This study explores the dynamics and implications of hype in technological innovations, focusing on Generative AI and Cryptocurrency. By leveraging the Dual Process Theory (DPT), we propose two hypotheses: The Hype Intensity Hypothesis (HIH) and the Hype Effectiveness Hypothesis (HEH). We postulate that less technical and less risky innovations induce higher hype levels and that hype’s effectiveness is pronounced for less understood and riskier innovations. Analyzing 1782 articles from SSRN hubs, our findings validate both hypotheses. The study’s insights underscore the nuanced role of hype in influencing engagement with innovations, with significant implications for entrepreneurs navigating hype.
