The Intersection of Status as a Service and Changing Reading Habits


Hatched by Glasp

Jul 31, 2023

4 min read


The Intersection of Status as a Service and Changing Reading Habits


In today's digital age, social networks have become an integral part of our lives. We are constantly seeking status and social capital, and social networks provide a platform for us to maximize our social standing. However, the measurement and analysis of social capital remains a challenge. In this article, we will explore the concept of Status as a Service (StaaS) and its connection to the changing landscape of online reading habits. We will discuss the importance of diverse perspectives, the limitations of paywalls and filter bubbles, and the need for intentional and informed reading. Additionally, we will provide actionable advice on how to navigate the social media landscape and make the most out of online reading experiences.

The Importance of Social Capital and Status:

Humans are inherently status-seeking beings. We strive to maximize our social capital and seek out the most efficient path to increase our status. While social networks have become a dominant force in our lives, they are rarely analyzed in terms of status or social capital. The measurement of financial capital is well-established, while social capital remains elusive. However, social capital plays a significant role in the success and decline of social networks. Understanding the accumulation of social capital assets and the nature of status games is crucial in analyzing social networks.

The Cold Start Problem and Network Effects:

Successful social networks must appeal to users even in their early stages. This is known as the cold start problem, and it is often solved through the provision of single-user utility. The initial user base sets the foundation for network effects, which are essential for a network's growth. The value of a social network is proportional to the square of the number of connected users, highlighting the importance of network effects. However, the dynamics of network effects and the accumulation of social capital assets are complex and require further study.

Utility vs. Social Capital Framework:

Social networks can be categorized based on their utility and social capital dimensions. Utility refers to the practical value and usefulness of a network, while social capital relates to the accumulation of social status. Successful social networks often compete on the social capital axis, as they tap into existing pools of social capital from other status games. Early adopters have an advantage in accumulating social capital, but as networks scale, maintaining a balance between utility and social capital becomes crucial.

The Role of Proof of Work and Skill-Based Networks:

Proof of work is a significant factor in determining the value of social capital. Social networks that require actual skills for users to differentiate themselves create a more sustainable status game. Different networks employ various mechanisms to reward users' efforts and provide a return on their work. Market making between content and the right audience is essential to ensure users feel a sufficient return on their investment. Networks that fail to provide a compelling reason for users to switch or duplicate existing status games often struggle to gain traction.

The Fragility of Status as a Service Businesses:

Status as a Service businesses face inherent fragility due to the volatility of status and the winner's curse. As networks grow, maintaining high signal-to-noise ratios becomes challenging, leading to the imposition of algorithmic feeds. This diminishes the distribution of individual posts, potentially affecting user engagement. Network effects can be fleeting, and the stability of a status lattice depends on the composition of the network. Social networks must strike a balance between social capital, utility, and entertainment to sustain long-term success.

Actionable Advice:

  • 1. Be intentional in your online reading habits. Ask yourself what you need to know or learn to achieve your goals and seek diverse perspectives.
  • 2. Seek out sources beyond your preferred media brands to avoid filter bubbles and broaden your understanding.
  • 3. Be critical of the information you consume and consider multiple perspectives before forming an opinion. Fact-check and verify claims to ensure accuracy.


Status as a Service and the changing reading habits in the digital age are interconnected phenomena. Understanding the dynamics of social capital and status games is crucial in analyzing the success and decline of social networks. By being intentional in our reading habits and seeking diverse perspectives, we can navigate the social media landscape and make the most out of our online experiences.

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