Nowadays, more and more statements from the world of crypto insist that only the 1% from the whole coin have real use case.
First it was Brad Garlinghouse (Ripple CEO) in an interview on Bloomberg said that in the future will survive only the 1% of the crypto projects and the rest will probably going to zero.
Following, the CEO of the famous China crypto project VeChain, Sunny Lu said that there are a lot of cryptos with no real use case and they have value only in order to be manipulated from people with massive pump and dump. They win money and the people lose their money.
Also claimed that a lot of start ups try to copy and tokenized their product and they don’t try to solve a real world problem.
More than 6100 Cryptos Available
At the time of writing this article I can see in Coingecko the unbelievable number of 6152 projects with a market cap around $ 193 billions. In combination with the BTC Dominance at 66,2% it is clear the fact that we talking about a mess.
All of those coins are created because it is really very easy to launch a new coin and try to convince some investors or people to support the project. A lot of projects are leading to scam other companies abandon the project and they don’t deliver any updates to the people.
Another reason is because a lot of new cryptos come after a fork usually from BTC but not only. So, they claim that they have a new and better code however, they only copy the old project with some changes like Bitcoin Cash or Bitcoin SV. They don’t solve a problem they just created because the entrepreneurs want to earn some quick money.
To sum up it is easy for me to agree with the two CEOs about all of those projects future.
There are a few coins which have a real use case and I think it is about 40 coins of the whole market cap including great and very innovate projects like Bitcoin, Ethereum, BAT, IOTA, Cardano, SIA etc. Of course this is not the whole list but an example.
The biggest problem is that there are a lot of crypto projects which solve the same problem with almost the same approach like Ripple the big competitor Stellar and the OmiseGo, they provide us with the same solution with different code and protocols.
So the people don’t need ten different smart contracts or 20 different ways to pay with different coins. People need projects which are solve the problem fast and safety and the most important to be as decentralized as can be.