The crypto community is abuzz around Kraken’s new Ethereum layer-2 network, Ink, and its accompanying native token, INK. Let’s cut through the jargon and ask the important question: Will this token actually make a difference in the lives of everyday people, or is it just another speculative asset destined to benefit the already wealthy?
Financial Access For The Marginalized?
Aaliyah is an upwardly mobile single mom living in Lagos, Nigeria. She’s hellbent on getting a microloan so she can grow her tiny operation hawking homemade handicrafts. Traditional banks see her as too risky. Now, picture her being able to tap into the Ink Network’s Aave-powered liquidity protocol. She is able to take out a loan with limited collateral and increases her earning potential. This is INK’s potential – a gateway to economic empowerment for people who have long been marginalized from it.
I’m not naive. I’ve experienced enough crypto projects that promised the moon and came back with nothing but moon dust. The real kicker is the Aave-powered liquidity protocol. With Aave’s proven track record, its integration further indicates this is a real and concerted effort to construct a well-functioning DeFi ecosystem. Will the INK token truly democratize access? Or will it just inject even more complexity and surcharges into the system? Will Aaliyah actually understand it?
This is where the Ink Foundation fills this gap. Yet they’re responsible for both stewarding that network and advancing its growth. Here's a thought: what if the Ink Foundation actively partnered with local NGOs in developing countries, providing education and support to help people like Aaliyah navigate the DeFi landscape? What if instead they targeted their grants at entrepreneurs in underrepresented communities? That's how you really empower people.
From Crypto Bro To Community Builder
Let’s not kid ourselves, the crypto space has unfortunately been overrun with the so-called “crypto bros” looking for the next get-rich-quick scheme. What if the INK token was the key to changing that story? What if it were instead designed to lure people who are truly in pursuit of creating a more inclusive and equitable financial system?
This last aspect that INK won’t be a governance token may be of particular interest. However, it does mean that power continues to be held by the Optimism Collective. This is a double-edged sword. On the one hand, this protects INK holders from acting impulsively and destabilizing the network. Conversely, it might stifle community engagement and control.
We know the ultimate success of INK depends on kitting out a diverse, vigorous, engaged and inclusive community. Restoring the culture The Ink Foundation understands that to heal the culture, we must focus on education, transparency, and accessibility. In other words, they don’t just need to diversify — they need to actively seek out and uplift the voices of people from different backgrounds. From organizing the process to managing neighborhood tension, they have an opportunity to craft a space where everyone feels welcome and empowered to participate.
Think about it this way: imagine the INK token not just as a digital asset, but as a tool for building community. Picture this – workshops, mentorship programs, and hackathons all dedicated to building solutions on top of the Ink Network, to tackle the challenges faced by society today. Imagine a bustling marketplace where developers, entrepreneurs, and community organizers come together. Together, they’re working to create a financial system that’s fairer and more equitable for all. That's the potential of INK.
Avoiding the "Tech Savior" Trap
We need to avoid the “tech savior” narrative here. This notion is the idea that technology alone can solve all of society’s ills. Blockchain is not a magic bullet. It’s a wonderful tool, but like any tool, it can be used for good or for ill.
The lack of defined tokenomics is concerning. 1 billion tokens seems neat, but what’s the initial distribution going to be like. Who will get the lion's share? 5 Will you do an equitable, transparent airdrop to early adopters, as you had committed to? Or will it just be another whales and insiders feeding frenzy?
Let's not forget the elephant in the room: Kraken. Though the Ink Foundation is portrayed as very independent, Kraken was the one that actually launched the Ink Network. This calls into serious question the possibility of conflicts of interest. How will Kraken make sure to put the interests of the Ink Network community first? Or, will it more broadly use the INK token to pursue its own corporate agenda?
Imagine this: the Ink Foundation establishes an independent advisory board comprised of community members, academics, and experts in financial inclusion. This board will genuinely have the authority to control the distribution of INK tokens. It would further make sure that all users were benefitting from the network. That's how you build trust and accountability.
The future success of the INK token will depend on whether you can use it to enrich actual human beings. If it can fulfill on this promise, it will soar. That will be up to the Ink Foundation’s ability and desire to cultivate a deep, inclusive, resident-centered community. It will hinge on our ability to keep them accountable. Hopefully INK will be better than the hype. We want it to do good in specific, tangible ways — that is, make the world a better place! Let’s stop thinking of it as a token and start treating it as a lever for social good. Let's look at its potential for good.
