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Ethereum Will Be "Orders of Magnitude" Bigger Than Bitcoin, Says ConsenSys CEO

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Thu, 08/05/2021 - 05:04
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Alex Dovbnya
Joseph Lubin also claims that Ethereum is “sufficiently decentralized”
Ethereum Will Be "Orders of Magnitude" Bigger Than Bitcoin, Says ConsenSys CEO
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In his recent Bloomberg interview, he said that that the “next-generation economy” will by orders of magnitude bigger than “a narrow money system”:

Lubin says that the Ethereum ecosystem, which he believes is akin to the internet, has already surpassed Bitcoin:

The Ethereum ecosystem surpassed the Bitcoin ecosystem long ago in terms of the amount of developer activity, in terms of transaction number per day, in terms of transaction value, in terms of the number of tokens.

As reported by U.Today, Ethereum co-founder Vitalik Buterin claimed that there was a big risk of Bitcoin being left behind if it were to stick with the same technology.

The second-largest cryptocurrency is in the process of transitioning away from the proof-of-work consensus mechanism and switching to proof-of-stake.

On Aug. 5, the second-largest blockchain will undergo the “London” hard fork. It includes Ethereum Improvement Proposal (EIP) 1559, which is heralded as one of the most significant upgrades in the protocol’s history because of its fee-burning mechanism.

The Ether community, including Lubin, describes this step as the introduction of “ultra-sound” money.

Related
Ethereum’s EIP-1559: Comprehensive Guide to London Hardfork

“Sufficiently decentralized”

After U.S. Securities and Exchange Commission Chair Gary Gensler refused to answer whether or not Ether is a security at the Aspen Institute's virtual forum, many once again questioned the regulatory status of the cryptocurrency.

What is more, Gensler agreed with Jay Clayton, the previous head of the SEC, that every initial con offering was violating the U.S. securities laws.

Generally, folks buying these tokens are anticipating profits, and there’s a small group of entrepreneurs and technologists standing up and nurturing the projects.

Lubin, however, claims that Ether is “sufficiently decentralized,” citing comments made by former top SEC official Bill Hinman.    

The problem is that the SEC has already clarified that Hinman’s personal comments didn’t reflect its stance on Ether’s security status.

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About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at alex.dovbnya@u.today.