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Vitalik Buterin: High Ethereum (ETH) Prices are Good For Development

Ethereum ETH price Vitalik Buterin

Vitalik Buterin, co-founder for Ethereum, has an interesting view on the price development of ETH.

While current investors would be happy to see the price of Ethereum return to its all time high of $1432 in the early days of Jan. 2018, Buterin believes that a high ETH price is healthy for both network security and ecosystem development.

Buterin made his comments in a crypto-focused interview held by Laura Shin at the Columbia Graduate School of Journalism on Mar. 20, which was live-streamed for outside viewers. Shin asked the ETH co-founder whether project leads and designers–such as Buterin–should be focused on the price of cryptocurrency, particularly in light of the high volatility and the current “crypto winter” market conditions.

In response, Buterin pointed to what he called “earlier rhetoric” for ETH which downplayed the importance of cryptocurrency valuation in light of industry growth in development. In particular, Buterin explained that efforts to downplay price talk were both a way to distinguish ETH from other crypto pump and dump schemes, while also keeping the currency from treading in murky legal territory.

Buterin told Shin,

“In part, it was counter-signaling to distinguish ourselves [Ethereum] from other crypto projects that do pumping and lambo-ing way too much. But it was also about minimizing legal risk by basically trying to make the project seem more distant from something that would be covered by financial regulation.”

Since the release of Ethereum in July 2015, Buterin reports that the landscape of cryptocurrency has shifted dramatically. As opposed to earlier perceptions and conversations surrounding crypto, which hinged upon illicit use and other miscreant behaviors, regulators in today’s context are much more open to digital assets and blockchain projects. However, these regulators are unlikely to ignore coin projects just because developers claim they have no interest in the market price, with Buterin explaining,

“Even if people try to claim the price doesn’t matter at all, they are totally going to see through that.”

The cryptocurrency co-founder went on to share his view of ETH’s price, and how increased valuation would benefit the project as a whole instead of just pumping investor wallets,

“I can tell you what things are clearly important about why the price being higher rather than lower is good. One of them is obviously security. If the price is zero, then the network can’t be secure. That’s true in proof-of-work and proof-of-stake.”

Finally, Buterin outlined the value of incentives in cryptocurrency adoption and development, specifically claiming that coin developers and community members are better positioned both in terms of resources and rewards if the currency’s price can continue to grow higher.

The interview concluded with the audience being poised the question “Are Ethereum developers focused enough on the price of Ethereum?,” to which 21 percent reported “yes” with the largest pool of respondents at 38 percent responding “don’t care.”

The post Vitalik Buterin: High Ethereum (ETH) Prices are Good For Development appeared first on Ethereum World News.

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Google Co-Founder Mines Ethereum (ETH), Lauds Zero-Knowledge Proofs

ETHEREUM (ETH)–In a somewhat bizarre and surprising twist for Ethereum, the second largest cryptocurrency by market capitalization, Sergey Brin revealed at a summit yesterday that he has been mining the cryptocurrency with his son. Brin, a billionaire tech entrepreneur who co-founded Google alongside Larry Page, made a surprise appearance at the ongoing Blockchain Summit in Morocco where he shared with the crowd his experience mining the coin alongside his 10-year-old son.

One of our panels this morning at the 2018 Blockchain Summit was emerging technologies and trends – where blockchain,…

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In addition to sharing his story of crypto mining, Brin lauded one of the underlying fundamentals to cryptocurrency: the act of zero-knowledge proofs. Zero-knowledge proofs is a cryptography principle that allows an algorithm to prove something true (such as a private key transaction) without revealing that information. This has formed the backbone to the rise of privacy-focused cryptocurrencies, such as ZCash, which allows users to participate on a public blockchain ledger while keeping the specifics of their transaction private. While all cryptocurrencies offer a degree of security and anonymity through the use of private-public keys, zero-knowledge proofs give the option for users to conceal their transaction history and still have access to a typical public ledger blockchain

Despite his company Google taking a hard stance against the advertisement and promotion of cryptocurrencies, Brin has been a proponent of crypto in the past, making a statement to investors in May where he praised Ethereum, in particular, and the accompanying mining process for creating a boom in computing and a “technology renaissance.” While his praise centered on the increased demand for GPU-based mining, he sees the net-gain of crypto as beneficial to the entire sphere of tech and computing,

“There are several factors at play in this boom of computing. First, of course, is the steady hum of Moore’s Law…The second factor is greater demand, stemming from advanced graphics in gaming and, surprisingly, from the GPU-friendly proof-of-work algorithms found in some of today’s leading cryptocurrencies, such as Ethereum.”

Brin’s appearance at the Blockchain Summit is more a direct acknowledgement of the industry, and may accompany a desire on his behalf–and hopefully that of his company–to take a harder look at the innovation created through cryptocurrency. While news of Brin mining Ethereum with this adolescent son is not the type of bullish price forecasting some media outlets are reporting (ETH is down 2% as of writing), it does provide further legitimacy for the broader industry of cryptocurrency. Investors and enthusiasts have to appreciate the complexity of cryptocurrency, in addition to the misconceptions wrapped up in the culture and industry. With Google and other media giants (Twitter in particular) taking a hard stance against the advertisement of cryptos, it’s down to grass-root efforts and community involvement to drive adoption. Having a figure as high-profile as Brin both recognize the value of the tech, in addition to participating in industry events like the Blockchain Summit, is a win for all of cryptocurrency. The next step is providing usability for the currencies, beyond just price speculation.

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