Is It The End Of Crypto As We Know It?
An account on the prices of cryptocurrency. What is the future of crypto? Is it dead for good?
Why Are Crypto Prices Fluctuating?
With a scary madness for the current price, Bitcoin keeps falling and rising in $500 increments that are with regularity as also Ethereum and the attendant ICOs keep to be in a seeming freefall with few dead cats bounces keeping things lively. Whereas what this sign is not that crypto is dead however it signals that the early elated period of trading has now milestones including the launch of Coinbase with the growth of a vibrant professional ecosystem is over.
Still running on hype is crypto where Gemini announces a stablecoin as the World Economic Forum is saying something less hopeful where these things and more of them are helping define the current market while something else is happening behind the more important scenes
The socialisation and general acceptance of entrepreneurs and the entrepreneurial pursuits as of now is a very recent thing while in the old days of around circa 2000, building your business was considered somehow sordid as the chancers who gave it a go was considered get-rich-quick schemers worth of little more than derision.
It was found that the dot-com market had exploded, as building your business however wasn’t so wacky while doing it required the imprimaturs and resources of the major corporations like Microsoft, Sun, HP, Sybase, etc. with a connection to academia like Google, Netscape, Yahoo, etc. while they didn’t just quit school, buy a laptop and start Snapchat.
To make the revolutionary thought that school wasn’t so great and that money was available for all good ideas to take hold, took a full decade of steady change. While looking at the crypto markets currently we must, therefore, look at the dot-com markets circa 1999 with massive infrastructure changes as some brought about by Y2K had computerised almost every industry where GenXers was born in the late 70s as also 80 s as it were in the marketplace of ideas along with an understanding of the internet as the oldsters at the helm of media research and banking didn’t have. Thereafter it was found as the massive wealth transfer from the middle managers pushing paper since 1950 to the dot-com CEOS pushing bits with native ease.
Even now we see much of the same thing where Blockchain natives are therefore boasting about having been interested in bitcoin since 2014.
While it is realised that banks get in on things sooner than later with price manipulation which is rampant simply because it is easy with projects we see now as the Kozmo.com of the blockchain era, pie-in-the-sky dream projects sucking up millions funding and producing little in real terms whereas for every hundred Kozmos there is one Amazon. Here this is what you have been looking for.
Why Is It That Every ICO Launched In The Last Few Years Are Failing And Does It Matter?
Currently eating its young is the market where early investors made millions on the early ICOs whereas the resulting noise has created an environment as the best and brightest technical minds faced with not only creating the technical product but also maintaining the monetary system. While this brings the fact that there is no need for the smart founder to have to worry about the token price but here, we are.
Stepping aside or calling for outside help after their IPO are most of the technical CEOs, as a fact that points to the complexity of managing shareholder expectations but was happening when the shareholders are 16-year-olds along with a lot of Ethereum in a Discord channel? Also, what is set to happen when little Malta becomes the de facto launching spot for token sales, and you are based in Nebraska? Then what is happening when the SEC, FINRA, and Attorneys General from here to Beijing start investigating your hobby?
In this context your hobby stops becoming a hobby as crypto and blockchain have weaponised nerds in an unprecedented way as in the past if you were a Linux developer or knew a few things about hardware, then you could build a business and make little money whereas now you can build an empire and make a lot of money.
In this scenario, crypto is falling because the people in it for the short term was leaving as the long-term players the Amazons of the space are yet to be identified. Facing a compression in the ICO is what we are heading at and it is going to be a lot harder to build the ICO giving a few years, once the various financial authorities are getting around to read the Satoshi white paper seeing a sea change. Hereafter coverage will change, services will change as also the way you raise money will change.
Before VC used to be more about a team and a dream while now it is about a team, $1 million in the monthly revenue and a dream as the risk-takers are gone. There are some dentists from Omaha once visiting accelerator demo days writing $25,000 checks for the new apps who are too shy to leave their offices. Until they can cash out, the flashy VCs from Sand Hill have to keep Uber and Airbnb’s plates spinning. For the small entrepreneur, VC is dead.
The Closing Thoughts On The Topic
This is the reason why the ICO is so important as it is why the ICO is such a mess right now where everybody sees the value but nobody else can understand how to do it right. For crypto, there is no safe note and no serious accelerators. They will tame the Wild West where no one has earlier done. Here they do expect a whole new crop of Amazons, Ubers, and Oracles as the technology changes quickly where there is money, talent, and way to marry the two in which everyone wins.