Encryption Industry: Facing Challenges, but Still Full of Potential

Recently, the phenomenon of "encryption shame" has sparked widespread discussion in the blockchain industry. Not only ordinary investors but even some seasoned practitioners have expressed concerns about the development of the industry.

A member of the Ethereum Foundation expressed his views on social media, comparing the encryption asset industry to a casino and questioning whether it has created real value for society. He believes that although Bitcoin was originally intended to be a safe-haven asset, its extreme price volatility makes it difficult to achieve this goal. At the same time, he pointed out that decentralized exchanges facilitate more speculative behavior rather than creating substantial value.

However, we need to look at these viewpoints rationally. Although there are indeed some problems in the current encryption industry, such as the lack of widespread practical application scenarios, this does not mean that the industry is without value.

Firstly, from a market perspective, speculators provide the necessary liquidity to the market, maintaining its activity to some extent. Secondly, encryption assets have shown some practical significance at present. Taking Bitcoin as an example, it serves as a decentralized digital asset, enabling the possibility of free circulation on a global scale. In some countries facing severe inflation, Bitcoin has even become an alternative solution to cope with the depreciation of their national currency.

In addition, the future development potential of encryption assets and blockchain technology cannot be ignored. Just like 5G technology, its application scenarios will continue to expand over time. The immutable nature of blockchain technology can be applied in various fields such as charity and food supply chains, enhancing transparency and traceability.

It is worth noting that governments around the world are gradually recognizing the value of the encryption industry and are beginning to establish relevant legal frameworks. Measures such as the European Parliament's passage of the Markets in Crypto-Assets Regulation, the approval of Bitcoin and Ethereum spot ETFs in the United States, and the legalization of crypto mining in Russia all reflect the government's positive expectations for the future development of the industry.

Despite the many challenges currently facing the encryption industry, we should not feel ashamed. On the contrary, industry participants should stay true to their original intentions and continue to explore and develop. At the same time, we need to remain patient and believe that as technology matures and application scenarios expand, encryption assets and blockchain technology will ultimately prove their value.