Crypto's Price Correction Isn't Killing the Industry High
At least that's Blockchain CEO Peter Smith's stance on investing in cryptocurrency, a take issued during just one of a dozen or so panel discussions at Yahoo Finance's All Markets Summit Tuesday.
Focused solely on cryptocurrencies, the one-day event, curated in part by CoinDesk, paired Smith with Chain CEO Adam Ludwin, who agreed this wasn't exactly a bad investing philosophy.
The comments, while perhaps amounting to 'Investing 101' advice, were notable for their contrast to the "just HODL" movement, an ethos propagated by early investors that has largely encouraged the holding of cryptocurrency – no matter the ups and downs.
But that's not to say that the panel, as well as the day's event, didn't showcase just how captivated investors are with cryptocurrency these days.
Smith told attendees:
"There's probably never been more hype about a technology or industry than ours."
And numbers from a survey Yahoo undertook seem to bear that out.
According to Yahoo editor-in-chief Andy Serwer, 40 percent of respondents have bought cryptocurrencies over the past year. Yet, in the same survey, about half still believe they may be a fad or even a hoax.
Both the hype and this confusion has caught the attention of various regulators – two of which, the CFTC and the SEC, were called before a Senate hearing on cryptocurrency just a day before the event. As such, the hearing provided ample fodder for the speakers, many of whom saw the regulators' remarks as a positive for the fast-growing industry.
Speakers touched on the plethora of new investment vehicles and tools, even as some spoke out about what they feel is the nascent state of the technology.
"Usually nascent technologies out of the lab don't get this much attention because there's no way to profit off them," said Ludwin. "It's good to never lose sight of that."
"You have a capital markets phenomenon overlaid against a very early technology … so time will tell whether this intense capital markets thing around it stunts the growth or accelerates the growth or stunts and accelerates back and forth, which has sort of been the course so far."