Vitalik Buterin, the face of the cryptocurrency No. 2 by capitalization – Ethereum, reacted to the statements of analyst Jeremy Rubin, who assumes that the price of this crypto will go to zero. Surprisingly, Vitalik Buterin actually agreed that Ethereum “could have gone down to zero”. According to him, Rubin’s arguments for Ethereum in the current state, and “if the cryptocurrency stood in one place”, are “absolute truth” except for the question of using the PoS protocol, which “is not appropriate if we look at how the Ethereum network functions at the current day. ”
Speaking about Rubin’s assumption that those who “live” and develop their applications and tokens on the basis of the Ethereum network may eventually refuse to use this cryptocurrency, Vitalik Buterin said that he sees the risk of such a scenario, but since “cryptocurrency does not stand in one place, “he intends to take action to” tie “users of various tokens, for example, the class ERC-20, so that they still pay for the services of the network and the virtual machine Ethereum not with their tokens, namely the Ethereum cryptocurrency. Such binding to Ethereum, as Buterin promised, should lead to the fact that the value of the cryptocurrency will be different from zero. The founder of Ethereum made it clear that he intends to insist that the creators of the blocks and Ethereum are in a constant bundle while excluding the possibility of paying off the inside of their projects with their own tokens Buterin does not intend.
Ethereum has recently been at the center of information attention. The Chicago stock exchange Cboe announced that it expects from the Securities and Exchange Commission (SEC) permission to launch trading in futures for Ethereum, similar to the term contracts for Bitcoin, which the market has been trading since December last year.
In addition, key developers of cryptocurrency decided to agree on reducing the fee when creating the block, by 33%, from 3 to 2 Ethereum, which, in theory, should lead to a slowing of the rate of growth in the supply of this cryptocurrency. At present, the creators of the blocks receive 3 ETHs per conventional block and 2.625 ETH per side block. As a result, an average of 25,500 ETH is produced per day, in cash equivalent to $ 12 million. This creates inflation for Ethereum at a rate of 7.4%. Reduction of the fee should reduce the inflation rate for this cryptocurrency to 4.7%.
After reviewing community feedback, the core Ethereum developers have agreed to implement EIP-1234, which reduces block rewards to 2 (and uncle rewards proportionally) and delays the difficulty bomb.
Great decision!
— Eric Conner (@econoar) August 31, 2018
The changes will have to come into force along with the hard fork of the network, codenamed “Constantinople”, scheduled for late October this year.
