Péter Szilágyi, a core developer at the Ethereum Foundation, recently shared his concerns about the crypto industry on his social media account. Amid an ongoing Ethereum sell-off, Szilágyi questioned the sector’s focus, suggesting that participants are more interested in becoming the next big name and engaging in “value extraction” rather than creating useful products and generating genuine value.

I often wonder if I’m in the wrong industry. Take SpaceX for example. They send a rocket to Mars? Humanity advances. They fail to send one and blow it up? Humanity learns a lesson and advances. All outcomes lead to progress. In contrast, crypto is a damn casino for dum-dums…

Szilágyi criticized the industry for its impulsive nature, comparing it to a casino where people buy luxury cars when prices rise and suffer when prices fall, without any significant contribution to humanity. He cited companies like SpaceX to argue that if the industry cannot create genuinely useful products, it might be time to reconsider its direction.

Szilágyi noted that while Bitcoin at least aims to become a safe asset, much of the rest of the industry engages in endeavors that lack meaningful impact.

Ethereum’s Current Challenges

This skepticism comes at a turbulent time for Ethereum. The cryptocurrency has seen a significant decline, collapsing 32% in a week. Ethereum’s current price of $2,360, down by 12.05% for the day, has pushed it below the lower Bollinger Band at $2,650, indicating it may be oversold. At the time of writing, Ethereum is trading at $2,360, but it was at $2,200 early Monday morning.

Market Impact

Over 278,000 traders were liquidated in the crypto market over the past 24 hours. Bitcoin led liquidations at $362 million, followed by Ethereum at $345.7 million. Total crypto open interest dropped by 18.7% to $47 billion. The broader cryptocurrency market experienced a significant downturn, with the global market cap falling by 13.4% to $1.94 trillion.

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