Kosta Ouzas explains how token projects that promise rewards while constantly issuing new coins create a trap where early gains depend on new buyers and continued inflation. When selling pressure hits, the structure collapses like a Ponzi scheme.
So what they're doing is they set up something that sounds really promising. People then buy the coin, they stake it, and then they basically start a process of inflation by releasing more tokens, promising you more of that token. Right. What eventually happens is, as it accrues, everyone's making money, but you're issuing at the same time. So it's, you know, it's not really worth it. Well, no, what happens, it gets to the top, is everyone's starting to sell, and it is a Ponzi scheme. Like, the reality is, it is.
