Token Launches: Infrastructure Over Fundraising

Token launches often follow a predictable and problematic pattern. Founders rush to create tokens primarily as fundraising tools, leading to inflated insider allocations, nonsensical unlock schedules, and utility that exists only on paper. The result is a cycle of price dumps and social media backlash.

Corey Billington, Co-Founder and CEO at Blubird, argues that tokens should be treated as infrastructure rather than short-term fundraising mechanisms. Without genuine utility from inception, tokens risk regulatory scrutiny and market instability. The SEC's focus on securities law leaves little room for ambiguity.

The backward approach—raising first and figuring out utility later—rarely succeeds. Over 80 teams have fallen into this trap, creating tokens that serve only as exit liquidity for early investors. The solution lies in designing tokens with intrinsic value from day one.