How Does the Pricing Mechanism of a Token Relate to Its Consumptive Use Argument?
The pricing mechanism of a token relates to its consumptive use argument by influencing the investor's primary motivation. If a token's price is highly volatile and purely market-driven, it suggests a speculative investment.
However, if the token's price is fixed, or if its value is tied to the cost of the underlying service (e.g. a stable transaction fee), it supports the argument that the token is a consumable product. A fixed or stable price suggests that the buyer's motivation is utility, not profit from price appreciation.