metrics. Ansem became key figure in this controversy, leading some Ethereum influencers to disengage and jokes being made about the duo coming to Farcaster, “Ethereum’s safe space.” However, the controversy led Ethereum builders and users to seriously reconsider their priors and push for an acceleration of UX improvements at the chain and app levels.

More Exhibits

OpenSea and Blur is another great example. Blur launched a token that encouraged farming on the platform, but paired with a great UX led to a weathering down of OpenSea’s NFT trading dominance on Ethereum. The battle also led to widespread discussions around the importance and enforceability of NFT royalties. While Blur wasn’t the first to halt creator royalties, they were certainly the loudest and most successful, which led to widespread debates and community action.

Finally, Nouns saw controversy with the Nouns Fork, which forced the community to re-evaluate how they should be spending treasury funds and what the broader purpose of Nouns was. The community has come out stronger as a result, but not without public and heated debates around the nature of “proliferation” and significant piles of ETH leaving the DAO treasury.

It’s not a controversy without two sides and a public battle. Rainbow, for example, began using points as a way to onboard and retain folks from Metamask once their browser wallet was live, but Metamask doesn’t have much of a community to fight the narrative battle.

I am eagerly anticipating the unfolding of certain controversial narratives and topics within the crypto space, though I'll refrain from specifying names as the implications are quite apparent if one reads between the lines: 

  • The narrative surrounding the on-chain economy, particularly on Layer 2. 

  • The development of a social feed within Web3.

  • The process of onboarding users through wallets.

  • The integration and evolution of music feeds.

  • The dynamics of web3 publication.

Last

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The Toilet Paper Problem (source)

Crypto is a public arena, and while it is true in some ways that “we’re still early,” we’re not early enough to be shunning competition and ducking controversy. The public arena can be a space for poisonous memetic desire or beneficial controversy, and we should continue to choose the latter.

“We’re all gonna make it” doesn’t mean “we all have to agree.” We make it if we choose the best paths forward. 

May the best memes win.

Collect this post as an NFT.

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CarlosFarcaster
Carlos
Commented 4 months ago
fuckingaround.ethFarcaster
fuckingaround.eth
Commented 4 months ago

this reminds me The Good Doctor ! Lol

LeeFarcaster
Lee
Commented 4 months ago

Something to read tonight

Kyle McCollomFarcaster
Kyle McCollom
Commented 1 year ago

Excited for SushiSwap-Uniswap vampire attacks, but between restaurants, games, etc. For example: Dunkin Donuts incentivizing Starbucks customers with a better points system.

Kyle McCollomFarcaster
Kyle McCollom
Commented 1 year ago

This already happens - for example, phone companies buying you out of your current contract with a competitor. Just not in nearly as open of a playing field as crypto.

Leo SimonFarcaster
Leo Simon
Commented 1 year ago

Agreed, and zkTLS could be a great technical solution for this https://x.com/aaronjmars/status/1778831455239418338

nicoleFarcaster
nicole
Commented 1 year ago

Tired: player v player Wired: corporation v corporation

jacobFarcaster
jacob
Commented 1 year ago

sushiswap lost tho

Kyle McCollomFarcaster
Kyle McCollom
Commented 1 year ago

Still super interesting to see play out. And I'm sure some projects will get it right.

Antonio García MartínezFarcaster
Antonio García Martínez
Commented 1 year ago

While this is tantamount to crypto heresy (because it's one of the core beliefs of the crypto faith), nobody ever quite explains why any brand or business should be in favor of interoperability. 'Benefits to consumer' arguments don't cute much ice in the non-crypto world, broadly speaking.

Antonio García MartínezFarcaster
Antonio García Martínez
Commented 1 year ago

What you're seeing in 'Web3 gaming' (to the extent it exists at all) is definitely *not* creating some corporate commons of virtual goods which all can extra value from, no matter how beneficial it might seem to the consumer experience.

↑langchain 🎩 Farcaster
↑langchain 🎩
Commented 1 year ago

Web2 does not need liquidity mining mental illness pls.

Kyle McCollomFarcaster
Kyle McCollom
Commented 1 year ago

It already does - all these rewards programs. Think about the credit card point guys. It’s just not interoperable yet.

CarlosFarcaster
Carlos
Commented 1 year ago

1000% and not only restaurants, think the biggest potential here are onchain products / experiments. Wrote about this here: https://paragraph.xyz/@carlos/lets-start-controversy

Keanu Cage 🔵🎩🤘🏻Farcaster
Keanu Cage 🔵🎩🤘🏻
Commented 1 year ago

I’ve played Dracula on the big screen

AshuFarcaster
Ashu
Commented 1 year ago

Points as GTM is like leaving it for luck.

suleiman aliyuFarcaster
suleiman aliyu
Commented 1 year ago

NEW TEMPLATE Check out @basedapeorigins.eth on BASE - the hardest working and transparent team in the space. Creating and building real utility for its holders! 🦍🍌 - www.basedapeyachtclub.app #2380

CarlosFarcaster
Carlos
Commented 1 year ago
Ioan Temnue 🎇Farcaster
Ioan Temnue 🎇
Commented 1 year ago

Early Adopters Bonsai

CarlosFarcaster
Carlos
Commented 1 year ago

wait did /higher rebrand to /sendit ? 😂 jk love both experiments, in fact we need more of it https://paragraph.xyz/@carlos/lets-start-controversy

LGHTFarcaster
LGHT
Commented 1 year ago

more +sum memes pls ↑

CarlosFarcaster
Carlos
Commented 1 year ago

yessss

GoingPlacesFarcaster
GoingPlaces
Commented 1 year ago

Excellent read. Thanks

Josbec🎩🔵Farcaster
Josbec🎩🔵
Commented 1 year ago

Copy pasta

CarlosFarcaster
Carlos
Commented 1 year ago

last week i wrote an essay on crypto controversy, you should read it, 1) because its my first [ever] essay, 2) cause i challenge the status quo (spicy). https://paragraph.xyz/@carlos/lets-start-controversy

CarlosFarcaster
Carlos
Commented 1 year ago
tmo - agent operatorFarcaster
tmo - agent operator
Commented 1 year ago

font a little too small for my old eyes maybe a pop out frame ?? Like read view on safari. @dwr.eth

Let’s Start Controversy