Abhorrent Lack of Decentralization of Power in Crypto Market

The whole premise around digital currencies was that they would bring decentralization of power in order to provide a transparent and truly tamper-proof market. But alas it is far from the truth.

Abhorrent Lack of Decentralization of Power in Crypto Market

Perhaps the biggest promise of the crypto market that came about out of the Blockchain technology was the promise of decentralization.

          The whole premise around digital currencies was that they would bring decentralization of power in order to provide a transparent and truly tamper-proof market. But alas it is far from the truth.

          In fact, as Pooyan Ghamari believes, we have heavy centralization of power in the crypto market, which itself leads to a small group being in control of the market and manipulation of the prices.

 

Market Manipulators

The founder and CEO of the Blockchain industry of Counos, which is a comprehensive Blockchain company based in Switzerland, began to address this issue with some serious questions:

“Who is in control of the crypto market? When you look at the crypto market you can see a group of young people who have created a virtual world that is not based on reality.”

In fact, he believes that this small group of elite, who are amassing more and more wealth every day, control the prices in the crypto market in different ways, for instance with the help of influencers and the pyramid scheme they have created in their network.

Therefore, what is essentially taking place is that this small group controls that information about digital assets and gives people and small investors the wrong information about a certain asset – which ultimately leads to the pump and dump of the asset.

By providing the wrong information, they are in fact taking people’s assets from them and never giving back.

This is quite tragic for thousands and thousands of people who have lost their life savings so far and this vicious cycle will unfortunately happen again.

By careful consideration of the market, it can be seen that all the major crypto projects belong to this small group of manipulators.

Through their fraudulent activities, they bring in people’s money into their project. All the money remains inside this group among these elite people. And more importantly, the money never exits. It only goes from one member to another.

The only victim, unfortunately, are the investors who get fooled into investing in these projects.

So, it is an undeniable and irrefutable fact that there are certain manipulators in the crypto market, that sadly make up the majority of the market, and scam people out of their money. A money that never goes back to the actual market cycle nor to the people themselves.

Now that we have this knowledge, the question must be asked: which projects are fraudulent? And how to pick the manipulators from the real projects?

Unfortunately, some of the worst manipulators are in fact that big names. Some users of the crypto market may believe that only small players in the market can be manipulators and that the big names are to be trusted.

But that is not true. We have seen on numerous occasions how big names have turned their back on their users and owners and basically stolen their money. This is exactly what happened with the FTX exchange and the FTX Token.

But in this article, I want to briefly analyze Ethereum – the second digital currency by most major listings and ranking factors.

If we only go back about two years and take a look at the price of Ethereum in March of 2020, we can see that the price of ETH was around and average of $230.

Flash forward to November 2021 and the price of ETH has reached an ATH of about $4700.

          It means that in less than two years, the price of ETH increased by more than 20 times!

And now, in less than a year the price of ETH has plummeted to around $1200. In fact, majority of market analysts predict that it will go even further down.

          What happened to justify all these heavy ups and downs?

The sad reality of the crypto market is that there is a just bubble price. The whole thing is a big money game to the few manipulators in the market to pump the assets, take people’s money, and then dump again.

 

Not All Projects Are Bad

          There you have it, the unfortunate reality of the crypto market. Crypto projects that are all based on lies and the networking of the powerful and rich few.

          However, luckily, there is a light at the end of this tunnel. Because not all crypto projects are fraudulent.

Pooyan Ghamari finishes by saying that:

“You need to be very careful about which projects to choose. You must pay attention to projects that are genuine and based on reality. One good indicators are to look out for the cap. Projects whose market cap is proportional to the value of the project and the coin that they offer. So, there are still some projects that are real and offer the true advantages of Blockchain in the crypto market.”