In a less than shocking development, Ethereum Classic – the number 18 coin in the world with a market cap of $450 million – is shutting down a development team.
According to the release: “As is publicly known we have struggled with funding our operation in the last few weeks. This was partially due to the market crash combined with a cash crunch in the company.”
You wonder: was the dev team fired or did they simply walk out the door. In the end it doesn’t matter: when you don’t have cash, you can’t pay people. As soon as you stop paying rational people, they leave.
The real dilemma is how to pay people with coins that only continue to plunge in value. How about giving them millions of coins: those might be worth something someday. That’s the point: I’m sure they tried that. Eventually, staff realizes: “40 million XYZ coins isn’t enough to buy a gallon of milk. By tomorrow it may be worth less.”
In a bear market, practicality sets in. I see fiat returning as means of payment and the funny thing is people’s reactions: “You want me to pay you cash for your services? Dollars?” It’s as if they’ve been asked for a first son or daughter.
What people forget about hiring & compensation is the only number that matters is the number – in any currency – that yields outstanding results.