Cryptocurrency–Charles Hoskinson has been one of the more fortunate, and potentially industry leading figures in cryptocurrency over the last fives years. The former consultant purchased his first BTC at under 8 USD, and started an online school for Bitcoin education in 2013, when the currency was trading for less than 100 USD. Through his connection to the digital education portal, he first met Vitalik Buterin, a relationship that led to Hosksinson becoming one of eight original founders of Ethereum (currently commanding a market capitalization of 47 billion USD).
While Hoskinson left the project in 2014 following disagreements over the structure of Ethereum, his high-profile presence in the industry became a springboard for other projects, notably 2017’s release of Caradano (ADA). With his background in Bitcoin and Ethereum already well established, Hoskinson embarked on a new project to account for deficiencies found in both currencies, most notably the inability to scale to levels necessary for widespread adoption. Using his experience from the founding of Ethereum, he started the Input Output Hong Kong (IOHK) blockchain firm in 2015, which led to the development of the Cardano platform and ADA cryptocurrency.
Trillion Dollar Prediction for Cryptocurrency
Given his extensive history and knowledge of both the industry and market of cryptocurrency, Hoskinson has become a beacon for predictions and future proofing in relation to the technology. Most notably, he has become an outspoken contrarian to the general media’s take on crypto as a conglomeration of ponzi schemes and vaporware projects.
What's often missed by the cryptocurrency is going to die broken record media is that after the next wave of regulation, wall street is showing up to the party with all their locked up capital. That's tens of trillions of dollars entering the space eventually. Future is bright
— Charles Hoskinson (@IOHK_Charles) June 21, 2018
There are a few takeaways from Hoskinson’s bold prediction for market capitalization, in addition to his critique of media coverage towards crypto and the constant schadenfreude colored narrative. While traditional media has long operated under a “if it bleeds it leads” model of headline-grabbing, the amount fear, uncertainty and doubt being produced by supposedly reputable outlets like CNBC is becoming unbearable. The public, or at least a handful of gateway journalists, have become inundated in seeing the failure of cryptocurrency.
‘Most of the personal attacks against crypto are unjustifiable and emotionally driven: when people hear stories of average joe investors and tech geeks becoming overnight millionaires, they feel a sense of loss. The real problem is in how the media creates the narrative of cryptocurrency as only price-driven. That’s akin to judging the health and functionality of the internet by how Apple and Facebook stocks are doing. Crypto currencies may be the immediate figures to respond to market changes, but they have little to do with the adoption, advancement and innovation of the underlying technology.
Hoskinson also brings up the point that “big money,” in the form of Wall Street and fintech developers, has barely scratched the surface on crypto investing. It’s not that Goldman Sachs will step in tomorrow and take BTC to the moon; it’s the underlying idea that crypto is still in the early days of adoption. Most main street investors take their cues from the financial figureheads and gurus entrenched in traditional Wall Street. As more outlets of high capital trust enter the realm of blockchain and cryptocurrency, the barrier to entry becomes that much lower for the average investor and developer.
Adoption, particularly when accompanying widespread disruption, is a process that takes time. But it also follows an exponential curve. As someone who has been involved in Bitcoin since the early days, Hoskinson has an inherent understanding of the time frame for cryptocurrency to reach its full potential. That doesn’t help the wallets of new investors who entered the market during this bear cycle (or worse, at the top of last year’s bull run), but it does provide hope for the technology and the feasibility of cryptocurrency going forward.