Price ≠ Value
This article discusses the difference between price and value in the cryptocurrency market, and explores the potential of blockchain technology for long-term growth.
Currencies vs Investments
"First, currencies are not an investment; they are a medium of exchange; that is, you use the currency to buy goods and services and/or investments."
Many of the new cryptocurrencies that have been printed over the years are NOT investments, in and of themselves. The "investments" to watch will be the companies or applications being built on top of, or with, blockchain technologies.
The Reality of Cryptocurrency
Over the last decade, thousands of cryptocurrencies were created because people could make "millions" (on paper) doing nothing. Because there was little to no regulation, many thought they could get away with it. But this is not sustainable. And it's showing. People are being sent to prison. Exchanges are shutting down. And "the law" is catching up.
What's Popular Isn't Always True
If you've been following my journey, you'll know that I've been in the space long enough to know a thing or two. I've certainly turned from a young, naive believer, into a more pragmatic, long-term thinker & builder. The reason for this is because I've experienced the reality of all this technology in day-to-day life. In summary: what's popular, isn't always what's true.
The State of Crypto
Every new cryptocurrency or token being created is now actually adding to fundamental problems related to finance, not eliminating them. It is making things more complicated than they need to be. The entire crypto ecosystem has become antithetical to what it was originally intended for.
The Future of Blockchain
I believe we still have about 15 years left before we see true players emerge and before blockchain technology hits mainstream globally. The above statements don't take away from my passion for the underlying blockchain tech, or the industry, but the crypto ecosystem as a whole has gotten out of hand. I look forward to everything consolidating.
The potential of blockchain technology is immense, but the current state of the cryptocurrency market needs to change in order for it to reach its full potential.