The expression “bad money crowds out the good” refers to Gresham’s Law. It means that once lesser-quality and counterfeit currency begins to be traded, people hoard the good stuff and only trade the poor substitutes.
Social media platforms fall into a trap like this when they seek to grow. For example, at the beginning, Substack had a very high signal to noise ratio–plenty of good ideas and so readers were happy to expect that an email from them or recommendation from the platform was worthwhile. It didn’t get put in the spam or promo folder, because it wasn’t spam.
But now, having run out of the highest-quality content, the site is making it easy for hustlers to import vast lists of email addresses and quickly grow (or appear to grow) their lists. I’m getting unsolicited and unwanted”subscriptions” often, and the easiest thing to do is just send all of their messages to spam. Which hurts the original good currency. Once the bad “money” shows up, it attracts more bad money.
The same thing happens when trusted sources start padding their content with AI slop, or when a small business inserts a few low-value, high-margin items into their sampler pack.
Attention is precious. Trust is even more so.
When you trade them both for growth, it’s inevitable that you’ll fade away.