Though not by technical definition, most participants at ETHDenver would concur that it certainly feels like the cryptocurrency industry is in a bull market. Even Consensys CEO Joe Lubin, a co-founder of Ethereum, thinks that the best is still to come for the cryptocurrency industry and feels that things are improving.The current “super cycle,” whether or not a spot BTC and ETH ETF is beneficial for retail investors, the more developer-focused community, and the growing need for decentralization in various industries were among the topics Lubin discussed during his February 29 fireside chat, which was moderated by Axios reporter Crystal Kim.
When asked what will trigger the next super cycle, which is a protracted period of economic growth usually brought on by a sharp increase in consumer demand, Lubin responded,
“We are in this 4th turning, and we are ready for a new system of the world. The other way of thinking about it is that it’s a monetary super cycle, where the monetary systems of the world reach and end of life essentially, basically because of interest, and there’s too much debt in the system because certain generations broke the monetary system and other elements of the financial system.”
Lubin explained that “crypto was born into an era of free money. It was born of an era of constrained money, controlled money, top-down command and control. Essentially, we for millennia have been living in a paradigm of centralized top-down trust and its authorities imbue intermediaries with certain powers and the intermediaries help run the world, they maintain these databases or ledgers that control who owns what and who has rights and privileges.”
According to Lubin,“Satoshi invented decentralized trust as opposed to centralized trust. We’d never seen decentralized trust on the planet before.”
Before spot Bitcoin ETFs were approved, investors and proponents of the cryptocurrency had to wait more than seven years for approval. Although their introduction may serve as a proof of the soundness of Bitcoin as an investment, there have always been worries that institutional investors may water down the original intent of Satoshi Nakamoto, the person who created the cryptocurrency.“There are a lot of different issues in there, but in the near term, it’s a great thing,” Lubin responded when asked if the community would benefit from a spot Bitcoin ETF and the potential creation of an ETH ETF.
“The floodgates are open now, and there’s an enormous amount of value piling into the crypto ecosystem. The good thing about that is it’s going to be hard for regulators and politicians to stomp on people’s portfolios, and we’re going to see more and more funding come into our ecosystem.”
Many people think that the U.S. government’s and regulators’ historically strong opposition to the cryptocurrency industry has impeded the industry’s expansion for years.In response to the question of whether cryptocurrency can “thrive” in the United States, Lubin hinted that lawmakers might not have the authority to impede the expansion of the sector going forward.
“I think the momentum is picking up, and it’s unstoppable. The SEC has done some things under the Biden administration that are real headscratchers, there’s an element of gaslighting and an element of unreasonableness in some of the actions that they have brought, and the judicial branch has been wonderful in seeing things clearly and making sure the laws of the United States of America and the Constitution are followed and protected.”
“I look forward to a more decentralized governance in the United States”