Posted on

Ethereum Co-Founder: Sinking Price of Crypto Will Not Hurt Growth

Ethereum (ETH)–Joseph Lubin, one of the co-founders to the second largest cryptocurrency by market capitalization Ethereum and current CEO of ConsenSys Inc., told Bloomberg in an interview published yesterday that he is not concerned with the sinking price of cryptocurrency or the overall impact it will have upon the growth of the industry.

While investors across the world reel from double-digit losses to extend an already taxing market in 2018, Lubin is confident that the industry will continue it’s march of adoption and growth that has characterized 2018 despite the otherwise bearish atmosphere. In particular, Lubin cites last December’s massive bull run, which bled over into the early weeks of 2018, as being bubble-like developments that are similar to price increases in the past. As Lubin points out, the past occurrence of BTC and cryptocurrency in general spiking in price, followed by a crash (hence creating multiple bubbles over time) is just par for the course, and each time getting slightly worse. While the bubble makes for a terrible experience to investors having to survive the bear market, it doesn’t indicate that the industry is failing in terms of development or adoptive achievement. Lubin claims there have been,

“six big bubbles, each more epic than the previous one, and each bubble is astonishing when they’re happening.”

Despite being all consuming during the bubble, looking back on the ebb and flow of the market reveals a more steady movement in price, which Lubin refers to as ‘pimples’ on the chart. He also finds, in some small part, the severity of the crash to be indicative of the industry’s growth. The most recent crash has been that much more severe due to the fact that cryptocurrency is spreading, ICOs are on the rise, more projects are being developed with intriguing concepts compelling investors to pour money into,

“…we build more fundamental infrastructure, we see a correction, and the potential gets even more impressive… I absolutely expect that there is a strong correlation between the rise in price and the growth of fundamental infrastructure in the ecosystem and the growth of development in the ecosystem. We are probably two orders of magnitude bigger as a developer community than we were eight or 10 months ago.”  

Lubin, like other leading authorities in the industry of cryptocurrency, blames part of the crash and price volatility on the large number of speculative investors swaying the market, creating unhealthy conditions and myopic goals. Lubin, who helped co-found Ethereum alongside the outspoken Vitalik Buterin, has put his primary focus on growing the cryptocurrency industry in terms of utility and building greater adoption rather than through a price-focused discourse. Having the market dominated by speculative-driven investors is not a proper indicator of how the actual industry and underlying technology is performing,

“So we can look at the price and make growth plans and projections, and we’re still on track, basically. So this is not unexpected.”

loading…

Posted on

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,…

Posted by The Bitfury Group on Sunday, July 8, 2018

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.

loading…