My personal opinion is that retention has a little to do with network effects, a little to do with features, but a lot to do with some usability and bug issues. Once everything is really smooth, I think retention won't be a problem.
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Probably it has a little more to do with network effects, when we talk about the masses, but for people already in crypto, I agree, if the others are taken care of, they could choose something from crypto over Web 2 alternatives (or at least at the same time). Thanks for your comment!