Charlie Lee, the creator of major cryptocurrency Litecoin (LTC), believes that the ongoing spike in popularity of the nonfungible token, or NFT, industry has much in common with the 2017 initial coin offering, or ICO, mania.
Lee provided at least five similarities between 2021’s NFT popularity and 2017’s ICO mania, also comparing both to the altcoin craze in 2013 in a tweet on Tuesday.
According to the Litecoin creator, all three cryptocurrency phenomena look very similar, as they are easy to create “with no barriers” and simple to understand and explain. Lee noted that NFTs, ICOs and 2013’s altcoins also have a big similarity in terms of adoption — as all of them bring, or used to bring, “tons of new people into crypto.”
Similar to the high prices and pumps of altcoins in 2013, ICOs and NFTs are associated with massive hype and fear of missing out. However, “Few will hold and have value,” and most people did not or will not own them, Lee concluded.
Lee previously expressed some bold criticism over the NFT industry, claiming in February that NFTs have “zero cost” of creation. “Because of the near zero cost to create another NFT, the market will eventually beTitle: Litecoin creator draws parallels between 2021’s NFT and 2017’s ICO mania
Sourced From: cointelegraph.com/news/litecoin-creator-draws-parallels-between-2021-s-nft-and-2017-s-ico-mania
Published Date: Tue, 02 Mar 2021 15:22:16 +0000