The inventor of Ethereum Vitalik Buterin and his father Dmitry “Dima” Buterin talked about the crypto market, volatility, and speculators. In an interview with Fortune magazine, Buterin claimed he wasn’t bothered by ETH’s price-declining behavior.
Related Reading | Glassnode: $ 7 billion in Bitcoin loss in just 3 days, the highest in BTC history
Buterin and his father claimed they were accustomed to volatility. The second market capitalization cryptocurrency has fallen from above a record high of $ 4,500 to below $ 1,000. This is the last level seen in 2020.
Since its inception in 2014, Ethereum has experienced similar or worst drawdowns. In 2017, cryptocurrencies hit a record high of nearly $ 1,500 and fell below $ 100 the following month.
This highlights the potential use cases of cryptography beyond financial, non-fungible token (NFT), and some of the other common use cases, as Buterin and Dima are not worried about the recent bearish pressure. That’s why I claimed to like to do it. Vitalik Buterin said:
The cipher had ups and downs before, and it had ups and downs before, and it has ups and downs again. The down period is certainly difficult, but it is often the period when the most meaningful projects are nurtured and built.
The inventor of Ethereum is more concerned that speculators and short-term investors are trying to make a profit right away. Therefore, he believes that the Ethereum network can be expected to extend beyond financial use cases into new territories.
Cryptocurrencies can be used to support donation networks, as the article explains by talking about Buterin’s contribution to Ukraine with Decentralized Autonomous Organizations (DAOs). The inventor of Ethereum recently mentioned “souldbound tokens” and how they can improve people’s Internet experience.
Looking back on the early days of Ethereum and what happened, Vitalik Buterin said:
So at first I thought it would be pretty small. So I thought it would be something interesting. Another thing I didn’t expect at all was how big the encryption space was first in 2017 and then in 2021. I think part of the rapid growth was definitely a big surprise to me.
Vitalik Buterin about the future of Ethereum
The second market capitalization cryptocurrency is currently in the process of changing the consensus algorithm. From Proof of Work (PoW) to Proof of Stake (PoS), networks are said to be more scalable while reducing their environmental impact.
Buterin expects the network to continue to grow and “mature” as the crypto market is currently in the red. In the next few years, the inventor of this network expects to “meet the hopes and dreams of millions of people.”
In that sense, Buterin’s father emphasized the cyclical nature of the market and why cryptocurrencies always have periods of “rise” and “fall”. This time, ETH, as Dim said, may be heading into an “era of mass adoption.”
This can happen if the core developer successfully launches “The Merge” on the mainnet. This is an event that completes the transition to ETH’s new consensus model and introduces technology that helps improve scalability.
It is by no means a straight line. It’s not that smooth. There are many fears now. I have many questions (…).Nothing changes for me [in terms of outlook].. There is a little short-term fear, speculators are washed away, and yes, some suffering, unfortunately, and pain, and life will continue.
Related Readings | Will You Benefit From the Collapse of Bitcoin?The new ProShares ETF makes it possible
As of this writing, ETH prices have been trading sideways at 1,100 in the last 24 hours.