TL;DR
CryptoQuant CEO Ki Young Ju warns of a crisis in the cryptocurrency industry, comparing it to a “casino” due to a lack of innovation.
Ju criticizes the current focus on low-value products and the absence of innovative developers that once motivated traders.
The sector needs a new form of stimulation to revive interest and money flow, or it faces prolonged stagnation.
CryptoQuant CEO Ki Young Ju has launched a harsh critique of the current state of the cryptocurrency industry, describing it as a crisis that resembles a “casino.”
In his recent post on X, Ju argues that the sector has lost its ability to offer the emotional stimulation it used to provide to traders and builders.
Crypto Industry is in Crisis.
In the past, the crypto industry itself was like a game. A game abstracts the human pleasure pathways, providing an experience similar to real-life happiness by triggering dopamine release. This includes the joy of overcoming adversity, the thrill…
— Ki Young Ju (@ki_young_ju) September 16, 2024
In its early days, the crypto world was full of innovative promise and challenges, creating a strong sense of excitement for both those creating new technologies and those speculating in the market.
Ju notes that the industry was characterized by two types of exhilarating experiences: the possibility of making big profits through unpredictable bets and the opportunity to develop pioneering technologies.
These two aspects represented the joy of traders and the satisfaction of builders.
However, the situation has changed dramatically.
Early investors, drawn by the philosophy behind cryptocurrencies, have been replaced by a more conservative group, while innovative builders have been stifled by strict regulations or have pulled out after making substantial profits.
The current focus on meme coins and traditional financial products has led the industry to a phase of stagnation.
New entrants to the market, from fields such as finance, gaming and content, are failing to connect with the old enthusiasm for crypto.
This disconnect has resulted in a lack of synergy between traders and builders, who once propelled each other to new heights.
Need for Market Renewal According to CryptoQuant CEO
Lack of innovation and lack of fresh stimulus are affecting the flow of money and growth of the sector.
Ju warns that if the industry does not find a new way to motivate both traders and builders, the cryptocurrency market could face a prolonged period of decline.
Disillusionment with altcoin performance and a lack of exciting new opportunities are signs that the industry is in need of a significant reinvention.
In this context, Ju calls for action to develop new “games” and opportunities that can revive interest and investment in the sector.
Without substantial changes, the cryptocurrency industry will continue its path towards stagnation, with a decline in participation and investment.
Revitalizing the industry will require a renewed approach that can connect with the aspirations and enthusiasm of all stakeholders.
