Edited By
Maria Silva
The HBAR Foundation's ambitious allocation of over 10 billion HBAR for ecosystem grants in 2021 is facing harsh criticism nearly five years later. Users are questioning the lack of revenue-generating projects on the Hedera network, comparing it unfavorably to rivals like Solana.
Commenters on various forums are echoing a growing sentiment of disappointment regarding HBAR's trajectory. Despite significant funding, the network's throughput remains stagnant at just 3 transactions per second (TPS). Notably, no governing council members have developed revenue-generating use cases, raising questions about the effectiveness of the foundation's investment strategies.
Unlike HBAR, Solana has successfully launched multiple projects that reportedly bring in millions monthly. Users argue that while HBAR was founded with good intentions, it is now perceived by some as resembling a retail pump and dump scheme. One user emphasized the disparity between the two networks:
"HBAR is disappointing β the leaders are just incompetent to promote the best tech."
Many commenters noted that while Solana generates profit mainly from meme coins, HBAR's focus has been on sectors like AI and quantum security. One commenter conveyed mixed feelings about HBAR:
"Is HBAR a scam? No. But is it disappointing? Absolutely."
Frustration intertwines with a sense of cautious optimism, as another user highlights an essential point:
"Prepare to be downvoted to oblivion by the fanboys."
This suggests a possible conflict of interest among HBAR supporters, which could limit constructive criticism.
βοΈ Users report an unimpressive growth, with HBAR struggling in key performance areas.
β Comparative success of Solana raises questions about HBAR's strategic direction.
β Many agree that the Hedera Foundation must improve leadership and communication to regain trust.
Considering the current market dynamics, HBAR's path forward remains uncertain. With only a few months left in 2025, users suggest that if a price pump occurs, now may be a critical time to sell. The combination of underperformance and competitor success is creating a clear narrative that may impact HBAR's future in a rapidly changing crypto landscape.
Looking forward, HBAR faces a crucial point in its development, with experts estimating about a 60% chance of the network pivoting toward partnerships that leverage existing strengths in AI and quantum security. If the Hedera Foundation enhances its marketing and leadership strategies, thereβs a reasonable potential for renewed investor interest, possibly leading to a price stabilization in the upcoming months. Conversely, the persistent underperformance may result in a 40% chance of existing investors pulling back, prompting significant selling pressure before year-end. As competitors continue to innovate and capture market share, HBAR's ability to foster productive projects will likely determine its sustainability in the crypto space.
In a way, HBAR's current situation mirrors the early 2000s tech landscape during the dot-com bust. Many companies back then, like Pets.com, garnered initial funding and hype but ultimately failed to deliver lasting value. Just as HBAR is being criticized for lacking concrete revenue models, those startups faced harsh scrutiny when the internet gold rush faded. This similarity highlights how initial excitement can mask fundamental weaknesses, leading to sharp corrections in market expectations when reality sets in. Much like tech giants that emerged from that era after learning from past mistakes, HBAR might still turn its future around if it can adapt and innovate effectively.