There are many promising projects out there in crypto space. When and how they will land on planet earth is difficult to predict.
Instead of a short term gamble inside the top 20 crypto coins, you also can choose to go in the long term and support projects that are well on the way towards real innovation. This needs some due diligence, some more time investment from your side, but I am sure it will pay out on the long term.
True innovation is solving real-life pain points for people in their everyday life.
You can also ask yourself the question; which pain point is a specific project solving and how is that in line with your own values in life? And how far are they compared to their roadmap?
The more itchy the pain point, the more value they will bring humanity
What about social media for example? Millions of people have a love-hate relation with Facebook and Co. We can’t do really without, but there is no truly mainstream decentralized alternative yet that gives our data back to us and is owned by us.
History shows it is really difficult to predict innovation. Some projects will occur that bring huge value to the world because new needs arise from changes in society that we can’t predict so easily. So let’s look at the pain points we have right now and which project have a big chance to solve them.
The future is platforms, which ones will innovate the best?
Big pain point in blockchain technology itself is scalability, anonymity and security. Many projects focus on solving these issues. Wen Blockchain really is the future, and I believe it is, these innovations are highly valuable since they innovate the infrastructure of the 4th industrial revolution itself.
To solve these issues, platforms are created where smart minds, developers and coders can find solutions. Often open source. So it is not the good old centralized companies anymore that solve the problems for us. It is apps that do the work, functioning on platforms.
Platforms are the best painkillers for the headaches that need solving on a technological level.
Among the top 10 cryptocurrencies by market cap, 7 are platforms.
- Ethereum — the world computer
- Ripple — international bank payments
- Cardano — more scientific Ethereum
- Stellar — currency with smart contracts, borderless payments
- NEO — Chinese Ethereum
- EOS — the Ethereum killer
- IOTA — the internet of things payments
Here is the magic of platforms; they empower millions of people to throw in their talents to solve problems and by doing so create value. Products are thus no longer ‘owned’ by companies in a centralized way, but they become more value centered. In fact, they become communities.
Find your tribe in cryptoland, connect to their value, and help co-create the solution to the problem they are solving. Or just start funding them by buying their token and stick to them for a longer period.
In this context, Ethereum motivates, inspires and even funds with their foundation thousands of developers to create projects and apps on the Ethereum network, to share their knowledge and work together on a smart contract-driven future.
Some smaller projects that solve issues like Scalability is Fantom. This is a DAG-based smart contract platform that intends to solve the scalability issues of existing public distributed ledger technologies. Fantom is not the only cryptocurrency utilizing Directed Acyclic Graph, or DAG. Nano and IOTA are the top examples of DAG cryptocurrencies.
The social platforms of the future; what eminent problem do they solve?
When we look at social platforms for a moment, we see that an increasing pain point is the fud, fake accounts, fake news and scams. Also, the relation between social platforms and real-life violence seems to increase with the New Zeeland shoot out footage on Facebook life as a 2019 all-time low.
Technology has created these new paradigms, and tech also potentially can fix it.
I believe that when people start earning money with more valuable authentic data sharing and liking, the content landscape will improve because the community will reward valuable, authentic and purer content. A project like Earth Today has been created around these values of sustainability, quality, and healing the planet. This kind of social platforms will increase, and when they start to thrive, a migration from the infectious, more dirty Facebooks of this world will be eminent is my opinion. And why not, when you like dirt, violence and nasty stuff, stick around on these platforms.
Another example is MINDS or Block.one project that created VOICE. A decentralized platform where people start earning tokens for content/shares and likes. As they state in their recent press release:
“Voice is a more transparent social media platform for the world, where good content gets rewarded and where the powers at be aren’t scrapping for every tidbit of information. Instead of building a platform where data is auctioned to the highest bidder, who then turn around to “flood our feeds with hidden agendas”, Block.one has built Voice to be “more aligned with the world” in that it promotes and cultivates proper content creation, curation, and sharing”
Privacy: the bottleneck innovation
Other innovations that await us in the short term are privacy coins. Meaning that transactions on these networks will be fully anonymous, thus private. Each Bitcoin transaction can be tracked, they are fully transparent: check out chain.so, for example. Many in the crypto asset community believe that a successful decentralized cryptocurrency needs private transactions for it to be viable in the long term. This potentially could become a problem for Bitcoin.
Privacy coins guarantee anonymity, privacy and security by using different protocols and smart contracts.
Their advantage to obscure payments, however, is also a risk for their success. Privacy coins are struggling to shake off the link with illegal activity. Some governments considering ways to regulate against them. This could actually be a threat to privacy coins. To choose the right privacy coin, check out how decentralized they are.
“Privacy and anonymity are the most important aspects of electronic cash. Peer-to-peer payments seek to be concealed from a third party’s view, a distinct difference when compared with traditional banking.” — — Nicolas van Saberhagen
Top 5 privacy coins in 2019 are Monero, Zcash, Dash, Dash, PivX, Telecoin and new kids on the privacy block are BEAM and GRIN. When we focus on Zcash for example, an investor noted; “Bitcoin is HTTP for money; Zcash is HTTPS.”. With Zcash, details such as the sender, recipient, and amount remain private.
The innovation of money itself; Nano payments, transaction speed & commission
One thing that will surely change the landscape of money is the introduction of nano payments. A self-driving car passes a data-node and exchanges superfast data while the Blockchain executes a nano payment with tokens within nanoseconds. On a sunny day, households in Valencia sell electricity directly to hotels in cloudy Barcelona on the Wepower Blockchain. It becomes joyful to like the content on my screen since every like grants me BAT or VOICE tokens and I get rewarded by watching ads and content, and I feel much more incentivized to post valuable, authentic content that has quality since I will earn tokens with doing so.
On the digital money side for daily use, something very important that will become a thing of the past very soon is making a money transfer on Friday and having to wait till Monday or even Tuesday for this amount to receive on the other end of the transaction, even in the same bank. Or having to pay more than 10% for accessing your money in hyperinflation countries, topped with 4–5% banking commission when you are on holidays or outside your country.
The borderless element of internet-and app money running on a secure Blockchain will reduce these middlemen fees overnight once they get globally used and adopted, centralized or decentralized.
In this light, money itself will become a major innovation
The investment is easy; Bitcoin. Or look further to some other projects that solve issues around becoming a value of exchange.
To take away is that we have no clue what is awaiting us. We couldn’t predict before the internet that one day it would be possible to go viral within 24 hours with a video of a crazy dance and reach more than a hundred million people on earth.
In the current revolution of money compared to the revolution of the Internet, we are in the phase of the discovery of Email. Many people would tell you that email would never work! Now many people will tell you that Bitcoin is a scam.
When you think logically though, a very valid way to find successful crypto projects for the future is to fly in from the question of what pain point they are solving. Then ask yourself how far they are with their technology, and how much they are in line with your own values.
Since platforms and networks are the future, maybe the most important question is how big and strong the community is that is solving a problem. And do you feel at home in that community? You might even want to put your energy into solving the problem that needs fixing, apart from investing money in it.
Bitcoin came al this far, mainly due to its committed community, with no leader standing up and claiming all the fame and attention.
There is no power of change greater than a community discovering what it cares about — — Margaret J. Wheatley
I am a crypto educator living in Ibiza. When you like my work I highly recommend my Crypto Starters Guide.
I write because I want my words to make a positive impact in the world. For this, I initiated the medium publication “Spirit of Crypto”. My passion is to bring tribe together and as a storyteller, I tell the story of a better world through the revolution of money and the movement of decentralization. I believe a change in our economic system is key for us humans to thrive.