But what if you already have a currency outside and want to get into the illustrious club of the Top 100? Here you have to start the marketing machine! It needs then less interesting protocol updates like an off-chain scaling of transactions – that is already much too far thought.
The crypto market is fast and nervous. Many investors don’t buy and sell on the basis of a scalable protocol or a fantastic user experience, but because of blatant news. And these can be brought quickly: Partnerships, (alleged) former employees of large companies who join the project, stock exchange listings or other announcements have been a tried and tested means of arousing the interest of buyers for some time.
Partnerships are always a Bitcoin profit
Whether they are real or more than lip service is secondary. It is important that the name of the Bitcoin profit is next to any other project. Cynicism aside: partnerships with Microsoft, BMW, SAP or similar companies are certainly a milestone. Too often, however, it is reminiscent of the lip service paid to start-up culture by Bitcoin profit representatives of large companies. Nevertheless, there were no great innovations created by joint ventures with start-ups. As long as a partnership is not linked to a specific goal, it is first and foremost an advertising break.
Rebrands are just as often a completely comprehensible thing. Revising the user experience of all products, redesigning the logo as part of a reorientation of the project goals, drawing up a new roadmap, perhaps even changing the name – all this is comprehensible. But often you pretend that a rebrand is a great event that will dramatically increase the value of a crypto currency. The same applies here as for partnerships: without, for example, an improvement in functionality, you only have to deal with a short-term pump.
(Not) Every Bitcoin profit is breeze!
Probably my problem with partnerships and rebrands is the inflation of Bitcoin profit that currently exist for crypto currencies. Partnerships are announced (but not mentioned), a rebrand is announced, a stock exchange listing is announced, yes, an announcement is made – and the Bitcoin profit market goes crazy.
But to be fair, the correct form would be the past tense. While people reacted nervously to every announcement at the beginning of the year, the market is currently a bit calmer again.
Does the biblical “Breeze of the Wind, Breeze of the Wind, Everything is Breeze of the Wind” now apply? Not at all! Sure, a few months ago I wrote a column on the tiresome subject of bubbles in the crypto ecosystem. I have shown that the crypto currencies are not a single bubble, but rather resemble a bubble bath. Many of these Announcements, Airdrops and Hard Forks are small bubbles in this bubble bath. They should also be evaluated accordingly: they neither sustainably build up the crypto market, nor ruin it. In order for the market to continue to grow sustainably, it is important that the younger projects in particular now deliver. I am convinced that this will happen and that this year can be much more than a year of announcements!