Well-known venture capitalist Fred Wilson has changed his stance on Ethereum. Earlier in 2017, he said that Ethereum might overtake the bitcoin in market capitalization, but in his recent blog, he seemed pessimist about Ethereum’s future. He called Facebook’s Libra a bright spot.
In his blog post, he wrote that Ethereum “confounds” him. Fred Wilson believes network challenges are holding the platform back. However, he acknowledged the important things that Ethereum brought to the crypto space, including smart contracts, programmable trust-free computing, and potentially proof of stake.
Fred Wilson is not the only one who has been critical of Ethereum in recent time. Blockstream CSO, Samson Mow called Ethereum a technological dead end. A recent Bloomberg report showed that Ethereum’s network utilization has reached 90%.
Wilson also claimed that regulators have been hostile on the crypto industry which has forced the enterprises to move to Asia. However, he is positive that the industry will see more innovation in the coming time. He thinks crypto adoption has not gone mainstream, and most people do not earn or spend in crypto, and it is mostly used for trading and holding.
Nothing comes close to Bitcoin
Venture capitalist and co-founder of Union Square Capital, Wilson reckons that nothing in market comes close to the leading cryptocurrency. He referred to bitcoin as “our digital gold.” He added that there are a lot of protocols that offer similar or in some cases better use cases but nothing comes close to bitcoin in market capitalization. Bitcoin’s market capitalization makes up 70% of the total crypto market.
