Creating hype.

Hype is a powerful marketing tool and one that can lead to huge network effects over time.

So many projects and ideas can keep building for year with little to no recognition until they catch some hype. In crypto we have seen it many times as projects catch a huge wave of hype regardless of how good it really is. The majority of people aren't willing to put in the time and effort to research what they are getting involved with.

Instead they see names on twitter and tiktok or see a celerity shilling it across various social media channels and think. "This must be good, everybody knows about it." Before jumping in to follow the crowd.

This is all well and good if the product is worth hyping up but a lot of the time it is manufactured hype that fades out just as fast as it arrived. For fads and trends it is a small opportunity cost to buy the latest gadget or fashion but in crypto it can cost a lot more.

In crypto you need to do your research as there are a lot of scams, false promises and false dawns to contend with. In a bull market everything might seem shiny and new but a lot of these tokens, exchanges or projects won't be around after the next bull run.

We saw the same thing happen the last bull run as people followed the hype into crypto and put money into projects with no realistic chance of doing well. No dev teams, no history of work or no reputation in the hope of making thousands. But we all know what happened when the hype fell away. When the markets crashed or when the teams disappeared.

People lost their whole bags. They lost their time, money, effort into the wrong places by not looking beyond the hype into the reality of things.

When hype meets product?

On rare occasions however we see how hype can naturally build from a small group into something extra special. This is the phenomenon where there is something behind all of that hype that people can get behind and create a lasting product.

Bitcoin is a great example of creating hype naturally and the power of the network effect.

It built from a great idea and captured imaginations. From there it slowly grew into a bigger idea that people bought into and wanted a part of. This created a hardcore base who wanted to expand the bitcoin network and expand the idea that it is built on.

Over time this got hyped. It got pumped. It fell back down but because there was substance behind that hype it never fell away. It had a purpose and a community to back the project.

Every time that bitcoin fell it came back stronger.

Every time that its opponents declared its imminent doom it rose again.

Now we are looking at new heights as people have looked behind the hype and made rational business decisions to back the project as the research held up under scrutiny. Large corporation will do their due diligence before investing millions into a project so we can say that in the case of bitcoin the hype has held up very well into something more.

That is when you see something truly special happen.

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