Longtime crypto denizens can see the future: Winter is coming (it always is).
“I think there’s scars left over from the bear market. While I think there’s a mentality of ‘up only,’ that’s more among the smaller teams. The bigger ones have been through it,” said Accelerated Capital, a pseudonymous founder who uses the name of his fund as his handle.
A lot of new people have gotten into investing in cryptocurrency over the last few months. Some may be so new they won’t remember the last “crypto winter,” which started with the regulatory crackdown in 2018 and continued at least into very late 2019. When it first hit, many crypto startups were layying off staff by the dozens.
Lots of those companies survived and new ones launched regardless. All those survivors have started to get ready for the inevitable downturn in this market.
This has always been an industry that could print “money” at will. During the last long bearish period, select projects conceived of a new form of money from nothing: governance tokens (which we at times have called “growth tokens” because early on they do more to drive volume than to distribute authority).