2017 was the year that Ethereum exploded. The charge continues in 2018. A lot of people feel like they missed the boat or something, but I believe the opposite is true. I think that the boat just arrived. The boat just proved that it is real and that it floats. Now is the time to get on the boat, as fast as you can. I project that Ethereum will continue to gain along a volatile trajectory over the next decade, and though the road may be bumpy, the overall trend will be upward. Here’s why I think that.
Ethereum Has a Broad Vision
Unlike most of the other 1300+ alt-coin derivatives of bitcoin, Ethereum actually enlarges the scope of trustless data and decentralized computing systems. Ethereum makes it possible for developers to unlock the new capabilities of this network by writing programs that will be able to do things that no previous systems could, solely based on the structural differences of the Ethereum Network.
Apps Using Trustless Data are Coming
Ethereum has the potential for game-changing apps that take trust out of business transactions. The public, decentralized, and immutable aspects of the Ethereum Blockchain make it a very attractive third-ledger on which to record mission-critical data on which two or more parties rely. Why not think of how to remove trust from these business scenarios? Why not remove the pain points? People will pay for effective pain relief. That’s an easy sell. As more developers begin to think of the Ethereum Blockchain as a solution to some of these problems, more applications will surface. These applications will add use value to the Network. The money will follow the value. Ethereum is not just a fad coin, it’s a fuel. Which brings me to my next point.
Ethereum Is a Fuel
Most coins and blockchains have a single purpose: to store and transfer values. The Ethereum Network is different. It is a platform on which one can run applications. There are rules on this platform. To prevent users from spamming and abusing the blockchain, recording data to it has a real world cost. Programs have to expend Ether to execute code on the Ethereum Blockchain. In the programming context, Ethereum is referred to as gas and the fees associated with performing actions on the Network are known as gas costs. My argument is that Ethereum has functional value aside from that as a value store and transfer mechanism. As this value becomes realized, and as more applications begin consuming fuel, the monetary value of this fuel will increase.
Ethereum Offers True Public Utility
One of the most controversial issues today in American politics is that of voter fraud. People on both sides of party lines are right to question the voting process. It is antiquated and requires us to trust a long chain of political rivals and enemies with many points of failure along the way. We have to trust that our vote arrives, is not changed, and is counted accurately. We have to trust that everyone else’s vote is also accurately recorded. We cannot verify that any of this happens. We cannot effectively audit the processes used to tabulate our votes. Why? In the past we tolerated these conditions because there was no alternative. Now there is. Ethereum has trustless voting. It’s built right on top of the Network, seamlessly integrated into the core.
Ethereum Is the Future
If you decide to invest in Ethereum, you are betting on the future of this technology. The technology makes some grand promises, but there are some very serious limitations that need to be surmounted before the Ethereum Network can handle the world’s data. It is good to know that some of the best and brightest minds in open source cryptography and computing are working on these problems right now. Nonetheless, that’s the gamble. Can they do it? I think it’s a safe bet.
Warning: Investing in cryptocurrency carries high-risk. This advice is based on prevailing winds of current market conditions. Past performance does not guarantee future gains. Invest only what you can afford to lose.