Crypto's valuation logic is quietly shifting from "narrative-driven" to "earnings-driven." Bitwise's CIO has observed that more and more DeFi applications and protocols are starting to use actual revenue to buy back their own tokens—which, at its core, follows the same financial logic as publicly listed companies using earnings to repurchase shares.
The CIO believes that once the market starts re-evaluating tokens through the lens of "can revenue support buybacks," current valuation levels could effectively double. In other words, the focus is no longer just about what narrative a protocol pushes or which sector it's tied to, but whether it can actually convert the fees users pay into tangible returns for token holders.
