How Defi "hype" compares to previous crypto hype cycles

By DaniBom | danibom | 21 Aug 2020


The talk of the last weeks/months in crypto has been defi and uniswap, farming and yields and many other financial instruments coming out, pumping or dumping, scamming or growing.

Yesterday i saw the latest (79th) episode of Shitcoin Talk on youtube; a live streaming show that started in august of 2016 with a few "crypto twitter OG's" rotating and talking about shitcoins, charts and overall crypto things in a funny way.

One of the guests yesterday was CryptoMessiah, who's a leading voice in this defi/uniswap gem hunting seasons and he explained a lot of interesting things, while most of the others in the show are not much into uniswap yet. One of the things all talked about is how this compares to previous hype cycles in crypto, and all were referring to 2014 or 2016, when many new copycat coins were created and new narratives started out of the blue. Most of those coins died, but in the middle of it some innovation came out and grew over the years.

The same is going on with Defi, many of these projects will die and disappear, while some innovation will make way for a new bull cycle.

The feeling in the chat was that new money is not in yet and we may experience a 2017 like bull run in the next months, probably after BTC clears a new all time high; so the "defi hype" is still just starting and how Messiah said only 4% of ETH is locked in DEFI, while during the ICO bubble of 2017 over 10% of ETH were locked.

I'm not too comfortable constantly gambling on new projects, but i still follow the action and buy something new from time to time, trying to avoid scams and looking for innovation and new narratives.

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DaniBom
DaniBom

Crypto, NBA, golf and movie fan


danibom
danibom

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