This is fascinating stuff. Arca builds valuation models for digital assets. Dorman mentions Nexus Mutual as an example of what Arca invests in. Nexus Mutual is a blockchain based alternative to insurance against smart contract failure.
What is Nexus Mutual?
Nexus Mutual is a decentralised alternative to insurance. We’ve used blockchain technology to create a mutual (a risk sharing pool) to return the power of insurance to the people. The platform is built on the Ethereum public chain. It allows anyone to become a member and buy cover. It replaces the idea of a traditional insurance company, because it is wholly owned by the members. The model encourages engagement as members will get economic incentives for participating in Risk Assessment, Claims Assessment and Governance.
https://nexusmutual.gitbook.io/docs/welcome/faq
I didn't even know this project existed. According to Jeff Dorman, the downside risk in this project is minimal at the moment because the token is trading close to book value of the capital pool where as traditional insurance companies trade far above it.
Arca is an example of how sophisticated investors invest in the digital asset space. Very few of us retail investors have the knowledge, tools or the time to even begin to pore through the space and develop rigorous risk/reward models for the assets.
Another fascinating project is Socios that allows sports fans to buy tokens that give them a voice in the governance of their favourite teams. The tokens are traded on exchanges.
I think looking more closely at what projects they're investing in makes a lot of sense. It's fascinating and eye opening stuff. The possibilities inherent in tokenization are endless.
The overarching theme in tokenization is widening the possibilities of monetary participation. This is revolutionary.
Hive is very well placed to host many of these tokens. Many of these projects hold potential mass appeal and free transactions will be paramount for that appeal to be realized.