One day Blockchain and cryptocurrency might be “as broadly adopted as the internet is today,” said Jeremy Allaire, the CEO and co-founder of Fintech Company Circle. In fact, Ethereum might play a pivotal role in making it mainstream, Allaire told CNBC on “Fast Money” Wednesday. “Right now Ethereum has an enormous amount of developer activity,” he said.
Ethereum is the company that created the digital token Ether and is currently the second-largest cryptocurrency in the world by market value, according to CoinMarketCap. And, Allaire believes one of the reasons that catalysed the crypto market was Ethereum – a place where one can build apps on top of it.
He added, “You could issue new tokens on top of it; you could create new kinds of financial contracts, using the smart contracts technology.” And, all this resulted in dramatic increase in ICOs, or initial coin offerings — a crowdfunding way to raise funds for cryptocurrency ventures.
According to CoinSchedule, ICOs raised around $3.8 billion in the year of 2017. However, in just six months this year, more than three time that amount has been raised, which is around $12.4 billion. “It also catalysed a lot of competing infrastructures to Ethereum,” Allaire said. Moreover, a lot new Blockchain platforms are there on the market, he pointed out such as EOS, NEO and Cardano, he said.
Meanwhile, a New York-based hedge fund firm recently said that Bitcoin has more upside potential in comparison to Ethereum. The second-largest cryptocurrency according to market capital has been given a thumbs down by Tetras Capital. The firm’s opinions came just when the ETH prices dropped in BTC terms.
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