Why there is no traction?
The story about blockchain startups failing to find a product market fit.
The mystified story of blockchain as a trans-galactic solution, that should solve all problems at once, gave rise to a false focus among startups. It has become a game of comparing who has a “bigger” solution and can revolutionize finance and lawnmower industry at the same time. The practical mind got lost with the hype and coders have forked each other so many times that they got detached from the real world.
It’s like a wrong math equation, when you missed a single sign and now are solving another problem.
Distraction came with the “get rich now tokens”, they’ve created a false focus points for startups, and drained their attention into coding the accounting systems rather than solutions. Those who launched the “mainnets”, then are waisting time on getting on exchanges — plugging in into a scheme of “greater full theory” to maintain their project’s heartbeat. If they are on top, next level is to corrupt well known brands and businesses to approve their token as a test medium and publish news with a bold headline.
Less than 1% of users are using verge token for pornhub — if something does not work for porn on a web — that’s a bad sign!
The process is alike of promo girls giving free drink vouchers to enter the club. But even if every civilian was holding your “voucher”, there is no club — no music playing and nothing to drink. All this distribution schemes missed the major point of creating a natural pull through value creation.
How many times have you entered a free drink voucher club? — now imagine if you had to pay for these vouchers — what a desperate drinker.
Values are not created on a code base or super costly distribution schemes, they are born out of real people’s simple experiences and interactions. And while startups were heavily investing in infrastructures and token sprinkling schemes, they lost focus on communicating value for their real customers.
Trust-less game that no-one can switch off or control is a threat for a mum buying a console for a kid.
The world where crypto investor is smarter than an average user in evaluating the potential applicability - is wrong! It creates miss-focus again, where startups ignore even a simple user interface, neglecting the fact that it’s hard to compete in an internet era, where you have customer centric UX and “those evil, centralized” app stores with huge distribution channels, all linked to customer cell phones.
But even those who will survive for a moment and try to grow the retention of their actual users, their focus can’t be directed to the initial idea, as will be in a monetary storm trying to stabilize token price to maintain purchasing power — investing heavily in a new hot profession of crypto monetary experts.
Even if someone succeeds, they will be shape-shifting from initial trust-less “music sharing protocol” to building an autonomous, self stabilizing monetary unit — and people will just fork the code and put it in the Bitcoin — because that story is cooler!