Blockchain

Cryptocurrency prices increasingly reflect “real demand”

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In today’s Twitter topic, billionaire investor Mark Cuban weighed the current state and future of blockchain technology and investment, and finally concluded that although the real barrier to adoption is that asset prices are increasingly reflecting The real “utility” and “demand” will come out. Eventually, this day will come, and the cryptocurrency will “mature to the point where we don’t know how we live.”

Cuban posted 10 tweets this morning, stating that as the asset class matures, the price of cryptocurrencies is now usually a by-product of current use, rather than a speculative final utility.

He wrote: “Having more TPS and lower gas fees is far from enough. It probably refers to the very few activities that various first-tier chains often claim.” For most L1 and L2 , This is a challenge, because with a few exceptions, marketing in the encryption field is terrible. “

He pointed out that when he asked “their products, sales, gross profit dollars and profits”, he often “confuses” the team, but these indicators are very important in what he calls a highly competitive field.

In addition to the marketing dilemma, the Dallas Mavericks owner also said that a lack of extensive understanding of key mechanisms such as protocol management has also hindered growth. He believes that not enough work has been done to “emphasize the impact of governance on the platform and its products/services.”

However, he ultimately believes that participation in governance (a “beautiful thing” at best) will become the standard:

“I think that over time, all users will expect governance and most people will at least vote to contribute. But today, people still know very little about this, which hinders the development of certain platforms. ”

An encryption technology has surpassed the current stage-a kind of cryptocurrency that needs to “educate users, must sell products and services and fulfill its original promise”, and then digital assets “can mature to the point where we want to know how we will survive To the point of going down.”

Cuba has been particularly optimistic about cryptocurrencies recently, most notably reiterating its support for BTC and Dogecoin as payment methods Derogatory comments by billionaire Elon Musk This is likely to crash the market: