When inflation spikes at 254% and currency value drops like a stone, crypto becomes a lifeline. In regions like Argentina, where financial instability is the norm, people don’t adopt crypto for speculation or hype. They adopt it because they have to.

For DeFi founders, this market dynamic demands a radically different playbook.

Strategies that work in speculative markets—like influencer campaigns or flashy airdrops—won’t fly in necessity-driven environments.

Growth here isn’t about hype but trust, usability, and solving real problems. You must understand these markets on their terms to succeed and build lasting value in Web3.

The Argentina Paradox: When Users Don't Need Convincing

According to Chainalysis's 2024 Geography of Crypto Report, Argentina recorded $91 billion in crypto inflows between July 2023 and June 2024. This was not driven by slick marketing campaigns or viral memes but by survival.

Argentina takes the lead in LATAM crypto, receiving a staggering $91.1B—outpacing Brazil’s $90.3B. Source: Chainalysis

With inflation soaring to 254% year-on-year in January 2024 and the peso in freefall, Argentinians aren't looking for the next moon shot. They're looking for financial shelter. And the numbers tell the story:

• Stablecoins account for 61.8% of transactions (compared to 44.7% globally)

• One-third of the population uses crypto for daily transactions

This isn't adoption driven by FOMO but by necessity. And it's changing everything we thought we knew about Web3 growth.

The Necessity-Driven Growth Framework

When building for markets like Argentina, traditional growth metrics become almost irrelevant. Here's why:

1. Network effects are organic

In speculative markets, you need influencers and marketing to build network effects. In necessity-driven markets, they emerge naturally through trusted community networks.

When stablecoins protect your neighbor's savings, you listen. When local businesses start accepting crypto payments because the national currency is failing, that's organic adoption at its purest.

2. Technical friction becomes irrelevant

Clunky wallets or confusing interfaces that might deter users in speculative markets? When it's about protecting your life savings from over 250% inflation, users will climb that learning curve. We've seen this repeatedly. When the value proposition is strong enough, technical barriers fade into the background.

3. Trust > Marketing

Marketing campaigns don't drive adoption—trusted local networks do. When financial survival is at stake, people turn to trusted sources, not Twitter threads. This fundamentally changes how you should think about user acquisition and community building.

What This Means for DeFi Founders

If you’re ready to expand to markets where crypto is a need, not a luxury, here’s how to adapt your approach:

A. Market selection is everything

Are you building for speculation or necessity? This single question should drive every aspect of your strategy, from product development to resource allocation. The answer will determine your marketing approach and your entire product roadmap.

B. Trust is King

When financial stability is at stake, trust makes or breaks your product. Build it by:

• Offering consistent, transparent communication.

• Ensuring your platform is reliable, with minimal downtime.

• Partnering with local leaders and influencers who can vouch for you.

C. Different success metrics

In necessity-driven markets, forget typical Web3 metrics like TVL or token price. Focus on:

• Local network growth

• Community trust signals

• Real-world utility metrics

• Peer-to-peer adoption patterns

• User retention through economic cycles

D. Resource allocation

Instead of pouring resources into marketing:

• Build local community infrastructure

• Invest in education through trusted networks

• Focus on reliability and accessibility

• Prioritize real-world integration

• Develop partnerships with local institutions

E. Streamline onboarding

Even if users will push through friction, why make them? Simplify wallet creation, integrate local payment options, and offer clear, jargon-free onboarding guides.

The Opportunity: Markets That Need You

While most DeFi projects chase the same speculative markets, enormous opportunities exist in necessity-driven economies. Argentina isn't unique. Similar conditions exist across Latin America and beyond.

The data speaks volumes: when the peso's value dropped below $0.002 in December 2023, stablecoin trading exceeded $10 million the following month. This wasn't driven by marketing but by need.

As the peso plummeted, stablecoins soared: $1M traded after its July 2023 drop below $0.004, and $10M after falling under $0.002 in December 2023. Source: Chainalysis

This pattern is repeated across multiple markets, where economic instability creates organic demand for crypto solutions.

Time to Rethink Your Market Strategy

If you're building DeFi solutions, it's time to ask yourself:

• Are you solving real economic problems?

• Could your solution serve necessity-driven markets?

• Are you allocating resources based on speculation or genuine need?

• Is your growth strategy aligned with market realities?

The most successful Web3 projects of the future won't be those with the biggest marketing budgets. They'll be those that solve real economic problems for people who genuinely need solutions.

The Path Forward

Instead of trying to create demand through marketing, consider expanding to markets where demand already exists organically. The growth might be less flashy but more sustainable, meaningful, and ultimately more valuable.

At Myosin, we've seen firsthand how necessity-driven markets require a fundamentally different approach to growth. We’ve helped projects successfully pivot from speculation-driven to necessity-driven markets, completely transforming their growth trajectories.

Ready to explore markets that actually need your solution?

Let's talk about how your project can tap into genuine market demand. Our expertise in necessity-driven adoption can help you localize, build trust, and scale your impact where it matters most. Because in the end, the best marketing strategy isn't marketing at all. It’s building something people genuinely need.

Let's Talk About Your Market Strategy!!