Alliance DAO co-founder: L1 tokens will struggle to compete with traditional quality stocks in the next 10 years.

Odaily Planet Daily reports that QwQiao, co-founder of Alliance DAO, posted on the X platform that he would be happy to bet on any stock index he lists that a weighted index of Layer 1 tokens of their choice would outperform the index of Layer 1 tokens he lists over the next 10 years.

QwQiao points out that most people have a strange misconception that growth equals profit equals market capitalization growth. Historically, most industries haven't actually followed this pattern. There have been industries that experienced unprofitable growth (such as airlines and restaurants), and there have been industries that generated profits without growth (some excellent companies were able to raise prices over time).

"I believe the blockchain will experience rapid growth, but competition will drive down profits. While the competition isn't entirely fierce (unlike the restaurant industry), it's far more competitive than an oligopoly market."