Core Loop

Definition ∞ The core loop refers to the fundamental, repetitive action or set of actions that users perform within a decentralized application or blockchain protocol. This sequence drives user engagement and value creation, forming the central interaction point of the system. A well-designed core loop is essential for user adoption and sustained activity.
Context ∞ In crypto news, the core loop is frequently discussed in relation to the design and success of GameFi projects, DeFi protocols, and other Web3 applications. Analysts examine how effectively a project’s core loop encourages user participation and generates network value. A compelling core loop is often cited as a key factor in a digital asset’s long-term utility and market relevance.