Remember the promise? Decentralization. Financial freedom. A people’s revolution, for the people, crushing the bankster-industrial complex old guard on Wall Street. That was the Bitcoin that I, and most young people in my generation, initially signed up for. Now? I'm not so sure.
As we turn the page into the first quarter of 2025, we’re confronted by that ugly reality. The continued concentration of power is political dogma of the privileged that neither stops nor spares us from damage. The crypto market did crash, yes, but Bitcoin’s dominance increased. Why? Institutions, the same boogeymen we were all hoping to get away from, are flocking to the ‘safety’ of Bitcoin. In the meantime, altcoins and our hopes for a more decentralized blockchain future are getting crushed.
Think about it. We were sold on a world of democratization, on a new financial system where everybody with an internet connection could take part. The game is rigged. The ones in charge, the hedge funds, investment banks, and other titans, are the big players. They're driving capital into Bitcoin, not because they believe in the ethos, but because it's the most liquid and regulated option. Safety and regulation, the anthems of centralization.
Is Bitcoin Becoming Centralized 2.0?
It's ironic, isn't it? Once heralded as the antidote to centralized finance, Bitcoin is turning into an instrument to deepen centralization. Institutions are not here to shake things up, they’re here to dominate. They’re taking Bitcoin and making it exactly what they want—just another new asset class to be gamed, manipulated, co-opted and eventually, monetized for their bottom dollar.
What of Gen Z, the generation that was allegedly destined to take ownership over this brave new world of decentralized finance? We're being priced out. The recent run-up in Bitcoin’s price is being fueled by institutional investment. This recent trend is putting the American dream out of reach of young people hoping to join the market.
The dream of financial freedom is becoming a nightmare of financial exclusion. It’s similar to seeing your favorite band get poached by a major label, exchanging their creative soul for a shot at the big time. Only this time the stakes are much higher. This goes beyond music, this is about our future.
I saw it with my own cousin. He was so excited about crypto back in 2020, telling me how it would level the playing field for everyone. He invested everything he had, dear husband and father that he was, praying that he was sowing seeds for a fruitful future. Now? He feels betrayed. He says, "It's just another way for the rich to get richer. What's the point?"
Altcoins: The Last Bastion of Hope?
Some might say, "What about altcoins? Aren't they still decentralized?" Maybe. But the Q1 data suggests otherwise. Altcoins were hammered, while Bitcoin soared. Liquidity, narrative, and institutional relevance The market is recalibrating around all three points I just mentioned. In other words, the things that matter to the deep pockets.
XRP performed quite well, largely fueled by legal victories and the expansion of stablecoins. Solana's futures are coming to CME. Let’s be honest, these are all exceptions that prove the rule. The trend is clear: capital is flowing to Bitcoin, and away from the more innovative, decentralized projects.
Ether's underperformance is particularly telling. Even with the promise of Ethereum 2.0 and its potential to disrupt the universe of decentralized applications, it’s flailing. Why? Only because the institutions want the easy button with Bitcoin and aren’t interested in creating a real, sustainable, decentralized ecosystem. Once again, they ignore the narrative of utility and solely play up the store of value narrative.
It was a little like the early days of the internet. And we had this remarkable technology that actually could connect the world and democratize information. Then the big businesses got in there and destroyed that magic and made it into an advertising and surveillance platform. Are we fated to make the same blunder with crypto?
Reclaiming Crypto's Lost Ideals
So, what can we do? Are we fated to see Bitcoin just become another weapon of the 1 percent in the end? I don't think so. We need to remember what drew us to crypto in the first place: the promise of decentralization, financial freedom, and a more equitable world.
We must fund better and we must advocate for better. We must support and champion blockchain alternatives that prioritize community ownership and decentralized governance. This starts with investing in projects that really believe in the spirit of decentralization, rather than chasing after the next quick bucks. That picture includes pushing for regulatory frameworks that advance financial inclusion and accessibility in the crypto ecosystem.
This requires us to demand transparency and accountability from the institutions that are heading into the crypto Wild West. Developers have to recognize that they’re not only purchasing an asset—they’re buying into a community. And that community has a set of professional values that they should be standing up for.
It is up to us to learn and teach our communities about the dangers of centralization, and the value that decentralization brings. We need to be intently critical of the stories that are weaved by corporate media. We need not just interrogate the data that comes forth from the financial sector.
We need to build a future where Bitcoin is not just a store of value for the wealthy, but a tool for empowerment for everyone. This is not only a question of funding. It’s a question of our long-term priorities. This is all about reclaiming the original promise of crypto and using the technology to create a more just and equitable world. Their institutions were helping sell out their future.
