Vitalik Buterin Urges Ethereum To Grow Beyond DApps
August 04 2021 - 12:06PM
NEWSBTC
The developer and co-founder of Ethereum recently urged the
community to innovate beyond decentralized finance. He made these
statements during a conference that took place in Paris. According
to Buterin, non-financial utilities are part of the vision
general-purpose blockchains such as Ethereum aims to offer. But he
is somewhat disappointed that the ETH blockchain is now seeing more
financial application only. Related Reading | Ethereum Founder
Vitalik Buterin Spotted With Hollywood Celebrities Buterin stated
that it is better to know Ethereum by decentralized finance instead
of for nothing. But, the blockchain has to be known for more. The
lead developer mentioned that other applications outside the
financial sector can still be developed on the ecosystem to support
this. For instance, developers can also build applications such as
retroactive public goods funding, identity verification &
attestation, and decentralized social media on Ethereum. Buterin
also stated clearly that innovating beyond decentralized finance
doesn’t mean being against it. He even mentioned that Ethereum
applications that combine both finance & non-finance elements
would really be interesting. After a sudden drop in price, ETH is
now slightly recovering from previous losses | Source: ETHUSD on
TradingView.com He believes that exciting things might offer
different values for people on the network and beyond it in a few
years to come. Currently, the ETH co-founder is working on “public
goods funding.” From a blog post that Buterin co-authored, there
was information that Optimism has promised to fund open-source
development via retroactive rewards protocols. Why Is The Ethereum
Community Headed Towards DeFi? According to Buterin, two factors
are responsible for the preoccupation with decentralized finance.
The first one is that centralized technology hasn’t been handling
finance very well. Unfortunately, finance is essential and offers a
wider domain decentralization. Secondly, he mentioned that high
fees are contributing to the growing interest in dApps. But he
mentioned that the high fee issues on Ethereum are gradually
fizzling out due to the growing lay-two networks. Related Reading
| Commercial Paper Reserves Of Tether Under Heavy Regulatory
Scrutiny Since the team is already working on lower transaction
fees, the Ethereum CEO believes that the tie has come for the
community to explore other opportunities. This is why he stated
that Ethereum should innovate towards other possibilities, not just
in creating tokens. Buterin believes that if the community focuses
on DeFi only, such actions will push the blockchain to infinity.
But, on the other hand, if nothing changes, the community will only
get tokens that profit through yield farming. He also noted that
financial derivatives bring good value to the crypto sector.
However, he warned that derivatives are too risky. Featured image
from Pixabay, chart from TradingView.com
Ethereum (COIN:ETHUSD)
Historical Stock Chart
From Aug 2024 to Sep 2024
Ethereum (COIN:ETHUSD)
Historical Stock Chart
From Sep 2023 to Sep 2024