Why Now Is the Best Time to Invest in Crypto
Published 9:01 am Thursday, May 16, 2024
Image Source: pexels
If you’ve been paying attention to the crypto world lately, you’ve probably heard the jaw-dropping stat – over 1 million brand new crypto tokens and coins have flooded into existence just since the beginning of April! Let that number sink in for a moment.
In mere months, crypto has witnessed the equivalent of an entire new crypto boom cycle condensing into a concise window of unbridled innovation, speculation, and what many would call outright wildness from the rapidly growing decentralized finance (DeFi) arena.
The simple reality is that after over a decade of laying the foundational infrastructure and establishing core cryptocurrency networks like Bitcoin and Ethereum, we’ve now entered the Crypto Summer where the technology’s potential for remaking every industry through decentralized applications (dApps), protocols, assets, and economic models is finally going exponential.
An Explosion of Crypto Innovation and Opportunity
Of the over 1 million new crypto tokens created since April 1st, a huge percentage originated from two key sectors catalyzing the growth:
- The booming Ethereum layer-2 ecosystem, led by Coinbase’s Base network sees over 370,000 new token launches, primarily meme-inspired cryptocurrencies and experimental dApp projects from legions of developers flocking to low-cost, high-speed execution.
- Solana’s exploding ecosystem birthed over 640,000 new tokens in this window. Around 466,000 of those were various meme-themed crypto assets launched on the popular memecoin platform pump. fun built atop Solana’s ultra-scalable blockchain.
Ethereum changed the game by introducing executable smart contracts and tokenization for digitizing assets. Now we’re watching Ethereum itself evolve through layer-2 rollup solutions like Arbitrum and Optimism that radically improve throughput and costs for dApps. But even further, blockchains like Solana lay the foundation for ultra-high-performance computing architectures custom-designed for bleeding edge areas like GameFi, DeFi 2.0 lending/borrowing protocols, NFT minting and trading, and decentralized social networks.
Just like the internet spawned transformative companies like Google, Facebook, and Amazon by providing open access to building on new technical layers and shared protocols, this surge in token launches signals a modern-day dot-com boom as entrepreneurs and investors swarm to capitalize on crypto’s equivalent – a programmable economy of digitized value transfer.
New Gateways to Crypto Investing & Exposure
Of course, the massive increase in new crypto tokens and assets raises an obvious question – how can average investors even begin to gain exposure to these burgeoning new asset classes responsibly?
After all, the unifying criticism against projects like Solana’s pump. fun and Coinbase Base protocols are that while they lower barriers to entry for new crypto experimentation, their lack of oversight also empowers scams, low-quality spam assets, and full-blown exit scams to proliferate.
It’s a valid critique, but one that overlooks the countertrend of maturing crypto on-ramps designed to provide seamless pathways for mainstream investors to safely participate in this technological renaissance, starting with established leaders in the crypto space.
Leading exchanges like Coinbase, Everix Peak, Binance, Gemini, and others have spent the last couple of years rapidly iterating on their user experiences and product suites to make gaining exposure to new crypto assets as simple and trustworthy as purchasing stocks or mutual funds online.
Bank on the Surge
The 1M+ new token surge happening under the radar simply represents the flourishing of fertile ground for dedicated investors to grab a foothold into frontier asset classes sooner rather than later. Legitimate avenues are opening in concert with this explosion of innovation activity.
Why Crypto Is Still the Smart Long-Term Play Despite short-term volatility during this recent cycle of hype and speculation in altcoins, the prevailing sentiment among many sharp crypto analysts and fund managers is that the asset class overall remains in its infancy stage when considering the macro, long-term forces propelling blockchain technology’s penetration across every major industry and equity sector.
Crypto assets appreciating at breakneck speeds may dominate headlines in the short run, but the steady drumbeat of institutional and mainstream adoption signals to investors that we’re still in crypto’s developing stage where entry points remain wide open for getting ahead of revolutionary trends that are still underpriced and under-monetized.
In Conclusion
Whether this recent explosion of over 1 million new crypto assets launching since April ends up being emblematic of frenzied mania or sustained renaissance remains to be seen.
However, the one undeniable reality we can observe is that blockchain technology’s underlying capabilities have established rich ground for innovations and entrepreneurship now flourishing at exponential rates across the decentralized Web3 landscape with apps like Everix Peak.
Just as the original dot-com boom spawned category-defining technology giants like Amazon, Google, and Netflix after many false starts, pivots, and failed experiments, we’re likely witnessing a similar primordial soup of creative innovation springing from crypto’s decentralized infrastructure layer today.