It is difficult to understand this new crypto-asset economy that has been emerging over the last few years. It is like seeing the first start-ups being born in the early days of the internet.
The internet revolution lasted about 25 years. Today, there is no longer any sector that has not been impacted by this creation.
Blockchain is a disruptive technology capable of transforming a very large number of business models.
According to Marc Andreessen, web pioneer and founder of Netscape:
« I have a gut feeling that blockchain will be to banking, law, and accounting what the internet was to media, commerce, and advertising »
The Internet has brought us two great things:
- The first: a gigantic reduction in the cost of accessing information by making it accessible to everyone.
- The second: the opportunity offered to everyone to communicate and express themselves on a peer-to-peer basis, without an intermediary.
The blockchain takes up these two principles, but this time, rather than applying them to communication, it applies them to the transaction and exchange of value:
- The first: low access costs to decentralized finance and minimal transaction costs while maintaining very high security.
- The second: it becomes possible to exchange value with others without going through a central control body.
This new technology enables the exchange of value via digital assets known as crypto-assets. Out of this disruptive innovation emerges a new parallel economy consisting of a large number of new projects aimed at revolutionizing today's society.
This new shadow crypto-asset economy, which currently accounts for approximately 700 billion euros, is merely a drop in the ocean of the traditional economy, which represents roughly 90 trillion euros. The crypto-asset economy accounts for 0.77 % of the size of our traditional economy, leaving plenty of room for expansion.
Within this 700 billion euro parallel economy, each project carrying its own token represents a micro-economy with characteristics specific to each tokenomics (a project's token economy, number of tokens, token utility, etc.).
We can imagine about 6,000 countries with a different economy and currency. These countries can interact with each other in order to develop. Some are larger than others, some are more used than others, and some have better futures than others.
It is easier to understand what all these crypto-assets represent with this analogy. Now, it is possible to conduct in-depth research into the economics of each of these projects in order to spot interesting investment opportunities.
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