Source: https://www.linkedin.com/feed/update/urn%3Ali%3Ashare%3A6897371230521892864
#Web3: Get ready for the #crash: Tim O’Reilly, #Internet #guru: It’s very hard to convince somebody of a thing when #financial #gains depend on them believing in it: #Beliefs #Financial #Returns #Risks:
• Is all the #money pouring into #blockchain and #Web3 a #bubble?
#Web3 is attributed to the idea that there’s going to be a new #decentralized #web based on #cryptography and the #blockchain. We won’t know what Web3 is until after the current #bubble pops where there’s all kinds of crazy #startups getting #outrageous #valuations…
I think there’s a lot that’s interesting about the #blockchain, in theory… even though it is #slow and very #expensive, and it’s #hard to use #distributed #databases, there’s a lot of #investment pouring into it, and people are trying to figure out actual things that might actually be useful.
• What’s the difference between #blockchain #tech, #cryptocurrency and #NFT’s?
In the case of #blockchain, it’s so obscured by the #speculative #value of #cryptocurrencies, which are just basically a #speculative #asset. They’re #not #intrinsically #valuable or #useful. And then you kind of get this layer of #NFTs, which are that — only more so.
It really is a pretty #serious #speculative #bubble on a very small foundation. That being said, once you get those #bubble #valuations, it does attract a lot of #capital and #talent — and people may start really #building something on top of it.
• With #cryptocurrency you just have to think about that as #gambling. But you don’t actually think of that as an #investment.
#ControlDoctrine
What’s your advice to the most ardent champions of #cryptocurrency and #NFT — the #true #believers?
There are those who are building a new #decentralized #user-#empowering #financial #system. And to them, history teaches us that there will always be #new #avenues for #power to become #centralized. In fact, the entire #history of the #computer #industry was radical openness, which led to a lot of #innovation, which later led to closing it down. So I believe that if you’re a true believer in the #technology, look for the ways that your belief will be undermined.
There’s a second class of true believer, and that’s really the #crypto #valuations. Whatever you do, don’t #borrow against the value of your #crypto #holdings. If you do, you will be seriously #underwater. You will not just lose your imagined fortune, you will be #bankrupt in the real world.
• How long until the #metaverse, a #virtualreality #socialnetwork, is ready for prime time?
The #metaverse itself is full of #bubble #hype… probably a decade or more away from being really useful. And even then, how much time will people spend in this #VR online #space?
With #cryptocurrency, what we would formally have called #stock #manipulation is, in some sense, becoming part of a #hype #cycle.
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#Global #Digital #CEO-#CxO #Networks:
Global Risk Management Network LLC: Silicon Valley-Wall Street-Pentagon-Global Digital CEOs Networks:
