Crypto Innovation Cycle
The crypto industry has been around for about 15 years, and many people have identified recurring patterns. One pattern I’ve noticed is what I call the crypto innovation cycle.
This cycle began with Bitcoin and consists of four phases.
Phase 1 — Invention
In this phase, a new paradigm is invented. This idea typically reimagines something traditionally done differently, but crypto enables it to operate without centralized control. Phase one is always met with extreme skepticism as people struggle to grasp the core invention.
Phase 2 — Evangelism
In this phase, core believers promote a narrative about how the invention will change society. Early adopters recognize the invention’s potential and craft stories to explain its value to the masses. This leads to the rise of subject matter experts who proselytize and educate others about the invention.
Phase 3 — Adoption
In this phase...