why in the world did they link to that Vitalik tweet that implied crypto was in a massive bubble?
- So total cryptocoin market cap just hit $0.5T today. But have we earned it?
- How many unbanked people have we banked?
- How much censorship-resistant commerce for the common people have we enabled?
- How many dapps have we created that have substantial usage? Low added value per user for using a blockchain is fine, but then you have to make up for it in volume.
- How much value is stored in smart contracts that actually do anything interesting
- How many Venezuelans have actually been protected by us from hyperinflation?
- How much actual usage of micropayment channels is there actually in reality?
- The answer to all of these questions is definitely not zero, and in some cases it's quite significant. But not enough to say it's $0.5T levels of significant. Not enough.
The reason is simple. Say 1 coin is valued yesterday at $1, there are 300M coins, so the market cap is $300M. The total coin trade today was such that one instance when somebody bought at $3/coin, for $2000, makes the coin price today to be $1.01 and $0.01 X 300M coins = $3M so called growth in market cap.