Internet Computer Faces Trust Crisis After Disastrous Performance
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 06 2026
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Source: Fool
- Token Performance Decline: The Internet Computer token, which initially soared to $461.65 at its May 2021 launch, plummeted over 90% within months and now trades around $2.28, representing a staggering decline of over 99% from its peak, highlighting extreme volatility in the cryptocurrency market.
- Developer and User Scarcity: According to Electric Capital, Internet Computer has only 187 full-time developers compared to Ethereum's 3,699, and its total value locked stands at just $11.5 million, ranking 85th, indicating a severe lack of traction in attracting developers and users.
- Transparency Issues Impact Trust: The Dfinity Foundation faced scrutiny over token vesting transparency, and although investors filed a lawsuit that was dismissed last year, the damage to investor trust has been significant, making recovery highly unlikely.
- AI Integration Prospects Dim: Despite claims that its Caffeine platform could integrate AI with blockchain, the lack of active users and developers undermines this vision, compounded by competition from other AI investment projects that do not carry similar baggage.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
