The question in the title of this text was addressed by Michael J. Casey, chairman of the CoinDesk advisory board and senior adviser to Blockchain at MIT’s Digital Currency Initiative.
Cryptocurrencies in crisis?
Casey at the beginning of his reflections asks a question – in his understanding – rhetorical: “When was it not in a crisis?”. Sam suggests that a crisis “is a natural state for open-source technology, which involves a diverse, global, deprived community in discovering the idea that promises to reorganize the structure of our economy.”
You can not quite agree with this opinion, but it is worth appreciating the next observation. Well, Casey rightly notes that today the final result of the global implementation of Blockchain or other decentralized technologies is difficult to imagine. The enormous potential of this process implies that it is necessary to accept “wild, impossible to measure predictions” that are associated with “unbridled speculation and hype”. This in turn explains the volatility of the price and its huge jumps in both directions.
Bitcoin is like a rat?
According to the adviser Coindesk, Bitcoin can be compared to a “sewage rat”. The main cryptocurrency “can accept what the world throws at it.”
Despite this, it does not mean that Bitcoin will soon (or even at all) reach new ATH.
Casey emphasizes that the purpose of his text is to try to answer the question how to survive the bear market and how the community should deal with it.
“Let’s have fewer [slogans]” to the moon “and” Lambo “and more discussions about peer-to-peer exchanges, smart contracts and decentralized applications,” he says. He also asks a question about the identity of the cryptocurrency community. He believes that the current time is “an ideal opportunity to undertake (…) multilateral engagement.” And it’s not just about programming (though, as he thinks, it’s no coincidence that the most important works of this type were made during the bear market, just like the uprising Ethereum). It was during the previous bear market that the wave of new investors, but also later promoters, became interested in Blockchain technology. These were often influential people: lawyers, bankers, managers or politicians. This also shows how the cryptocurrency community is still diverse and has enormous potential.
Casey, however, calls for a better self-defining of the community. At the moment, he sees the potential and the need to do even more because “securities market regulators struggle with defining and managing markets”.
It is also, in his opinion, necessary to dump the label of fanatics from BTC supporters, and to show the world the real significance of decentralized solutions. “Blockchain is a complex, multi-faceted social technology. Therefore, achieving the full potential requires different types of specialist knowledge. “Here again, not only is the knowledge of programming, but also legislative, marketing or educational skills.
He admits himself that he is looking at crypto-fans for fancios or fanatics, as well as criticizing the block network technology. However, it has a rather logical answer:
“The rejection of bitcoin due to its limited scalability in 2018 is like attacking the Internet in 1995, because 28 bps modems were too slow to allow sensible connectivity – as if no engineer saw the problem or worked on it.”
The road to BTC’s success leads through the community? That’s what Casey tells us. He believes that the current bear market should be used to work at the root – educating new members of the community (for this reason Atlas was created), creating innovative solutions based on Blockchain or creating legal definitions of cryptocurrencies. But how do you view these issues? How are you going to survive the bear market?