Cryptocurrency is now reminiscent of Apple stock in 2001

Cryptocurrency is now reminiscent of Apple stock in 2001

Cryptocurrency startups from around the world over the last fifteen years has collected billions of dollars of investment to the creation of the companies-software developers, which they hope will change all the rules, starting from the voting process to the stock trading.

However, even the most ardent advocates of cryptocurrency assume that most projects will fail.

“Ninety-five percent become nothing because this is the initial funding,” — shared his opinion CEO of eToro Yoni Assia.

His comments reflect the words of Joseph Lubin, co-founder of the Ethereum cryptocurrency, who this week compared the cryptocurrency boom with the dot-com bubble of the late 1990-ies, which ended in a spectacular bankruptcy in the early 2000-ies.

Lubin said at a press conference in MoneyConf in Dublin: “Look at the boom and the dotcom recession, then there were so many of the same problems. So much money has been invested, much money was lost, many failed projects.”

Dominic Shiner, the Creator of the cryptocurrency IOTA, expects that in the end will survive at least 10 cryptocurrencies of the more than 1,400 cryptoprocta that have arisen in the past two years. Those projects that survive will transform the world and make their holders fabulously wealthy.

New cryptocurrency projects have been invested a huge amount of capital mainly thanks to the so-called initial coin offerings (ICO). Startups release their own cryptocurrency, similar to Bitcoin structured, in exchange for money to Finance their projects. According to the consultant NEXT Autonomous ICO has attracted more than $ 9 billion. USA with the beginning of the year .

Asia, said:

“You have something you never had, even in the dotcom bubble: if you have a brilliant idea, and you make sketches on paper, and suddenly there will be 100,000 millionaires who read it and said,” Hmm, that’s a really good idea”, you are on a roll! 1000 or $ 10 000 for the 100 000 millionaires, not money, and you just collected $ 10 million for its ICO. This has never happened before.”

As with any investment, there are risks with the ICO, and they are pretty high. This sector is largely not regulated in the world and has not once faced with the problem of fraud.

Investing in cryptocurrency now “is as good an idea as investing in the Internet 10 years ago,” said Assia, assuming the blockchain can be as transformative as the Internet.

Assia also said that the ease with which companies can raise funds proves serious prospects Blockchain technology:

“Now, the cryptocurrency is reminiscent of Apple in 2001, when the company released the iPod and the iBook and has increased dramatically.The same can be said about new products on the blockchain, which can be a driver of technology development.”

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