Thread by @udiWertheimer

1/ You don't need a "utility token" and a blockchain to help incentivize growth. You eo need a product that people care about.

The gaming phenomenon Fortnite has an in-game currency called vBucks. It isn't using a blockchain, isn't traded anywhere, and has no speculative value.

2/ You buy it in-game with a credit card, and can spend it on virtual items that people love buying for some reason.
Just like with "utility tokens", Epic incentivizes players to engage by giving away vBucks for playing, winning, and recently for activating 2FA. #cryptoeconomics

3/ By May, Epic sold $1.2 BILLION of vBucks since the game's launch. It's growing fast and set to reach $2B by the end of the year.
That's way more than most ICOs managed to sell, matching even Telegram and short of only the EOS sale (for now. Fortnite revenue keeps growing).

4/ And unlike utility tokens, vBucks aren't a liability. They're revenue. People don't keep vBucks and speculate on their future value. They immediately use them to buy virtual shoes and gloves. And yes, you *can* actually buy in-game products and services without a blockchain.

5/ No Fortnite player ever has complained about Epic stealing vBucks away from them and that they demand handling them with private keys. No one complained that Epic isn't sticking to the whitepaper when they create more vBucks in various promotions. You know why?

6/ Because people are having fun. They get to use a great product that provides actual value. Unlike pretty much ALL "blockchain projects", Fortnite isn't about speculating on the in-game currency, that's just a mechanic! Fortnite is about having fun with friends.

7/ Epic doesn't have to bullshit people about vBucks being the currency of everything, and about their database servers revolutionizing gaming forever. No one cares, because people are enjoying themselves.

Utility tokens are for when you don't, and won't have a valuable product.