Cryptocurrencies are garbage is one phrase that most crypto bashers have used at least once in their speeches. Now, angel investor Jason Calacanis has repeated this sentence claiming that 99 percent of cryptocurrencies are garbage and provide no real value to the investors.
Historically, 99% of crypto projects are garbage run by unqualified idiots, delusional but below average founders or grifters… the 1% that are not, could change the world.
I’m waiting for that 1% to deliver their product so I can talk to their customers.
you got customers?
— firstname.lastname@example.org (@Jason) June 27, 2020
The world today has more than 5000 different cryptocurrencies. Barring a few projects, most cryptocurrencies sell for a fraction of a dollar. While some coins have gained worldwide recognition and are on the verge of challenging traditional fiat money, most coins have failed big time. Even before Coronavirus stuck, crypto experts were predicting the demise of worthless coins.
If cryptocurrencies are garbage, how safe is blockchain
Jason Calacanis, a well-known angel investor, expressed his views on Twitter, saying that weak cryptocurrencies will soon be flushed out of the market. What makes his comment stand out was that he thinks a mere 1 percent of the coins provide any real value, and the rest are worthless.
This means that out of 5000 cryptocurrencies in existence today, just 50 cryptocurrencies are going to have any meaningful future. To put it into perspective, 99 percent of coins would be wiped out, and billions of dollars of investments would go down the drain. Such an event would likely have a massive impact on the market capitalization of the crypto industry.
Does this mean the end of the road for crypto?
Similar sentiments have been echoed by Neel Kashkari, Kevin Rose, and many more financial wizards. Kevin Rose stated that most cryptocurrencies are garbage and these projects are mere eyewash that exist solely to generate profits. These coins have no inherent value and cannot compete with fiat money at any level. Most crypto coins are imitation projects meaning they provide a solution for a problem that has already been dealt with.
Still, a handful of coins do have a promising future. Bitcoin, Ripple, and Tether projects do carry significant real-world implications. As economies go digital in the wake of Coronavirus pandemic, the potential for cryptocurrencies has also risen manifold. Crypto space will continue to sprout more coins.