1 – The ICO market is still alive and kicking – and vastly undervalued
Nobody should underestimate the continued innovation coming from the ICO space. Blockchain is such a disruptive technology for reducing cost, increasing transparency and transferring value. Exclude Bitcoin, and crypto’s market capitalisation of $91 billion is less than that of Paypal ($107 billion). It’s clear the upside is massive.
2 – Institutional investors are coming – it’s just a matter of time (and regulation)
According to Bloomberg, Morgan Stanley is planning to offer Bitcoin Swap trading for clients soon. Investment banks have one mission – to make money and return the profits to shareholders. If profits can be found in crypto then nothing – once regulation is clear – will stop them from entering the market. First mover advantage is everything, so investment banks are ready. It’s just a matter of time.
3 – The Solidity of Ethereum
Ethereum as a smart contracts platform has the most coders that understand its underlying language – Solidity. ERC-20 is well understood and a proven way to implement smart contracts. The best projects should consider how to minimise risk – risk of a security violation or a mistake in coding – so they will choose the most stable platform. Not only that, Ethereum’s roadmap is solid, it has a fantastic developer community supporting it, and technological innovations such as proof of stake will only improve it.
Patience is a virtue
We shouldn’t expect the type of bull run we saw a year ago. In 2017, there was only shilling in the press, everyone wanted to get in. 2018 is more complicated, we have hundreds of ICOs that raised significant funds in ETH and continually need to convert that ETH to fiat to pay salaries and other business costs. This is a big drag for Ethereum and will slow any bull run. However, patience will be rewarded as these ICOs will eventually start bringing in revenue (or run out of ETH). The best projects have the potential to disrupt entire billion-dollar industries.
In the coming months, as innovative projects will launch their products and utility tokens have real utility, we will see momentum continue to build and the patient HODLers be rewarded.