system thinking in web3
type System interface {
Interact(event Event) Response
Propagate(change Change) []Effect
Measure() Health
}
your smart contract isn’t alone.
it lives in an ocean of interactions. price feeds, oracle data, user behaviors, market sentiment, gas costs, competing protocols.
everything affects everything.
reality of web3:
.-> price impact -> market reaction -.
/ \
contract --> gas changes ---> user behavior -----> protocol health
\ /
'-> oracle data --> dev response ----'
most devs build in isolation. they optimize functions. tweak parameters. chase efficiency.
but systems don’t care about your optimized function.
they care about ripple effects.
when uniswap launched v3:
- liquidity fragmented
- gas costs jumped
- users split
- new behaviors emerged
- competitors adapted
- the whole ecosystem shifted
that’s system thinking.
don’t ask “is this code optimal?” ask:
- what breaks when this succeeds?
- who loses when this wins?
- where does pressure build?
- how do parts influence each other?
- what feedback loops are we creating?
system thinking isn’t about building perfect components.
it’s about understanding connections.
the ecosystem always wins. build with it, not against it.
want to predict protocol behavior? map the system.
want to build lasting value? think in interactions.
want to avoid catastrophic failure? study ripple effects.
every action has reactions. every optimization creates new pressures. every success changes the game.
that’s the web3 reality.
smart contracts are neurons. systems are brains. think bigger.
