Development Path of the NEST System: From Demand to Ecological Consensus

The NEST system is undergoing an evolution from popularization to financialization. The goal of popularization is to lower the participation threshold and attract more users to join mining activities. At the same time, enhancing product usability is also a focus, allowing more people to access and use the NEST system. Financialization aims to transform NEST into an asset with financial attributes.

In this process, NEST is exploring the production of more assets through linear operators and establishing an application closed loop with NEST. For example, the concept of parallel assets is similar to stablecoins, but different in some ways. The financialization process could lead to exponential effects: users can collateralize NEST to generate PUSD, and then buy NEST, creating a cyclical leverage-increasing model. This not only increases the demand for NEST but also elevates the frequency of oracle calls.

In CoFiX 2.0, automated hedging and asset allocation become possible. Users can place assets on the chain, automatically adjusting to the edge of the security market line through a game-theoretic approach, and set trading parameters based on risk preferences. This automated asset management further strengthens the demand for NEST.

The NEST system may become an important participant in the decentralized options market in the future. By establishing a comprehensive pricing model, the NEST DAO can act as the main seller of options, continuously acquiring NEST from the market and pushing the system into a deflationary phase. This financialization process will bring more regulation and stability to NEST.

In the context of the rapid development of the DeFi ecosystem, the NEST team reflected on the traditional development path. They believe that the sequence should start from "demand-ecosystem-consensus" rather than the traditional "consensus-token price-ecosystem" model. This new approach emphasizes starting with internal demand and gradually expanding to a broader ecosystem.

The core of the NEST system lies in creating real social value. The team recognizes that if a non-cooperative game system cannot produce socially recognized new attributes and functions in a state of equilibrium, it may degenerate into a mere gambling tool. Therefore, NEST is committed to developing new features to meet actual needs and create social value.

In terms of demand analysis, NEST adopts an inside-out approach. Starting from the internal demands of the NEST system, it gradually expands to the NEST ecosystem, related communities, DeFi communities, and then to a broader cryptocurrency and internet user base. This approach helps ensure that the system can meet the most core and certain demands while laying the foundation for future expansion.

Overall, the development strategy of the NEST system focuses on meeting actual needs, building a healthy ecosystem, and ultimately achieving broad Consensus. This approach emphasizes value creation and sustainable development, and is expected to stand out in the highly competitive DeFi field.