[Solana Labs Co-Founder Explains Early Project Token Issuance Logic: Combining Staking and Fair Issuance is Superior to VC Funding] According to a report by Jinse Finance, Solana Labs co-founder Toly posted on the X platform, stating that combining staking and fair issuance is superior to VC funding. If implemented effectively, the optimal capital formation method for early-stage startups may include: 1) Rewarding long-term holders through staking mechanisms; 2) Releasing no less than 20% of tokens on the day of the TGE (Token Generation Event); 3) Minimizing the involvement of investors, and if involved, implementing a unified 100% unlock one year after the TGE. Additionally, team and investor tokens should not be unlocked at the TGE. Distribution methods should target core users through airdrops or be completed via fair auctions. Even though the concentrated unlock after one year may seem like "significant pressure," the market can effectively absorb information that is known in advance. The one-year lock-up period will encourage a thorough game between investors looking to exit in the secondary market and those optimistic about the project and willing to increase their positions. The primary market price will serve as an anchoring benchmark, while the staking mechanism can incentivize long-term holders, similar to how long-term capital achieves higher returns in early funding rounds.