Charles Hoskinson Warns of Industry Turning Point: Is Cryptocurrency Entering a New Wave of Value Reassessment?

February 12 News, Cardano founder Charles Hoskinson stated at the Consensus conference held in Hong Kong, China, that the cryptocurrency industry is at a critical turning point. He pointed out that the current market “is not healthy,” with overall sentiment approaching historic lows, but this does not mean the long-term outlook is bleak; instead, it may signal the beginning of a deep structural adjustment.

Hoskinson said that issues such as liquidity tightening and lack of investor confidence are more cyclical pains. He emphasized that the industry truly needs a “new narrative,” shifting focus from short-term price fluctuations to more practical application scenarios, such as decentralized finance upgrades, on-chain identity, and the integration of AI and blockchain. He believes that as regulation gradually becomes clearer and technological maturity improves, these trends could drive a new wave of growth.

He compared the current phase to the cyclical turning points of 2021–2022. During that time, the market transitioned from DeFi speculation to more pragmatic infrastructure development, and similar changes could happen again now. Hoskinson pointed out that while micro-level pressures remain, the macro environment is forcing the industry to transform, creating space for projects with real implementation capabilities.

This speech has sparked lively discussion within the community. Some still chase high-volatility assets and short-term opportunities, while others are beginning to focus on longer-term value narratives, such as decentralized AI, scalable privacy networks, and real-world asset tokenization. This divergence is an important signal of the industry’s path toward maturity.

Currently, the cryptocurrency market remains influenced by regulatory uncertainty and cautious sentiment, and volatility may persist. However, as regulatory frameworks become clearer and institutional participation increases, the industry has the opportunity to shed its image as merely speculative and move toward a more sustainable development path.

Hoskinson’s warnings and outlook send a clear message: 2026 may become a pivotal year for reshaping the direction of the crypto industry. For investors and developers, the truly worth paying attention to will be blockchain applications that can solve real-world problems and possess long-term viability.