I am sure there are many of you here at WA that have jumped on the cryptocurrency bandwagon. I personally have not and do not intend to. But as I sit back and read all of the pros and cons, I am starting to see many signs of a shiny object syndrome appearing.
Another thing I have noticed is how similar certain things are to the whole Multi-Level Marketing, MLM, culture surrounding people in this new form of investment. And though there will be people who will swear that crypto is more than an investment opportunity, I still cannot see it.
SHINY OBJECT SYNDROME
In an article on Entrepreneur.com about shiny object syndrome or SOS, it is a “Disease of Distraction” and affects entrepreneurs specifically because of their unique qualities of being highly motivated, craving new technologies, new developments, and new money making opportunities.
There is nothing wrong with keeping abreast of new possibilities, but if you are already involved with another opportunity, an SOS can be a bad thing. It will distract you away from that which you have already started and could even make you jump ship before you see any meaningful results.
Then there is the over-spending of money to chase after and try this new opportunity. Though I do agree with those I have heard say, ‘do not risk more money than you are willing to lose in cryptocurrency’, my feeling is why risk flushing that money down the toilet, especially when it is not yet widely accepted?
WHY IT REMINDS ME OF THE MLM CULTURE
I have seen and read the debates of why cryptocurrency is and is not worth investing in. Even Kyle created such a great debate stir of the crypto hornets nest with his Facebook posts about the riskiness of such an endeavor. This is why I knew his recent post about Woot Coins was an April Fools joke.
In reading many of the comments from those involved with cryptocurrency and the arguments of why it is a good investment, it reminded me of people who are in an MLM defending its legitimacy. Even in the face of sound arguments to the contrary, they defended the benefits of cryptocurrency.
Many made claims of it being secure because of blockchain technology. But even though the blockchain concept does seem secure, cryptocurrency as a whole is not. There have been many scams popping up, taking advantage of this new wild west style of currency investment.
But with many online companies and social media networks starting to take action against crypto, has that shiny object syndrome affect started to slow down and give investors pause? With all of these scams and ability to get scammed, is yet another reason why it reminds me of an MLM culture.
GOOGLE BANS CRYPTOCURRENCY ADS
Following a similar ban by Facebook earlier this year, starting in June 2018, Google will ban all cryptocurrency-related advertising across all of its ad platforms. This means no more ads about cryptocurrency-related content, including Initial Coin Offerings (ICOs), wallets, and trading advice.
This is not going to be a selective banning but rather an all-out across the board ban. Even companies with legitimate cryptocurrency offerings will not be allowed to serve ads through any of Google’s advertisement products. Google’s director of sustainable ads Scott Spencer recently said the following.
“We don’t have a crystal ball to know where the future is going to go with cryptocurrencies, but we’ve seen enough consumer harm or potential for consumer harm, that it’s an area that we want to approach with extreme caution.”
Even though many who got into crypto in the early stages have made a lot of money, like those in an MLM at the top of the pyramid, because it is still largely an unregulated space and spawned many high profile scams, is cryptocurrency the new shiny object syndrome? Google and Facebook are proceeding with caution.
YOUR THOUGHTS ON CRYPTOCURRENCY?
I am sure there will be many people on both sides of this debate, so comment below what you know. If you have jumped on the crypto bandwagon, have you made any substantial gains? Do you have any advice? Or are you playing it safe like I am and relying on the proven ways to make money online?
Consider this last bit of information. Google’s parent company Alphabet makes roughly 84% of its total revenue from advertising, and keeping its advertising ecosystem safe is critically important. Banning all cryptocurrency-related advertising is a step they see as necessary to preserve that safe environment.
You can read the news of this upcoming ban here.