Crypto industry has its swagger back—for better and worse

Good morning from Austin, where thousands of crypto enthusiasts braved storms and scorching heat to join Consensus. The industry’s largest and longest-running conference, which can feel like a religious revival at times, offers opportunities to chat and hear from leading crypto names. And for the casual observer, Consensus offers a useful background check on an industry prone to wild swings in fortune.

Unsurprisingly, the atmosphere seems remarkably upbeat compared to a year ago, when the crowds were thin and many attendees quietly admitted to each other that they were considering switching to AI. In practice, this means that some of the more disgusting elements return; but not to the level of Consensus 2018 in New York, where vendors parked Lamborghinis outside the event and the halls were filled with booth babes and scammers offering “ICOs in a box.” “

This time, Elon Musk’s Cybertrucks have replaced Lambos as marketers’ attention-grabbing vehicle. Meanwhile, one of the most notable publicity stunts involved a startup paying some poor guy to wander around under the Texas sun in a suit wearing a Jamie Dimon wig and mask, and then staged a fake attack on him with memecoin characters.

While a giant “RFK for President” truck was parked outside the event, campaign workers had set up a booth instead; This was a reflection of both the election year and crypto’s willingness to commit to any candidate who would talk about the industry, no matter how insidious. RFK himself will speak at the conference on Thursday.

Extremes aside, the general sense of optimism was understandable. Not only has the crypto market recovered from the wave of scams that nearly sunk it in 2022, it is also riding a newfound wave of political legitimacy. This month has seen cryptocurrencies achieve once-unthinkable political victories in Washington, D.C., and it appears that the industry is not only enduring relentless regulatory attacks from SEC chairman Gary Gensler and Senator Elizabeth Warren, but is also on the verge of defeat. to them.

While crypto is still searching for an elusive great application, the optimists I spoke to point out that it is (once again) just around the corner. These signs included the rapid advancement of zero-knowledge proofs, as well as the popularity of Coinbase’s Base blockchain and, perhaps most importantly, the full arrival of mainstream finance into the crypto world. but also perhaps a new element of stability and maturity that will tame the worst of crypto’s wilder side. Finally, this Consensus marked the end of the Austin era, as the conference under new management will move the show to Toronto and Hong Kong in 2025.

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Jeff John Roberts
[email protected]
@jeffjohnroberts

This story first appeared on Fortune.com