According to the author, the co-option of cryptocurrency by mainstream entities, such as Coinbase's political sponsorships and Ripple's lobbying efforts, undermines core cypherpunk values like decentralization and could heighten regulatory scrutiny. This may lead to increased market volatility and erode investor confidence in assets like BTC and ETH, as cited in examples including Coinbase's involvement in political events and the fallout from FTX's corruption.