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Giant Insight #5

16-11-2018

Before sharing the blockchain conference results, we would like to reach a common understanding on what the standard crypto event really is about. The topic is controversial but still it’s better to voice it as it is. Furthermore, we have already expressed criticism towards the crypto industry in its current state so our regular readers won’t be surprised by this next characterization.

The members of a typical crypto event can be divided into several categories:

  • Traders and wealthy individuals who are ready to keep a share of their capital in cryptocurrency to gain high return. They are usually more marketing-oriented and not well-versed in technical details;
  • ICO projects ranging in quality which use aggressive marketing and in a constant search for investors;
  • B2B services which offer complex solutions for other projects for instance, exchange listing assistance. Exchanges with marketing strategies targeted on ICO projects;
  • Funds and B2C companies with package products for trading, mining hardware manufacturers;
  • Experts, blockchain enthusiasts.

Any attentive reader can deduce who hunts who on such conferences. Multi-million ICOs and unqualified investors are a main drive of marketing-driven crypto events. This destructive tendency limits the crypto industry to be just a poorly regulated access channel to unqualified investors. In situations like these, the society surrenders a share of its freedoms to gain protection. Citizens partially delegate the decision-making process to state organizations which must have a relevant expertise.

However, the crypto industry has not emerged without any reason. It is a massive reaction to the world financial crisis of 2008 that has showed the imperfection of the international financial system. Due to its young age, the crypto industry has a low entry threshold and low level of participants competence. Freedom brings chaos with it. This is why the majority of projects are trying to fulfill their short-term interests, using their access to unqualified investors. Sadly, in doing so they are giving strong trump cards to organizations which often combat the crypto industry in general. All of this is an absolutely natural global economic process. Despite its inevitability, we must realize these things too to form our own adequate agenda.