The co-founder of Ether, Vitalik Buterin, is known in the cryptocurrency world as V-God. The 27-year-old Ether co-founder recently gave an interview to CNN Business in which he argued that the crypto market is in a bubble. However, he stressed that “it’s notoriously hard to predict” when the bubble will burst.” The crypto mania may be over, or it may end in a few months. …… Elon (Elon Musk) won’t have that kind of influence forever.”
Buterin was born in Russia and started programming at the age of 4. At the age of 6, he immigrated to Canada with his family and became a dual citizen of Russia and Canada.
At just 27 years old, Vitalik Buterin is used to these cryptocurrency bull and bear cycles. In his eyes, the crypto market is more than just a game of money.
Cryptocurrency isn’t just a toy anymore
Buterin said, “We’ve had at least three of these big cryptocurrency bubble periods so far, and a lot of times, the bubble eventually stops because something happens and then it suddenly becomes clear that the technology isn’t quite where it was imagined to be.”
Buterin laid out his vision for Ether in a 2013 white paper, and two years later Ether was officially launched. Today, it is the second largest cryptocurrency, behind Bitcoin. Unlike Bitcoin, which is considered “digital gold”, Ether is a blockchain-based platform for developers to build and operate applications. It is like the Android or iOS of the cryptocurrency space.
In late 2017, Buterin published a tweetstorm questioning whether the cryptocurrency space really deserved its market valuation, which at the time was just over $5 trillion. He pointed out how little had actually been achieved, and that cryptocurrency prices then quickly fell.
Unlike then, Buterin is encouraged by the “tremendous” advances in technology and applications that have been made in recent years. For example, ethereum activity has surged in recent months due to the rise of NFT on social media and several landmark out-of-the-loop events, as NFT is based on the ethereum network.
It feels like cryptocurrency is ready for mainstream integration, whereas four years ago it was the complete opposite picture, when it was completely unprepared,” Buterin said. Now cryptocurrency is no longer just a toy. While I’m not sure, it’s still possible that ethereum could eventually catch up and surpass bitcoin in market value.”
Dog-loving loudmouth BOSS Musk
However, ethereum, and cryptocurrencies in general, still have problems. First, they remain very volatile, especially for retail investors who are used to more modest moves in the stock market.
Moreover, some billionaires seem to treat cryptocurrencies like playthings. Elon Musk’s on-again, off-again love affair with various coins has sent shock waves throughout the space.
After Musk tweeted on May 12 that Tesla would stop accepting bitcoin payments because of concerns about the cryptocurrency’s negative impact on the environment. (Because Bitcoin’s complex mining process requires a lot of computer power and electricity.) The mood in the crypto market immediately shifted. According to CNBC, nearly $365 billion in cryptocurrency market capitalization evaporated that day.
Buterin acknowledged that cryptocurrency markets tend to be “vulnerable” to disruptive events until they “build up their immune systems over time.”
Musk’s tweet to influence the market is something that has only recently emerged for the first time in the cryptocurrency space. buterin thinks it’s reasonable to be a little crazy right now. But the market will always eventually progress. Elon won’t have that kind of influence forever.
The Tesla billionaire has also repeatedly advocated dogecoin, which was created to satirize the crypto market. Musk also mentioned dogecoin again during his Saturday Night Live show.
Buterin believes that Musk’s fascination with dogecoin is merely a hobby, not a malicious one.
He said, “He [Musk] is a $100 billion plus billionaire who runs Tesla and SpaceX and all those things, but that doesn’t change the fact that he’s ultimately a human being and humans get excited about dogcoin. It’s just a human instinct. I don’t think Elon has any ill will in any of this.”
V Gods of Fury Kill SHIB
Another animal coin that has recently excited humans is Shiba Inu, a meme coin that calls itself the “dogcoin” killer.
Shiba instantly crashed by about a third after Buterin donated the then $1 billion SHIB to India’s Covid-19 relief fund. The sell-off highlighted some of the illiquidity problems with these cottage coins. He said, “The problem with these dogcoins is that the market for them is so small that you can actually end up not getting even a few million dollars by selling Shiba Inu, which would have been worth a billion dollars.”
Buterin also recently announced plans to burn, or remove from circulation, 90 percent of his SHIB holdings that originated from on-chain donations. buterin says he doesn’t want to be a “power center.” In the interview, he stressed that he doesn’t want the people who created the cottage coin to give it to him for “marketing” purposes.
Buterin talked about, “First of all, I don’t really know or understand these projects. So, I can’t endorse them, and I see what looks like thousands of torrents called Freecoin in my wallet. I don’t even know what the thing is.”
Buterin admonished those who want to use crypto tokens for good to donate it directly to charity.
The ever-present pitfalls of government regulation
Part of the reason for the recent cryptocurrency collapse comes from concerns about domestic regulation. Three regulators of China’s financial and banking sector said Tuesday that financial institutions and payment companies should not be involved in any transactions related to cryptocurrencies or provide services related to cryptocurrencies to their customers.
In an interview with China News, Buterin acknowledged that regulation “is always an issue,” although concerns about an outright ban have subsided.” Doing something like this seems harder and more unrealistic. At the same time, governments do have a lot of power to make getting involved in the cryptocurrency space more difficult.” Even though blockchains are decentralized and governments can’t take them down completely, they can block or restrict access.
“It’s important to listen to regulators so that we can do our best to address possible problems, and the risk of “regulation” makes the relationship between cryptocurrencies and regulators “more adversarial.”
The P o S Revolution, which will dramatically reduce gas fees
Billionaire Mark Cuban complained to The Defiant in February that the growth of ethereum was being hampered by “ridiculous” transaction fees, and the V-God said that “transaction fees are indeed “very high” right now, despite the high demand for transactions. The ethereum blockchain can only process 20 to 50 transactions per second.”
But V-God remains confident that transaction costs will come down, as the Ether team is undergoing a massive technical overhaul aimed at enabling Ether to scale rapidly. Ether is moving away from Proof of Work, the original algorithm of blockchain technology, to a newer concept called Proof of Stack. In short, this upgrade means that participants in the ethereum network, Vixen btc41010, will be properly rewarded for staying online and keeping the network up and running. This will eliminate the energy consumption race that comes with proof of work.
The death of environmental issues
Buterin said the shift to proof of stake would reduce Ether’s energy use by a factor of 1,000 to 10,000.
It will also bring the Ether network energy consumption under effective control, from the equivalent of a medium-sized country to the level of energy consumption of a village,” he said.
In stark contrast to the direction of Ether’s improvements is Bitcoin, where Buterin says future concerns about Bitcoin’s environmental impact may become a reality. I definitely think those concerns are real, and resources are really being consumed in a big way,” he said. It’s not the kind of problem that can destroy the world, but it’s definitely a huge drawback.” Buterin added that this is not only reflected in the power consumption of bitcoin miners, but also the hardware needed to conduct mining.
That’s why V-God has been stressing that as Bitcoin grows and adapts to technological advances, there will be more calls within the Bitcoin community to either move to proof-of-stake or to a hybrid model.
He says, “If Bitcoin sticks with its original technology and doesn’t make any changes, it will most likely be left behind forever.”
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/v-god-interview-on-cnn-ether-could-catch-up-and-surpass-bitcoin/
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