The days of incredible blockchain growth have likely come and gone now that the average person is becoming more educated in the technology, according to Ethereum co-founder Vitalik Buterin.
Talking to Bloomberg at the Ethereum Industry Summit Conference in Hong Kong, Buterin said that “the blockchain space is getting to the point where there’s a ceiling in sight.”
“If you talk to the average educated person at this point, they probably have heard of blockchain at least once. There isn’t an opportunity for yet another 1,000-times growth in anything in the space anymore.”
The next step is getting people more involved
The Ethereum co-founder also pointed out that early blockchain growth, as well as that of crypto, was mostly dependent on marketing and aiming for broader adoption.
“That strategy is getting close to hitting a dead end,” he concluded.
Buterin believes that the next step is taking those people who now have a basic knowledge of cryptocurrencies and blockchain technology and getting them involved in a more in-depth way.
“Go from just people being interested to real applications of real economic activity.”
Ether, the cryptocurrency that runs on the Ethereum blockchain has seen a massive downturn of more than 85 percent since its January high of this year and is trading at less than $200 at the time of writing.
Losses were accelerated last month with a number of start-ups who were paid in ETH during their Initial Coin Offerings (ICOs) deciding to cash out, although wider concerns about digital currencies in general also played a part, with industry leader bitcoin seeing a drop of 50 percent in 2018.
On the subject of blockchain growth, Jehan Chu, managing partner at blockchain investment and advisory company Kenetic Capital claimed that there could still be further opportunity for growth in 2019 as crypto tokens continue to advance –
“There are deep reservoirs of value just waiting for the right trigger.”
What have we really accomplished?
Despite both ether and bitcoin taking a bit of a hammering after a report claiming that Goldman Sachs was suspending plans for a crypto trading desk (reports which were later rubbished as fake news from CFO Martin Chavez), Buterin doesn’t seem overly concerned with crypto or blockchain growth in relation to institutional trading –
“I honestly don’t think this stuff matters much. There’s honestly a part of me that would be happier if institutional trading of cryptocurrencies did not happen at all for another five years.”
“Ultimately if all that cryptocurrency is, is this thing that millionaires keep buying and selling to each other, then what have we really accomplished?”
Lover of all things crypto, blockchain and AI, professional tech scribe & part of the editorial team at Crypto Disrupt.