Users have more confidence in DeFi brands the longer they survive without incident, but every new upgrade may reset the clock.
Opinion by Merlin Egalite, co-founder of Morpho Labs.
There is a great irony in crypto: it was designed to be "trustless," but trust and longevity for brands often play a major role in where users decide to allocate and use their crypto. So it's no surprise that the Lindy Effect is a concept often discussed in the DeFi space.
But it's applied inconsistently, sometimes to the companies or brands and sometimes to the code of a protocol. It's worth unpacking how the Lindy Effect can be applied to both and what users should look for when assessing their product options.
