The Influence Economy of Crypto Assets Social Media: Analyzing Narrative Control Mechanisms

The crypto assets social media sphere claims to be the most decentralized information network in the financial sector, boasting "permissionless discussions." However, the reality is a highly centralized influence economy, dominated by about 100 accounts that shape the views, project interests, and capital flows of millions regarding crypto assets. This complex influence mechanism even astonishes executives from traditional media.

Influence Hierarchical Structure

Crypto Assets social media is not an equal dialogue platform, but consists of a series of concentric circles, with influence radiating outward from the center, presenting an uneven distribution:

1. Core Layer (5-10 accounts): These accounts not only have a large number of followers but also possess strong network effects. A single message from them can trigger hundreds of accounts to repost in a short time, their casual mention may drive up the token price, their criticism is enough to destroy a project, and their endorsement can instantly grant legitimacy to a project.

2. Amplification Layer (20-30 accounts): Responsible for transforming the information from the Core Layer into trending topics. They ensure the information reaches specific groups, such as venture capital partners, well-known developers, ecosystem leaders, etc., through methods like retweeting and commenting.

3. Echo Layer (70-75 accounts): Accounts with moderate influence that primarily repeat the viewpoints of the Core Layer and Amplification Layer to their own audience. They rarely offer new insights but play a key role in expanding the narrative's influence, making the Core Layer's viewpoints appear to be community consensus.

4. General Audience: Digest and respond to the content that the top 100 opinion leaders have already identified as worth discussing.

Narrative Transmission Mechanism

The narrative dissemination process typically follows these predictable steps:

1. Sowing: Core layer accounts share opinions, insights, or discoveries.
2. Amplification: The amplification layer account forwards and adds its own interpretations within a short period of time, creating the illusion of independent discovery.
3. Verification: Echo layer accounts unanimously agree, providing supporting evidence to create an atmosphere of "consensus".
4. Diffusion: Ordinary users share fragmented content, which may misinterpret details but disseminates core information.
5. Institutionalization: Encryption media writing articles, citing "social media sentiment", making this narrative a recognized fact.

The entire cycle usually completes within 24 to 48 hours. When most people see a "hot" topic, the influence economy has already determined its direction.

Influential Economic Model

This influence is not just about reputation, but a complex business model.

Direct cashing out:

• Disguised as a serendipitous discovery of paid promotion
• Obtain the "consultant" position in the mentioned project
• Conference Speaking Fee
• Newsletters sponsorship and premium content

Indirect Value Acquisition:

• Get project information and tokens in advance
• Gain advantageous allocation in financing rounds
• Build connections with top venture capitalists and founders
• Obtain board positions and equity opportunities

Portfolio Pull: Many top accounts are early investors or advisors in crypto projects.

Systemic Bias

The concentration of influence has led to multiple biases:

• Regional bias: A global technology narrative centered around the United States
• Network Bias: Projects associated with influential accounts receive excessive attention
• Wealth Bias: Existing Crypto Assets holders gain more exclusive opportunities
• Language bias: Non-English projects and communities are systematically underestimated
• Professional bias: Financial engineering is more focused on than technological innovation.

Content Filtering Preferences

Certain types of content are easier to promote:

• New compatibility blockchain
• DeFi protocol with innovative token mechanism
• Projects that claim to be "infrastructure" or "scalable"
• Tools for developers

However, the following content is often overlooked:

• Projects without token or venture capital support
• Lack of financial speculative technology innovation
• Developers focused on delivery rather than marketing
• International projects from a non-U.S. background

This preference has created a feedback loop, where the development of Crypto Assets focuses more on attracting attention rather than driving substantive technological progress.

The Illusion of Decentralization

Despite touting decentralization, the power structure of Crypto Assets social media is astonishingly similar to that of traditional media. The main difference is that its influence economy is less transparent in terms of power structure and financial incentives.

Wide Impact

This concentration of influence has had far-reaching effects:

• Capital Allocation: Venture capital investment decisions are influenced by social media sentiment.
• Developer Focus: Project selection is influenced by social dynamics.
• Retail behavior: Many investment decisions are based on narratives from a small number of accounts.
• Media Report: Crypto journalists use social media sentiment as an important indicator

Coping Strategies

It is crucial for all parties in the ecosystem to recognize this reality:

• Developers: Technical excellence needs to be paired with effective storytelling.
• Investors: Hot topics often mean the opportunity has passed.
• Users: Follow accounts that provide in-depth analysis continuously.
• Entire ecosystem: Recognize that the current concentration of influence contradicts the principle of decentralization.

Conclusion

Crypto Assets social media is not malfunctioning, but rather operating as designed. The real issue lies in the misconception that it represents organic, decentralized discussions, when in fact it is a complex economy of influence with centralized power and hidden economic incentives. Recognizing this is crucial for all participants.