Why is marketing Crypto so difficult: Crypto is facing an identity crisis.

CN
1 year ago

Crypto needs good reputation, community support, and real use cases.

Author: BCMO, Cryptocurrency Researcher

Translator: 0xjs@Jinse Finance

This is largely related to the name itself - "crypto" - but we'll come back to this later. It feels like swimming against the tide to market anything in the crypto field, and this is no longer a secret, but why? It's not just technical terms or occasional headlines about hackers and scams. If you're not in NFTs, meme coins, or the latest hype project, good luck getting attention. As for mass adoption - which I see as the ultimate goal - we can almost forget about it now.

Marketing crypto is a bit like trying to explain the internet in 1995. Everyone knew it was supposed to change the world, but no one could say exactly how or when. That's a big part of the challenge: cryptocurrency means many things to many people. It's like a chaotic buffet of products and creative ideas. So where do we start?

I. The Past: Representing a New Beginning

Not long ago, it seemed like everyone was getting into cryptocurrency with curiosity and excitement. The early adopters were not just tech enthusiasts; they were also people who were disappointed with traditional systems and tired of following outdated financial rules. Cryptocurrency represented a new beginning, a way to take control of one's financial future without relying on big banks or traditional institutions. Not to mention, it was a way to express the rebellion within all of us. Of course, timing played a role as well. With low interest rates and some extra cash from stimulus programs, people had some breathing room to try out this new decentralized world.

II. The Present: Diminished Excitement

Fast forward to today, the situation looks different. Market crashes, project failures, and the resulting negative publicity have left many people (rightly so) feeling discouraged, and the public at best is just skeptical. The excitement has diminished. Now, when you try to market in this field, you're facing a more skeptical and shattered audience. The motivations that once drove people to join - financial freedom, decentralization, and even the idea of accumulating generational wealth - have become harder to leverage.

So, how do you attract an audience that is already disillusioned, or worse, indifferent? That's the first question.

Early on, platforms like Telegram, Discord, and Twitter were the lifelines of cryptocurrency marketing. Communities gathered here, and projects announced major moves, with seemingly everyone participating in the discussions. But now? The landscape of social media has become much more chaotic. Twitter (now oddly called X) is no longer that powerful coordinating machine. Like other platforms, it has been largely muted due to channel fatigue and overwhelming information.

III. Crypto is Facing an Identity Crisis

So now, you're not just marketing to a large group of people. You're facing multiple dispersed groups, each with their own communication methods and preferred platforms. It's like trying to host a party where half the guests are using Zoom, some are texting, and others are only responding with voice memos. Good luck getting everyone involved.

Let's face it - crypto is facing an identity crisis. Initially, it was about decentralization, a rebellion against traditional finance. Then came DeFi, NFTs, and meme coins, each with their own followers. And now? Crypto is everything and nothing at the same time.

It's DeFi. It's Web3. It's smart contracts. It's digital collectibles. It's DAOs. And more. So many applications have led to too many competing narratives and priorities. Some want to focus on decentralized finance, others on consumer applications, and still others want to create the next big NFT marketplace.

So, when you try to market, what story do you tell? What do you highlight? The fact is, there's not a single narrative that applies to the entire field. You can't just say "crypto is the future" and expect people to understand what the future looks like. It's confusing, and a confused audience is unlikely to convert into customers or users.

Over the years, one thing has damaged cryptocurrency marketing, and that is the tendency for people to focus excessively on the technology itself. I mean, don't get me wrong - the technology is impressive. Smart contracts, decentralized governance, layer 2 scaling solutions, ZK-rollups - these are all cool, but what about the average person? They don't care. They don't want to know how the sausage is made; they just want to know why it's better than what they're used to.

IV. Crypto Lacks a Unified Vision

This is the real marketing challenge. You shouldn't be marketing the technology, you should be marketing the vision. What can cryptocurrency really bring to people? Can it free people from the shackles of traditional banks? Can it spark a new wave of digital ownership? Can it provide a truly decentralized future, giving people more control over their data and assets?

The projects that succeed in marketing are not the ones that can spout the latest buzzwords and acronyms, but those that paint a compelling vision. But the tricky part is: even the vision has become fragmented. Are we building a decentralized financial system, or creating the next iteration of the internet? Both? Neither? The lack of a unified vision makes marketing even more difficult.

V. Crypto Needs Good Reputation, Community Support, and Real Use Cases

Now we come back to the issue of trust. Whether we like it or not, cryptocurrency has some reputation issues. Scams, fraud, and regulatory crackdowns have had an impact. Even if a project is legitimate, it's hard to convince the public that it's not just another flash in the pan. Marketing something with this stigma is always challenging.

How do you earn trust in an industry known for its volatility and risk? This is another marketing nightmare. You can't just slap the word "decentralized" on something and expect people to trust it. You need good reputation, community support, and real-world use cases.

Early on, cryptocurrency marketing was all about hype. ICOs promised to change the world completely, and everyone would become a millionaire. But the bubble burst, and now people are wary of anything that sounds too good to be true. Authenticity is at the core of the game. People want to know what your project can actually deliver, not just what it aspires to.

The problem is, finding a balance is difficult. Too much hype, and you're seen as a scam. Too cautious, and you're overlooked. Marketing in this field means finding a balance between excitement and credibility.

VI. Returning to Crypto Itself

Now, let's talk about the name - "crypto." For the important audience (not me, and not anyone reading this article), it sounds dark, mysterious, and even a bit dangerous. The word itself carries a burden. It's difficult to market a technology that is still seen as niche and somewhat suspicious by the public. Of course, diehards love the name, but if the goal is mass adoption, we have a branding issue. Personally, whenever possible, I would try to use the word "blockchain" instead of "crypto."

So, why is marketing crypto so difficult? There's more than one reason. It's a fragmented audience, a difficult-to-explain technology, competing visions, and a reputation that's hard to shake off.

In such a complex field, the path for marketers is not easy, but focusing on authentic, vision-driven messaging is the first step to overcoming these obstacles.

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