Author: Mason Nystrom, Partner at Pantera Capital; Translated by: 0xjs@Golden Finance

There are several common crypto business models: exchanges and marketplaces, trade ordering, asset management. Let’s dive into some examples.

Exchange Model

Subset 1. Market Model – Transaction Fees

  • Creating new assets and markets (e.g. Polymarket, Perps)

  • Expanding access to emerging assets (Coinbase and BTC)

  • Convenience fee (Swap in wallet)

  • SaaS-enabled Marketplaces - Proven Marketplaces

Subset 2): Liquidity Services

  • Build valuable professional liquidity pools and charge terminal applications access fees (such as hooks) or market making fees (such as Swap)

  • DEX

  • Borrowing

MEV / Transaction Ordering: Owning and Monetizing Valuable Order Flow

  • App PFOF (e.g. TG Bots)

  • Sequencer mode - have your own sequencer and MEV (e.g. L2)

  • SaaS-powered transaction sequencing and monitoring — RaaS, RPC providers, security providers, oracles, etc.

Asset management: Fees are charged based on asset management scale or income

  • Custodian - earns fees based on assets

  • Staking providers, LST, LRT — earning part of the profits

  • Stablecoin issuers

#BTC