Commodities (i.e. oil and gold) and currencies (e.g. Euro and Yen) are multi-trillion asset classes that can't be valued on discounted future cash flows (DCF). So why should we presume every asset in crypto - aside from bitcoin - is a DCF asset? "If it has a cash flow it's valued based on cash flows." No. Not necessarily. This isn't true for government bonds that have cash flows like Treasuries or Japanese Government Bonds (JGBs) - the future cash flows of these bonds don't tell investors anything - more relevant is growth of underlying economy, fiscal policy, ability to collect taxes, monetary policy, future supply, and demand as a store of value vs alternatives. Government bonds are currency instruments. You can't DCF government bonds, you have to price them based on supply and demand dynamics. Investors who don't realize this will pay the price. This is also true of L1 assets. REV is a fantastic tool for valuing many crypto assets, it's just incomplete when it comes to L1s - namely because it doesn't account for the monetary demand of the L1 asset. More REV is good for an L1 asset, no question. More REV increases the monetary demand of the L1 asset, leading to more yield and a more attractive store of value. But REV is missing monetary demand from clearly observable onchain fundamentals like: - Usage in DeFi - Usage as a non-sovereign store of value - Usage for censorship resistant payments These demand forces are far stronger than REV alone. I believe them to be the primary driving force of L1 asset price and network effects. I am not advocating we go back to the dark ages of vibe L1 pricing before we had "real fundamental metrics like REV" and everything was NGU narrative cult. (Though - please do not dismiss the value of meme cults in crypto) I'm advocating we come up with more holistic metrics for L1 asset valuation - metrics that incorporate L1 REV and monetary demand. Crypto currencies are called crypto currencies because they're currencies. Their usage as SOV currencies really does impact their price and can be measured. We'll be presenting a metric called Realized Store of Value (RSOV) next week on the @BanklessHQ podcast to push the conversation forward. Love to my L1 REV maxi friends. Hope to change some minds over time.