One of the hottest topics these days are cryptocurrencies (“cryptos”), such as Bitcoin. The noise created by cryptos is unfortunately currently stealing the thunder of its underlying technology, the so called blockchain.
Cryptos are one of many applications that can run on Blockchain technology. Put simplistically Bitcoin is to Blockchain what Email used to be to the Internet. Which means cryptos are one of many viable and useful applications on the Blockchain but not necessarily the most impactful nor commercially meaningful one, although the jury is still out on this.
Moreover, we believe that Cryptos are potentially close to peaking in terms of the “hype-cycle”. However, we are only at the beginning of grasping the wide-ranging potential of the underlying blockchain technology.
While this notion of “Cryptos: not so sure” vs. “Blockchain: disruptive” has already become somewhat of a consensus view amongst many academics, tech-entrepreneurs and venture capitalists, we’d like to share a couple of simple insights into the discussion.