The Network Effect (Day 29: 2018-01-29)

in blockchain •  7 years ago 

"The network effect is a phenomenon where increased numbers of people or participants improves the value of a good or service. The internet is a good example. Initially, there were few users of the internet, and it was of relatively little value to anyone outside of the military and a few research scientists. As more users gained access to the internet, adding more content, information, and services, however, there were more and more websites to visit and more people to communicate with. The internet became extremely valuable to its users.

The chief hurdle for any good or service which uses the network effect is to get enough users initially so that the network effects take hold. The amount of users required for significant network effects is often referred to as critical mass. After the critical mass is attained, the good or service should be able to obtain many new users since its network offers utility." - Investopedia

https://www.investopedia.com/terms/n/network-effect.asp#ixzz55YHvKVOq

https://en.wikipedia.org/wiki/Network_effect


Statistics from www.coinmarketcap.com:

Jan 29 2018 00:02:00 UTC
$595,276,000 USD: Total Market Capitalization
$26,412,400,000 USD: 24-Hour Volume
33.24%: Bitcoin Dominance

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