2015 was the critical year for Bitcon’s startup investments. The industry could collect roughly $1 billion in venture capital funding. However, although this was a solid step toward the right direction, Cypherpunk Vinay Gupta could smell something exceptional by 2016. In fact, during a recent episode of Epicenter Bitcoin, Gupta has claimed that there will be almost $10 billion in funding account for Blockchain-related startups this year. However, the market report says that money will never be the problem to find for Blockchain Projects.
Vinay Gupta was partially correct and before he analyzed the entire on Blockchain ecosystem, he was trying hard to figure out about the recurring trend of Blockchain ecosystem features and its corporate strategy to fight back for sustenance in 20th century. Now it is a big question that is it really a fact that lack of finding is the main criteria for running Blockchain ecosystem related projects. He has clearly stated that “I think that R3 has somehow promoted the entire ecosystem onto a different gear. It has legalized this notion that Blockchain is a technology, critically significant to banking, and at that particular point, the money is regularly beginning to enter to the field.”
Now it is a fact that banks and financial organizations are quite reliant on Blockchain Technology that once implemented, the technology can cut cost and initiate better money flow. But somehow, these financial organizations are not that confident about the Bitcoin Blockchain and bitcoin as a currency. According to Digital Currency Group Founder Barry Silbert, complete reliance on Bitcoin technology is a sure shot outcome, and once banks and financial organizations will understand the importance of the benefits of an open, permission-less ledger, Bitcoin technology will be the ultimate solution for them.
Finding Blockchain Talent will be difficult
Vinay Gupta has clearly predicted that finding Blockchain experts will be difficult in coming days. Although money flow and demand will be there concerning this field, startups will sure find difficulties in finding potentially trained workforces. As a part of his prediction Mr. Gupta has added more points here:
“So I think that this is the year where we’re going to go from it being abundant money and scarce talent. And I don’t think any of us hardly have the skill to operate in that environment — we’re so used to having to bang on the doors. Now if the doors are largely auto-opening suddenly, I think we will put into mayhem”.
“Now that R3 has fundamentally brought Blockchain technology into the mainstream, it’s possible that few numbers of startups will be shaped that don’t make much logical sense, almost similar to the early days of the Internet.
The Coming Blockchain Bubble
During the course of interview, Epicenter Bitcoin Co-Host Brian Fabian Crain asked Vinay Gupta if he was forecasting a Blockchain bubble similar to the famous dotcom bubble of 1990s. Gupta responded: that he can feel that flux has started its take-off run… what he meant that the industry is going to witness that $1 billion will come into the Ethereum ecosystem within 2016 alone, and the overall estimate for the amount of money going into the whole Blockchain ecosystem, counting Bitcoin, is on the order of $10 billion.”
Crain got shocked by Gupta’s response’; however, the cypherpunk shared more two pieces of suggestions to support his claim. Gupta first indicated to a leaked JPMorgan report that exposed the bank’s plans to “aggressively pursue” groundbreaking technologies such as Blockchain, big data, and robotics. According to the report of Business Insider India, JPMorgan has kept aside a $9 billion for such investments.
Gupta then mentioned about Singapore and their $7 billion smart cities program. He added, “Singapore may extremely be interested in Blockchain stuff. There is just a really, broad-based push for large units to get this technology integrated into their systems.”
Investments in Blockchain technology do not unavoidably lead to investments in Bitcoin, so it is important to see how much of that probable $10 billion goes for to startups building on the world’s first Blockchain.