- Bitcoin (BTC) is now a digital gold – Fred Wilson
- Investors loss faith in Ethereum because of its scalability issues
- Wilson believes Facebook’s Libra Coin has a brighter future
Ethereum News Today – Ethereum (ETH) has won the heart of many digital asset investors and crypto fans over the past years. However, the recent performance of the digital currency has left many investors concerned and worried about the project. Fred Wilson – the co-founder of Union Square Ventures – has been one of the diehard fans of Ethereum (ETH). Wilson predicted that the market cap of Ethereum (ETH) would outperform that of Bitcoin (BTC) by the end of 2017. However, his prediction did not come to pass and he said Ethereum is disappointing. He also withdrew his support for the digital currency. He said:
“It has shown the way to so many important things: smart contracts, potentially proof of stake, programmable trust-free computing, and a lot more. But it is still hard to build on, it still has scaling issues, and many developers are looking elsewhere.”
Ethereum (ETH) Price Today – ETH / USD
Fred Wilson Acknowledges Bitcoin (BTC) As a Digital Gold
Fred Wilson has had this belief that Ethereum (ETH) will overtake Bitcoin (BTC) as the world’s largest digital currency by market cap. However, the table seems to have turned. Recently, Wilson acknowledged that Bitcoin (BTC) is now digital gold. The Crypto investor also said that the new crypto of Facebook – Libra Coin – has a very bright future. In his blog post, he said:
“In some ways, Bitcoin is the one protocol that has found lasting product-market fit. In terms of a censorship proof digital store of wealth, there is nothing that comes close to Bitcoin. There are some protocols, such as the privacy-oriented ones, that offer similar and in some cases better use cases. But for the most part, Bitcoin is our digital gold. Stablecoins, including Facebook’s plans for Libra Coin, is a bright spot.”
Ethereum News Today – Wilson’s cynicism about Ethereum may have been pioneered by the poor performance of ETH to USD price. Amidst the poor performance of ETH to USD price, Bitcoin (BTC) is making tremendous progress. The dominance of Ethereum (ETH) is just 7 percent; meaning it accounts for just 7 percent of the digital currency market. Many analysts believe that the dominance level of Ethereum will continue to plunge.
Investors Are Losing Confidence in Ethereum (ETH) Due to Its Persistent Scaling Issues
Fred Wilson had faith in Ethereum (ETH). However, the persistent scaling issues on the network has caused the venture capitalist to revise his opinion about the crypto project. The Ethereum network is very hard to build on, and this has driven many developers and startups away from the project. Ethereum is presently struggling with crippling congestions. The utilization of the blockchain network is presently more than 90%, making it costly to use and run applications.
The co-creator of Ethereum – Vitalik Buterin – has promised improvement and better performance in Ethereum 2.0. However, Ethereum 2.0 is yet to be launched, and no one knows what would happen before the promised improvements.