In the current market, large funds are no longer playing with meme coins. They are looking for projects that can generate self-sustaining revenue—assets with a positive economic cycle.
Recently, I studied the token mechanism of DUSK and discovered a very interesting phenomenon: a "supply shock" signal is forming.
Many people only look at the price, but what truly matters are the staking rate of $DUSK and the incentive design. DUSK uses the Succinct Attestation protocol, which requires a large number of validation nodes to maintain network decentralization. To attract these nodes, the project team has designed a quite competitive staking incentive—this is where it gets interesting.
The economic flywheel works like this:
RWA-type products (bonds, ETFs, etc.) launched on DUSK require institutions to pay for complex privacy computations, necessitating large purchases of $DUSK. At the same time, retail investors and node operators who want to share in the network growth dividends must lock up $DUSK to act as validators. Institutions are buying, nodes are locking, and the circulating supply in the market is decreasing rapidly.
I looked at recent on-chain data, and the frequency of large holders moving tokens into staking contracts is clearly accelerating. This is a signal of smart money—they are preparing to lock tokens for long-term network benefits. Supply is becoming tighter, demand is growing, and this is the core of the story.
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LuckyBlindCat
· 01-20 05:51
Large funds are really doing their homework seriously, unlike us retail investors who just look at the K-line chart, haha. I need to think more about the staking flywheel logic of DUSK... But smart money locking in positions is definitely a signal, just worried it might turn into another information gap game.
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Layer2Observer
· 01-20 05:50
This analytical perspective indeed hits the point, but one clarification is needed — an increase in staking rate does not necessarily mean a supply shock; it also depends on the incentive cycle and unlocking mechanisms, which require further validation.
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MultiSigFailMaster
· 01-20 05:49
The narrative of supply shocks sounds convincing, but large holders locking their positions could also be just a preparation to liquidate retail investors. Who can really say for sure... However, the DUSK mechanism design is indeed more interesting than those trash ones on the market.
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RugPullProphet
· 01-20 05:46
Oh dear, I've heard this supply shock theory so many times. Every time they say it's going to take off, but what happens?
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MEVHunterWang
· 01-20 05:41
Oh, DUSK's logic does have some merit, but I have to say... I've heard the supply shock explanation too many times. What happens at critical moments?
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ImaginaryWhale
· 01-20 05:39
The logic of supply tightening sounds good, but the real question is—Is the RWA launch schedule reliable? Will institutions really come?
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GateUser-4745f9ce
· 01-20 05:24
I've heard this supply shock logic too many times, and every time it sounds very convincing, then... well, you know.
In the current market, large funds are no longer playing with meme coins. They are looking for projects that can generate self-sustaining revenue—assets with a positive economic cycle.
Recently, I studied the token mechanism of DUSK and discovered a very interesting phenomenon: a "supply shock" signal is forming.
Many people only look at the price, but what truly matters are the staking rate of $DUSK and the incentive design. DUSK uses the Succinct Attestation protocol, which requires a large number of validation nodes to maintain network decentralization. To attract these nodes, the project team has designed a quite competitive staking incentive—this is where it gets interesting.
The economic flywheel works like this:
RWA-type products (bonds, ETFs, etc.) launched on DUSK require institutions to pay for complex privacy computations, necessitating large purchases of $DUSK. At the same time, retail investors and node operators who want to share in the network growth dividends must lock up $DUSK to act as validators. Institutions are buying, nodes are locking, and the circulating supply in the market is decreasing rapidly.
I looked at recent on-chain data, and the frequency of large holders moving tokens into staking contracts is clearly accelerating. This is a signal of smart money—they are preparing to lock tokens for long-term network benefits. Supply is becoming tighter, demand is growing, and this is the core of the story.