Yaroslav Writtle, Engagement Manager at Wilton & Bain writes:
The last 18 months have certainly been a roller coaster ride for the cryptocurrency markets. Starting with ICO boom which really kicked off in Spring 2017 allowing ambitious, and in some cases dubious, projects to raise tens if not hundreds of millions in funding and starting a snowball effect that blockchain will become the solution to all global problems, sending Bitcoin price to nearly $20k. What followed is the inevitable crash in January 2018 which triggered the “crypto-winter” in which we find ourselves still 10 months later with Bitcoin hovering around the $6k price point. A perfect demonstration of the Technology Hype Cycle and what happens when money runs ahead of technology.
And what a transformative yet educational 10 months it’s been – Darwinism governs the market where long-term value trumps short-term hype, shaking out “quick-buck” investors, maturing to a point where projects recognise the need to create sustainable business models delivering value and seeing token generation events as milestones not end destinations. In short, quality is replacing delusion.
Rational minds are prevailing and the gaze is turning away from the price action and towards the underlying transformation that is taking place – the beginning of a new decentralised data ecosystem. Markets are moving into a new era which is becoming more open-source, distributed and decentralised. Data is becoming the new commodity that can be shared and commercialised.