Vitalik Buterin, the co-founder of Ethereum believes that the cryptocurrency market will not see the kind of growth that happened in 2017. In an interview with Bloomberg, Buterin said the days of 1000x growth in the sector was gone for good.
His remarks come as Ether [ETH], the native token of the Ethereum network which he co-founded, reached a yearly low of $185, the result of a downward trend that has lasted for months.
While ETH improved to end the day at just under $200, the current price is still a far cry from the crypto market highs of 2017—an all-time high of $1,432 for Ether. When drawn into the debate about downtrend of ETH’s market, Joseph Lubin, also a co-founder of Ethereum, told Salih Sarikaya, the editor-in-chief of Smartereum, that the market is so far up compared to where it used. He was probably referring to the start of 2017 when ETH traded for just above $8 or the previous year when Augur had to liquidate 1 million ETH at the rate of $0.7.
Less Crypto Buzz, More Crypto Adoption
Buterin explained that such huge returns in relatively short periods of time will no longer happen because the crypto industry has reached a certain awareness threshold. He explained:
“The blockchain space is getting to the point where there’s a ceiling in sight. If you talk to the average educated person at this point, they probably have heard of blockchain at least once. There isn’t an opportunity for yet another 1,000-times growth in anything in the space anymore,”
A strong advocate for the mainstream adoption of cryptocurrency, Buterin recommended a shift in focus from generating buzz about cryptos to creating better access to them.
The era of Initial Coin Offerings (ICOs) and token sales brought with it a massive amount of advertising for the crypto space as new projects needed to attract investments. While this serves a purpose, Buterin said the industry should now focus on improving the usability and accessibility of decentralized systems.
In a similar manner, Buterin recently called on the crypto community to look beyond the clamor for bitcoin ETFs and to a widespread adoption of cryptocurrencies in the day to day life of people.
The industry needs to “go from just people being interested to real applications of real economic activity,” he emphasized.