The post Crypto has an influencer problem appeared on BitcoinEthereumNews.com.

In the crypto community, a prevailing myth has taken root — that success hinges on influencers, where buzz and follower-counts overshadow substance.  Tens of thousands of crypto projects claim they are striving for decentralization, yet they fiercely compete for the attention of influencers on centralized platforms. To me, this is the very definition of absurdity. I’d like to challenge this influencer convention in crypto. Relying on influencers does more than just fall short of promoting true decentralization; it actively fosters a landscape where passive wealth accumulation is glorified and critical investment acumen is outsourced to those who may boast followers but lack financial wisdom. This shift in focus is not merely a critique but a clarion call — urging the crypto community to wake up to the realities of a system that, under the guise of innovation, hinders the revolutionary potential of cryptocurrency. The crypto community’s reliance on influencers has shaped the landscape of the crypto space significantly. This influence, while potent, often undermines crypto’s foundational principles by promoting a narrative of easy wealth and reliance on advice from non-experts. Influencers build trust and credibility with their audiences by only showing winning trades: This creates the illusion that the influencer is an expert trader with an impressive track record.  Many crypto influencers are also paid by projects to pump their low liquidity altcoins: They encourage their followers to invest, then dump the coins after the price spikes, profiting at the expense of their followers. The influencer appears correct in their recommendation, further solidifying trust, allowing the pump and dump cycle to continue with new coins. Followers buying late in the pump are often left holding worthless bags when the crypto eventually crashes.  By hiding paid promotions and early investment, influencers trick their audiences into buying while they dump their holdings.…

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Filed under: News - @ February 20, 2024 6:28 pm