Gavin Wood on the rebirth of crypto idealism—A decade of reflection and future hopes

Over the past decade of the crypto industry’s development, Gavin Wood has always been a thinker and practitioner of this movement. As a co-founder of Ethereum and the founder of Polkadot, he has deep insights into the rise and fall of the industry, the tests of human nature, and the temptations of wealth. In a three-hour conversation, Gavin Wood provided an unexpected answer: crypto idealism is not dead; it’s just waiting for a new generation to arrive.

Industry Deviates from Its Original Intent: Has Idealism Truly Failed?

When asked whether the crypto industry has already failed, Gavin Wood refused to give a simple “yes” or “no.” He pointed out that calling it “failure” is too absolute—it’s more like a slow drift away. “The industry has indeed moved toward things it should have resisted—being gradually assimilated and marginalized by mainstream systems.”

This decline was not overnight. As early as 2013, there were already a large number of “shitcoins.” Some survived, like Dogecoin; some vanished forever. But the real issue is: over ten years, the industry has had very few truly useful projects. Bitcoin has indeed changed people’s perception of money, stablecoins have gradually replaced Western Union remittances, but beyond that, most projects, in Gavin Wood’s view, are just “shitcoins.”

He mentioned a common phenomenon—many ambitious developers have gradually left the field. But Gavin Wood believes this may not be a bad thing. The problem is that the entire industry needs “fresh blood” and new perspectives. The departure of the older generation actually creates space for new ideas and leadership opportunities.

“I don’t think this is a life-or-death crisis,” he said. “On the contrary, the industry needs young people who aren’t bound by the thinking of the past ten years. Imagine JAM (a new computing platform in the Polkadot ecosystem), which is essentially a new computing platform capable of handling more types of problems, with exponential growth in computing and storage capacity. But if users are still constrained by the thinking of Bitcoin and Ethereum, they might only use it to make faster NFTs—which is pointless.”

He believes that only new developers who are not bound by existing mental frameworks can truly unlock the potential of these technologies. “In my view, the departure of the older generation has opened up a space for new ideas and leadership, and that’s necessary.”

The Double-Edged Sword of Wealth: The Paradox of Freedom and Restraint

When discussing the most important things in life, Gavin Wood didn’t hesitate to say “health.” But then he introduced a seemingly contradictory view: wealth is essentially a “stupid game,” but once you truly have wealth, it becomes a “double-edged sword.”

This contradiction needs explanation. Wealth can indeed open certain doors in life, but these doors are often just “illusions of life”—seemingly meaningful but actually a waste of time. More importantly, the constraints brought by wealth often outweigh freedom.

For example, if you buy a country house, you might imagine living like a British aristocrat—servants, maids, chefs, cleaners, a whole team. But this lifestyle comes at a high cost. You must sacrifice privacy and endure the pressure that comes with this lifestyle to protect your investment and way of life. In the end, you may find yourself trapped—because “I’ve invested so much money and effort, not living here would be a waste.” This is a typical “sunk cost” mentality.

Gavin Wood has personally experienced this trap. He once tried a 9-to-5 job—arriving at the office promptly at 9 a.m., getting annoyed if late, working eight hours, leaving at 5:30 p.m. “That period of my life felt like a waste; I became a slave to a lifestyle,” he said. For this reason, at Parity (the Ethereum client development company he co-founded), there was no concept of “fixed working hours.” Come to the office if you want, don’t if you don’t—remote work was valued more for efficiency.

He knows a man named Heim, who made a fortune during the internet bubble around 2001—assets in the eight or nine figures, owning a $25 million apartment building. But Heim eventually gave it all up, sold all his properties, bought a boat, and started a life of drifting at sea with his wife. He told Gavin that this lifestyle made him feel more relaxed and happy. He once had a family office, employed staff to manage investments and properties, but that actually caused him a lot of stress. Ultimately, he chose to clear everything out, keeping only the apartment he hadn’t sold yet, which he was trying to get rid of.

“What does this tell us?” Gavin Wood reflected. “The doors that money opens are often traps; it traps you in a prison of your own making. True freedom comes from control over your time.”

Responsibility and Capability: Facing Unjust Ethical Frameworks

When asked about his “dark side,” Gavin Wood honestly shared his most difficult emotion—anger at “injustice.” Especially when this injustice resonates with groups he can empathize with, he feels a strong discomfort.

“I think I have selective empathy,” he explained. “It’s stronger for groups I can feel for, but that doesn’t mean I can feel all the pain in the world. The closer I am, the greater the emotional impact.”

But this anger often puts him in a difficult position. He cited a philosophical framework from former UK MP Rory Stewart to explain how he handles this issue. When discussing the Iraq War, Rory Stewart quoted a phrase: “Ought follows can.”

This principle means: you shouldn’t do something you are completely unable to accomplish. In other words, if you cannot reasonably be sure you can solve a particular problem, you shouldn’t act rashly. Take the Iraq War as an example: perhaps the Iraqi government had issues, perhaps the Iraqi people deserved a better social system, but the U.S. military had no reason to believe they could create a better situation. History proved that the war only brought more bloodshed, corruption, and chaos.

This principle is also a fundamental basis of political philosophy: collective violence should only be used if there is sufficient reason to believe it can truly solve the problem. It’s like using a hammer to fix a phone—you must first ask yourself, can a hammer really fix the phone? If not, you shouldn’t do it.

“This principle has helped me deal with many inner struggles,” Gavin Wood said. When facing injustice in the world, he sometimes feels sadness, anger, or even a sense of responsibility. But after calming down, he realizes that many things he cannot actually help with. “What I can do, perhaps, is what I am already doing—that might be the most effective way I can push for change—from small to large. Whether it’s war, genocide, or small things like my child not seeing his father.”

Expectations for the New Generation: The Crypto Industry Needs Young People Unbound by History

Near the end of the conversation, when asked about the most important things in life, Gavin Wood gave a relatively simple but profound answer. He believes happiness depends on maintaining curiosity and finding joy in exploration. “Curiosity is very important. But don’t take everything too seriously, don’t put too much pressure on yourself. Of course, I’m not saying to treat everything like Elon Musk does—turn everything into a game—but I truly believe that maintaining a slightly relaxed attitude and curiosity is the key to happiness.”

Finally, he expressed his hopes for the future of the entire crypto industry. The work of the older generation (including himself) over the past ten years has left many imperfections, but also laid the foundation of technology and ideas. What is needed now are young people who are not bound by the failures and compromises of the past decade—they will use new ideas and enthusiasm to truly drive transformation in this industry.

“It would be great if more young people unburdened by the past ten years joined in,” Gavin Wood said. This may be the most hopeful point in the conversation—that crypto idealism is not dead; it’s just waiting for the new generation to arrive.