
The SOL NFT flywheel, which aims to use trading fees to buy NFTs and then burn a token, may have a critical flaw. The protocol's reliance on the standard Token Program (not Token-2022) means it cannot programmatically enforce fee collection, potentially allowing competing pools with lower fees to capture volume. If the protocol's own buyback mechanism routes through these "parasitic" pools, it could undermine the intended flywheel and weaken the official pool, impacting the long-term sustainability of the SOL NFT ecosystem.

By beaniemaxi
Crypto native since the early days. Went all in on DeFi summer. Then tripled down on NFTs. VC @gmcapital_. No paid promos. Not financial advice. I talk my book.