Ethereum Co-Founder Believes Crypto Bubble Will Not Stop Development
A co-founder of one of the biggest cryptocurrencies in the market suggested that the current drop in prices would bring in potential improvements in crypto technology.
In an interview in Bloomberg, Ethereum co-founder Joseph Lubin said that the infrastructure behind cryptos would improve even if the prices were falling heavily. The Canadian entrepreneur explained briefly that in each of the six bubbles encountered by the crypto market, technological development in the sector saw a “tremendous surge of [developer] activity.”
“Each of these bubbles has the advantage of bringing attention to our ecosystem… It brings entrepreneurs, it brings developers, it brings money, it brings the prospect of fundamental infrastructure and creating more value.”
The statement came months after what Lubin described as a bubble in which Bitcoin (BTC), Ethereum (ETH), and other digital currencies reached their peak value and volume. He implied that the downward trend in prices could most likely be the effect of the crypto bubble popping earlier this year.
The rumored billionaire believes that the development of infrastructure important to cryptos will not slow down in the face of a bearish market. In fact, according to him, the volume of developer activities has increased even though cryptos have reverted to their early November 2017 prices.
“I absolutely expect that there is a strong correlation between the rise in price and the growth of the fundamental infrastructure in the ecosystem, growth of development in the ecosystem. We are probably two orders of magnitude bigger as a developer community than we were eight or 10 months ago.”
Some of the recent crypto-related developments Lubin presented tackled the scalability problem—referring to the limited amount of transactions that a blockchain network can process in a given time.
Ethereum Will Survive
When asked whether the crypto scene will become a duopolistic competition in the future similar to Apple’s iOS and Google’s Android, Lubin replied that most of the digital currencies present today will fail to survive the test of time and will disappear later on.
However, he envisioned a future full of decentralized protocols that would replace and replicate the benefits and technology of other cryptos.
“It’s not that all will survive. I think the future of the decentralized World Wide Web is hundreds or thousands of decentralized protocols. Some of them will be like Ethereum.”
Nonetheless, the businessman does not see Ethereum perishing with other cryptos. In fact, Lubin believes that the smart contracts platform will remain significant in the future. After all, according to him, Ethereum is a step above its competitors in terms of technological capabilities and growth rate.
“Ethereum is orders of magnitude bigger than anything else and it’s growing faster than anything else… So [we will] be significant, in other words.”
With a total value of more than US$30.78 billion, Ethereum’s Ether continues to trail only behind Bitcoin in terms of market capitalization. After reaching its peak value of US$1,369.78 in January 2018, the altcoin has shed more than three-quarters of its price in seven months. Ether is currently trading at US$303.42 against the US dollar.