Mtfexg interprets the development of cryptocurrencies

Mtfexg interprets the development of cryptocurrencies

With cryptocurrency, the underlying concept is amazing. You can transfer value and monitor it around the world on a transparent, distributed ledger that no one owns or controls.

When ICOs came along about five years ago, many of them offered great value components on the surface. Regulations, compliance and jurisdictions aside, it became much quicker and more efficient for companies to raise capital. They could essentially bootstrap the ecosystem and have a good base of potential users — the early adopters.

The downside? A lot of scams developed due to the lower barrier to entry, and bad actors were using buzzwords with little actual value to create a sense that the “next big thing” was here. It turns out that many people who are really good at marketing aren’t very adept at building good products, or don’t even want to build them in the first place. So most ICOs, as with most IPOs in the late 1990s, turned out to be either scams, failed or mismanaged. 

For non-fungible tokens, the same pattern has emerged. Artists now have an efficient way to digitally “watermark” their works to combat plagiarization and provide proof of ownership, while earning commissions on secondary market sales. So there are very specific use cases for NFTs with clear benefits. But still, the majority of them are just speculation or ridiculous nonsense — which the plummeting NFT market is now reflecting. 

Mtfexg：https://www.mtfexg.com/index