The purpose of this essay is to compare the dot-com revolution with the current revolution of the blockchain technology. The comparison will hopefully paint a clearer picture of the mania surrounding the world of cryptos. It will help us understand and forecast the future of a revolutionary technology so that we may look past the mania of the bipolar market.
The dot-com revolution gained interest around 1997 peaked in 2000 and "burst" in 2002. The word "burst" is misleading because it has connotations like "end". It was more like the end of the mania and the beginning of a real industry. Very similar to what is happening with blockchain today.
Regulation:
Government regulation should be welcomed by the blockchain community. It seems silly that the crypto-market sells at any news of regulation. Regulation is merely a step in the adoption and recognition of the new techonology that MUST happen for the industry to be successful. It is the government doing its job; protecting the people from scams (of which there are many), regulating the flow of capital and catching on to a fast-pace private expansion.
The bubble:
A bubble is merely an overvaluation. It happens when people are paying above the intrinsic value of an asset. It is safe to say that many of the cryptos out there are overvalued, bitcoin probably comes first in the category. But there are also many that offer real value that are possibly very undervalued. It is just about choosing the amazons over the dogecoins. When the bubble does burst the dogecoins and other cryptos that do not offer real value will not survive. The cryptos that do survive will also take one hell of a beating but they will survive because they offer value. Look for companies that offer real value.
Destructive/Constructive Technology:
The Dotcom revolution destroyed a lot of business and it still is to this day. Online retailers are absorbing customers still to this day and it has been a good 18 years .Blockchain is going to destroy many companies, companies that offer third party related services and many more that can only be left to imagination. In their ashes the blockchain will arise and construct an even more effective system than they could ever offer. Just imagine voting for a president using blockchain technology- transparency for everyone.
In the fear and mania one can find safety of thought by understanding the value that is going to be added by the blockchain. Be calm in the storm by looking and holding onto value creating products.