As infrastructure for asset-backed tokens develops, it may make sense for companies to raise equity through tokens that represent that equity.

Investors are increasingly able to invest in both equity and tokens simultaneously, with evolving structures in the ICO market reflecting this trend.

The future of early-stage fundraising will likely continue to focus on liquidity, with tokens providing instant liquidity compared to traditional equity investments. The trend towards faster liquidity in startup investments is accompanied by an increase in secondary trading and more equity secondaries being executed in startups.

Not every startup will need to issue a token; traditional trust-based relationships will always exist alongside tokenized systems.

Equity represents ownership in a startup, indicating what percentage of the company a founder, employee, or investor owns, and it's crucial to understand whether you're receiving stock options or direct equity.

Today, token sales are a good idea for an incredibly small number of companies, and many proposed token sales are not a good fit for us.

Most startups fail, and only a small percentage achieve significant financial success, so view equity as a tool to enhance your chances of success rather than a fixed resource to be divided.

Many token companies may fail because they run out of money, highlighting the need for effective fundraising strategies to support ongoing development.

Dynamic equity agreements can be confusing and demotivating; founders are more motivated when they know exactly what equity they have from the start.