How Does a Protocol's Interoperability Affect Its Potential TAM? ⎊ Path

How Does a Protocol’s Interoperability Affect Its Potential TAM?

A protocol's interoperability, or its ability to seamlessly communicate and transact with other blockchains and dApps, significantly expands its potential TAM. By integrating with other ecosystems, the protocol can access a larger pool of users, assets, and liquidity.

A non-interoperable, siloed protocol is limited to its own ecosystem, which severely constrains its TAM and long-term growth potential.

What Is the Difference between an “Active User” and a “Transacting User” in Blockchain Analytics?

What Is the Difference between TAM, SAM (Serviceable Available Market), and SOM (Serviceable Obtainable Market)?

What Role Does Token Utility and Network Adoption Play in Determining Intrinsic Value?

How Do You Forecast Future Protocol Revenue for a Crypto Project?

What Is a “Utility Token” and How Does It Relate to the Motivation of Rewarding Users?

Does a Higher ‘K’ Value in the Formula Indicate a Larger or Smaller Liquidity Pool?

Does High Implied Volatility Increase or Decrease the Delta-as-Probability Accuracy?

How Can a Protocol’s Gas Fee Structure Influence the Reported Number of Active Users?

Glossar

Interoperability

Protocol Integration ⎊ This capability allows distinct blockchain networks or decentralized applications to communicate and exchange value or data seamlessly, which is vital for cross-chain derivatives settlement.