The memes and the influencers go hand in hand
The evolution of cryptocurrency has been so sophisticated during the past few years that an entire ecosystem has come to fruition, marking out the major cryptocurrencies as not just borderless methods of payment, but stores of value, commodities and the peer-to-peer developed protocols of an entire system of decentralized commerce.
Everything from the settlement of cross-border transactions to the ability to run totally transparent smart contracts, as well as participate in exchange-traded funds and use fully-licensed secure wallets has been developed by members of the cryptocurrency community, and that is where the genius lies.
This year, the real strength of the cryptocurrency framework has been tested and has passed with flying colors, given the influencer-driven volatility, and the enthusiasm with which many newcomers to the fold joined despite the huge reductions and sudden gains in the value of the most popular cryptocurrencies, particularly Bitcoin.
Therefore, we can really see that we live in the era of the influencer, and that cryptocurrency advocacy differs from any other form of fintech or tradeable asset because it is subject to ‘those in the know’ who are the ones who actually mine it, and those who move the markets.
Interestingly, this week the traditional stock market’s increase in influencer-driven meme stocks has drawn a close comparison with the world of cryptocurrency as AMC Entertainment, the US-based movie theater chain that owns the Odeon among other brands has stated that it will accept Bitcoin as payment for cinema tickets.
This is an interesting move by CEO Adam Aron, a 66-year old mogul who really knows his way around what is trending and what is not.
His own company, AMC Entertainment, has been a meme stock ever since January this year, when the reddit board subgroup WallStreetBets got hold of that company’s stock as well as its predecessor GameStop.
AMC Entertainment has ridden a wave of share price volatility in a current market of stagnation, and therefore has been a refresher of interest in electronic stock trading due to its ‘community driven’ market movements, which draws some degree of similarity to the basic form of cryptocurrency trading.
Now, with AMC beginning to accept Bitcoin as a payment method, the company has shown its clear alliance with the community driven nature of cryptocurrency.
Adam Aron himself has been getting clued up about cryptocurrency. He said today “I’ve had to learn more in the past six months about blockchain and cryptocurrency than I learned in the entire decade before that.”
AMC Entertainment is often categorized as a ‘trending’ stock, therefore draws a lot of comparison with Bitcoin in terms of how investors view it and how communities are used to move their own markets.
This is very encouraging for the future of electronic trading which could well be using the cryptocurrency world as a benchmark if AMC Entertainment’s experience as a meme stock and subsequent embracing of Bitcoin is anything to go by.
Involving the community is the only way to stay ‘in trend’ and this is something that crypto traders, and the meme stock boards which have similar expertise with online media, know very well.