Cryptocurrencies and the blockchain industry has grown extensively over the last decade and has shifted from being a space of coders and computer engineers to one that has been adopted by millions of people around the world. To top it off, even governments around the world have stepped into this space, with some planning to launch their own digital currency this year.
While it is easy to say that cryptocurrencies have experienced significant success over the last decade, you also have the other side of the coin. Here, we will discuss some of the failures the industry has experienced, especially in 2019.Source: Pixabay
No Thanks – No Lunch For Me
One of the biggest fails of 2019 was the canceled lunch arrangement between Justin Sun and Warren Buffet. Sun is the CEO and founder of TRON. In June 2019, he won eBay’s charity auction that would allow him to have lunch with the investor and business magnate, Warren Buffet. Justin Sun bid up to $4.57 million to win the auction. The proceeds were expected to help the most vulnerable residents of San Francisco via the GLIDE foundation.
The whole deal of the auction was for Sun to have a private lunch with Warren in New York at Buffet’s favorite restaurant, the Smith & Wollensky Steakhouse. However, days before the lunch, Sun fell sick as a result of kidney stones and had to postpone the lunch event.
Not long later, there were claims that the Beijing authorities were investigating Sun over money laundering, pornography distribution, and illegal fundraising. He then canceled the lunch, and TRX crashed by more than 10% in a few hours.
Repeated Delays for the Ethereum Upgrade
Ethereum has been working on a process to see it upgrade and move to Proof of Stake (PoS) from a Proof of Work (PoW) consensus algorithm. It is a process that has been waited on by so many people. However, the whole process had one last stage remaining, which was referred to as Constantinople. This refers to a hard fork that was scheduled for January 2019. However, the stage was postponed after claims of significant error that was built into one of the core changes.
The Constantinople hard fork was completed later in February, but this was not the end of the transition. What followed then were a series of delays and Ethereum’s 8th network upgrade, known as the Istanbul Hard Fork, failed to go live in October as scheduled. Instead, it was delayed to the 4th of December 2019. Unfortunately, as a result of all the delays from Ethereum, many are now suspecting that Vitalik Buterin and his development community are simply facing unexpected technical challenges that now pose doubt on the future viability of the entire project.
Delisting of BitTorrent from Binance upon Successful Launchpad
BitTorrent is a platform and digital currency that was created with the aim of enabling content creators to be able to connect with their audience better. This was powered by the TRON blockchain.
Initially, the project worked very well as it raised $7.2 million in just a few minutes hence becoming the fastest-selling IEO (initial exchange offering). After listing on Binance, it also experienced significant growth and, after that, appreciated by over 300% in a few days.
Many believed that the BitTorrent protocol had potential. However, in late May, it began a downtrend that made it lose more than 80% in 7 months. This led to BitTorrent token delisting from Binance.
While 2019 might have seen some failures in the cryptocurrency space, it is evident that 2020 is going to see a lot of growth in this space.