The Crypto Opportunity Died Years Ago. Nobody Wants to Admit It…

Community is still psychologically operating inside narratives that made sense 5-10 years ago but no longer accurately describe the industries today. I am saying this as somebody who has spent years deeply immersed in both spaces, and I want to save you before you waste YEARS of your life and your hard earned fiat here.

The important thing is this is not a “crypto is fake” or “AI is fake” argument as the technology itself is absolutely real, Bitcoin solved digital scarcity and Transformers/Large language models are genuine breakthroughs. What has massively changed is the ownership structure around the tech. Early crypto discourse revolved around decentralisation, self-custody, p2p value transfer and escaping institutional finance. Early AI revolved around democratised intelligence, open research and empowering people with access to knowledge and tools.

Over time both these industries have undergone almost the exact same structural transition:

protocol breakthrough -> infrastructure dependence -> institutional consolidation -> platform capture

That pattern is VERY visible if you stop looking at slogans and start looking at where the money, infra and control actually sit.

Take crypto first. Bitcoin genuinely introduced something historically important which was digitally scarce assets secured by decentralised consensus. That mattered but the surrounding ecosystem gradually centralised around liquidity, custody and regulatory infrastructure. The average person today does not interact with crypto the way early cypherpunks imagined. Every day market participants are not running nodes, transacting peer-to-peer or even self-custodying.

They are buying ETF exposure through brokerage accounts, holding assets on regulated exchanges, trading perpetuals routed through market makers, and relying on dollar backed stablecoins deeply integrated into the existing financial system. You know, that system it was designed to move us away from…

The Jan 2024 spot Bitcoin ETF approval was probably one of the clearest signals of this transition. Technology originally designed to reduce reliance on financial intermediaries became successfully wrapped inside traditional financial infrastructure. Within months BlackRock’s IBIT became the largest Bitcoin fund in the world while Coinbase became the dominant ETF custodian. That is not decentralisation replacing Wall Street it’s actually Wall Street absorbing Bitcoin into its existing machinery.

Stablecoins reveal the same pattern even more clearly.

People still talk about them as if they are somehow outside the system but the dominant stablecoins are fundamentally extensions of dollar liquidity. Their reserves sit inside Treasury markets/ banking relationships and regulated financial rails. The irony is Bitcoin technically worked but the system adapted around it.

Now we look at AI.

The exact same structural transition is happening again. At first the narrative was that AI would democratise intelligence and empower individuals but now frontier AI increasingly depends on resources only a tiny number of organisations can realistically control:

– data centres;
– energy consumption;
– GPU supply chains;
– semiconductor manufacturing;
– cloud infrastructure;
– enterprise distribution;
– training data;
– regulatory relationships;
– state partnerships.

The cost of training models has exploded so much that the frontier itself is consolidating around a small cluster of hyperscalers, governments and elite labs. Thats why the real winners look less like independent devs and more like:

Nvidia, Microsoft, Amazon, Google, OpenAI, Anthropic, cloud providers, data centre operators, and chip manufacturers.

The economics shifted toward the infrastructure. Many emotionally struggle to accept this because both industries still market themselves using the older revolutionary language even after the economics changed. Crypto communities still talk as if we are overthrowing the banks while the sector increasingly revolves around ETF inflows, custodians, Treasury exposure and institutional adoption. AI communities still talk as if we are democratising intelligence while the entire stack increasingly depends on compute monopolies, cloud tenancy and enormous capital concentration.

Again, this does not mean the technology is fake because emphasising here the tech is why these industries became important enough to absorb.

I think this is where younger people especially need to be careful because wwe are encouraging an entire generation to “full port” themselves into systems they fundamentally misunderstand. Retail crypto traders are not building sovereignty they are participating in an infrastructure heavy speculative system where exchanges, custodians and liquidity providers possess all the structural advantages. AI startups are not building independent intelligence companies. They are effectively tenants renting compute, APIs and distribution from a handful of hyperscalers that can change pricing, access or terms at any time.

Many creators building “AI businesses” do not own the underlying models, the distribution layer or even the long term customer relationship. The real question we should ask now is no longer:

“Is this revolutionary?”

Instead ask “Who captures the durable value generated by the revolution?”

Historically those are often two very different groups of people so my advice is honestly very simple:

Use, learn and study the tech. But stop confusing participation with ownership. Stop confusing access with sovereignty. Stop assuming decentralised protocols automatically create decentralised power structures around them. STOP ASSUMING YOU WILL MAKE LOTS OF MONEY. Most importantly dont build your entire identity, savings or future around marketing narratives designed for a previous phase of the industry.

The tech has evolved.

The ownership structure has evolved.

The incentives have evolved.

We should evolve our understanding too.

There absolutely was a period where crypto represented one of the greatest asymmetric opportunity markets on Earth. The reason early participants made absurd returns was not magic. It was simple market structure.

Very few people understood the technology.

Very few assets existed.

Liquidity was concentrated.

Institutions had not fully entered.

Bots and MEV infrastructure were primitive.

Information asymmetry was massive.

Narratives had room to compound before saturation.

If you positioned correctly early, your probability of massively outperforming traditional markets was genuinely very high relative to today. But people keep psychologically projecting that older opportunity structure onto the modern market even though the environment has fundamentally changed.

in 2021 only around 20,000 tokens had ever existed at all.

By October 2025 there had already been over 36,980,000 rug pulls across four years alone. Think carefully about what that actually means structurally.

Millions of competing speculative assets now fight for the same liquidity, attention and exit capital. The market became hyper fragmented.

That is why comparisons like “but we had PinkSale back then” completely miss the point. Anybody genuinely around during earlier cycles understands the scale difference is absurd. A handful of low quality launchpads existing is not remotely comparable to an ecosystem where millions of near 0 effort tokens can be deployed into an attention economy dominated by bots, influencers, MEV systems, market makers and algorithmic liquidity extraction.

The issue is not simply “there are scams”

The issue is that the probability distribution itself changed.

Early crypto resembled an emerging technological frontier with asymmetric upside due to inefficiency.

Modern crypto increasingly resembles hyper financialised attention gambling where infrastructure players, insiders, exchanges, market makers, bots and liquidity providers capture a disproportionate amount of the value.

Could people still make money?

Of course, people make money gambling too.

But pretending the average participant today has remotely similar odds to somebody entering crypto a decade ago is deeply misleading and that earlier phase of the market is gone.

Timeline showing the capture.