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Is Crypto a Scam? Will Retail Investors Return? Analyst Miles Deutscher Weighs In
- Retail interest in crypto is low due to past burns and macroeconomic concerns.
- Miles Deutscher argues that sectors like crypto gaming and RWAs, along with a successful app, could revive retail interest.
- AI and potential big projects like the ASI merger could attract new investors, challenging the notion that all crypto is a scam.
Retail investors seem to be somewhat absent from the crypto space, and a lack of public interest paired with macroeconomic worries may be the reason behind it.
Yet, many would hope that retail is coming back to the game soon. Not so fast, says X-user Wassie Hunter, arguing that “normie” investors got burnt in 2021 and will likely stay away from crypto.
Wassie Hunter adds, “They have correctly classified crypto as a scam; those who do buy anything buy some Bitcoin and ETH”.
Related: RNDR Altcoin Analysis and Bitcoin Scenario Discussion in Pav Hundal’s Weekly Technical Insights
Wassie Hunter expects that the crypto market will continue to see altcoin growth, cheekily adding “Altcoin dispersion forever until they all get their own ETFs.”
The hyperbolic statement humorously comments on the vast number of altcoins available and the idea that they could each eventually reach a level of prominence and stability typically associated with assets that have dedicated ETFs, like Bitcoin and Ethereum do.
Aussie Analyst Miles Deutscher Disagrees
Analyst Miles Deutscher, known for his sharp analysis of the altcoin market and who is always on the lookout for new projects, disagrees with Wassie Hunter.
Deutscher said that while retail may not return to crypto ‘magically’, all it takes is one hugely successful app or use case to draw in the average investor. He also named the likely sectors that have the potential to attract the crowds: crypto gaming and RWAs (real world assets).
Beside these narratives which have the attention of some of the big players – think BlackRock’s efforts in tokenisation – there are of course other options too.
Deutscher says memecoins could trigger some of the most basic human desires: gambling.
And in absence of ANY ulterior thesis, remember that: Humans are innate gamblers. Meme coins are a new form of gambling (where the game isn’t necessarily rigged against you).
Miles Deutscher Artificial Intelligence Could Foster Adoption
Furthermore, crypto-AI has the potential to attract crowds back and provide them access to a growing investment field that is not easily accessible through traditional routes.
Consider, for example, the news that AGIX, OCEAN, and FET plan to merge into a single project titled ASI, which would see an eye-watering valuation of US$7.5 billion (AU$11.4 billion).
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So, with all these narratives likely to attract new investors over time, the claim that all crypto is a scam is well and truly debunked. Therefore, having skin in the game is seen as a wise thing to do, or as Deutscher puts it:
The stage is definitely set for adoption one way or another – and it’s riskier to be out of the game, than in it.
Miles Deutscher 
Author
Aaron Feuerstein
Aaron Feuerstein is a freelance writer based in Melbourne. His focus is on decentralised finance and the regulatory space surrounding blockchain. He holds a Master's in Accounting. When he is not studying the latest legal case, he enjoys his time as a modest but eager hobby cook.
