Crypto's Active Uses Limited To Bitcoin Hodling And Meme Coin Gambling, Trader Questions Real World Utility

Author: Khyathi Dalal | July 03, 2024 02:18pm

Capriole Fund founder Charles Edwards expressed skepticism about the practical uses of cryptocurrencies in 2024. He questioned the real-world application of Solana (CRYPTO: SOL), Ethereum (CRYPTO: ETH), and others.

What Happened: Edwards questioned the real-world utility of cryptocurrencies in the current cycle with the only two active uses being Bitcoin (CRYPTO: BTC) hodling and meme coin gambling. He added, "DeFi dead. NFTs dead. Cross-chain / L2s dead. Gaming dead. Farming dead. ICOs dead. NFTs dead. Supply chain dead."

Edwards further stated that this cycle has been the least promising for crypto development since the launch of Ethereum in 2015. He identified Bitcoin, stablecoins, and futures arbitrage as the only high-value products in the current scenario.

Stablecoins because they can hedge and move traditional currencies quicker, futures of arbitrage because they are the carry trade, and Ethena.

Benzinga Future of Digital Assets conference.

Also Read: Bitcoin, Ethereum ETF Inflows ‘Will Change The Mood Completely,’ Says Trader: ‘Up Often, Up Only’

Why It Matters: Edwards’ comments reflect a growing concern about the practicality of cryptocurrencies beyond speculative investment. He noted the damage inflicted on market participants in 2018 and 2022 due to fraud, manipulation, and pain across non-Bitcoin assets.

However, he also expressed hope for a resurgence later in the year, particularly in the areas of NFTs and DeFi.

Edwards ended his tweet by questioning the current usage of other cryptocurrencies like SOL and ETH, further highlighting his skepticism about the broader utility of the crypto ecosystem.

What’s Next: The influence of Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.