Analysis of Consensys CEO’s Backing of Vitalik Buterin’s ‘Make Communism Great Again’
The recent statement by Consensys CEO, Joseph Lubin, in support of Vitalik Buterin’s “make communism great again” post, has sparked interesting discussions in the crypto community. Buterin’s initial statement, although tongue-in-cheek, has led to a deeper exploration of the concept of “degen communism” and its potential relationship with capitalism.
Lubin’s response, “I personally believe we are currently ushering in a new era that I think of as collective capitalism. It is indeed time to make capitalism great for the first time, as we have never really experienced capitalism on planet Earth,” suggests that decentralization could be the key to achieving “real capitalism.” This perspective is intriguing, as it implies that current capitalist systems are not truly capitalist due to their centralized nature.
Buterin’s article, published in April 2024, discussed the concept of “degen communism” and how it could be applied to create societal benefits. He cited the city of Austin, Texas, as an example, where liberal housing laws have led to a boom in apartment construction and a subsequent 10% decrease in rent prices since 2022. This example illustrates how free market forces can create broad benefits, although some individuals, such as long-time residents, might disagree with the outcome.
The idea of “purer capitalism” is also worth exploring. Lubin’s statement implies that decentralization could help achieve this by reducing the influence of centralized authorities and allowing for more direct peer-to-peer interactions. This could potentially lead to a more efficient allocation of resources and a more equitable distribution of wealth.
Market Implications and Predictions
The concept of “degen communism” and the potential for decentralization to create “real capitalism” has significant implications for the crypto market. If Buterin’s ideas gain traction, we could see a shift towards more decentralized systems and a greater emphasis on community-driven initiatives.
One potential outcome is the growth of decentralized autonomous organizations (DAOs), which could play a key role in creating more equitable and efficient systems. We may also see an increase in the use of decentralized finance (DeFi) platforms, which could help to reduce the influence of centralized authorities and promote more direct peer-to-peer interactions.
In terms of specific numbers, it’s difficult to predict exactly how this trend will play out. However, we can look at some relevant data points:
- The total value locked (TVL) in DeFi platforms has grown significantly over the past year, reaching over $50 billion in February 2025.
- The number of DAOs has also increased, with over 100 DAOs currently operating in the crypto space.
- The market capitalization of Ethereum, which is a key platform for decentralized applications, has grown to over $200 billion.
Based on these trends, it’s possible that we will see a continued growth in the use of decentralized systems and a greater emphasis on community-driven initiatives. This could lead to a more equitable distribution of wealth and a more efficient allocation of resources.
Key Takeaways
- Decentralization and “Real Capitalism”: The concept of decentralization could be the key to achieving “real capitalism,” as it reduces the influence of centralized authorities and allows for more direct peer-to-peer interactions.
- “Degen Communism”: Buterin’s idea of “degen communism” suggests that decentralized systems can create societal benefits, such as the example of Austin, Texas, where liberal housing laws have led to a decrease in rent prices.
- Market Implications: The growth of decentralized systems and community-driven initiatives could lead to a more equitable distribution of wealth and a more efficient allocation of resources.
- Predictions: We may see a continued growth in the use of DeFi platforms, DAOs, and other decentralized systems, leading to a more decentralized and equitable crypto market.
Overall, the discussion around “make communism great again” and “purer capitalism” highlights the potential for decentralization to create more efficient and equitable systems. As the crypto market continues to evolve, it will be interesting to see how these concepts play out and what implications they have for the future of finance.
