Blockchain, right now, in the early 2020’s, is analogous to the Internet boom of the late ‘90s.
And, as happened in the ‘90s, there will be winners and losers, but the Blockchain winners will win big - and I believe, much bigger than the winners of the dot com boom.
Partly this is because the companies that “boomed” out of the ‘90s only touched a few aspects of our lives - social, ecommerce, the sharing economy and a few others.
But Blockchain encompasses the foundation of finances themselves, and blockchains like the Ethereum network bring with them exciting new ways to take “trust” completely out of various situations, such as contracts / agreements, health, medicine, supply chain tracking, voting, social media, ecommerce and, of course, money.
The value of blockchain technology (and it’s associated applications) cannot be measured with the same metrics as most other asset classes.
It’s a different world entirely.
Many people attempt to understand Blockchain and crypto by using familiar investment metrics and philosophies, (I learned many of these in my years in finance) but that belies the fact that many of those financial paradigms for valuing stocks, companies and commodities just do not apply here.
Crypto and blockchain are more than just something to dabble in, invest in or speculate in. They are revolutionary technologies that can actually change the world for the better. (To bring back a phrase popularized by those dot com companies)
Noted Bitcoin maximalist, Michael Saylor has pointed out that “Bitcoin has increased by 200% per year for a decade” and he expects continued and increasing growth in value in the decades to come.
Of course, investing in crypto itself is not for the faint of heart. The price swings can be breathtaking if you’re not used to them.
But for those who are willing to take the time to educate themselves about an emerging, multi-use-case asset class, (and to “hold on for dear life”) it just might be one of the most financially rewarding investments you’ll ever make.
