Connect with us

Blockchain

Crypto 2030: Imagining What the Cryptoeconomy Looks After 2 Decades

Crypto

The early cryptoeconomy is the house that bitcoin built, and the space grew rapidly in 10 years. As the arena enters its second decade, it’s Ethereum that’s taking the baton and is poised to usher in a new era of unprecedented activities around cryptocurrencies. Yet the million-gwei question now is: how exactly will all the […]

The post Crypto 2030: Imagining What the Cryptoeconomy Looks After 2 Decades appeared first on Blockonomi.

Republished by Plato

Published

on

The early cryptoeconomy is the house that bitcoin built, and the space grew rapidly in 10 years. As the arena enters its second decade, it’s Ethereum that’s taking the baton and is poised to usher in a new era of unprecedented activities around cryptocurrencies.

Yet the million-gwei question now is: how exactly will all the coming crypto bustle unfold?

Of course, it’s hard enough to guess what will happen tomorrow in the cryptoeconomy, much less what will happen years on from today. But there are certain macro trends already coming to the fore that can give us clues as to what the future of crypto holds. In today’s post, we’re going to draw some of these trends out to imagine, both analytically and for fun, what the cryptoeconomy may look like circa 2030.

Optimized Ethereum on the World Stage

In our hypothetical 2030, Ethereum 2.0 has already been around for years and offers users around the globe the full promise of Ethereum’s original vision: a superior platform for open applications and payments.

Ethereum’s early community, development, and DeFi moats ensures the project is still safely the cryptoeconomy’s top smart contract platform, though other smart contract projects are still around and popular in different regions for different reasons. Interoperability reigns, though many chains are effectively sidechains with Ethereum serving as a central activity hub.

At this point, Ethereum’s scaling pillars, like sharding and layer-two sidechains, make it so the platform easily powers more throughput than mainstream giants like Mastercard and Visa. Moreover, this scaling tech will also make it so it’s cheaper and faster to transact on Ethereum than basically all traditional alternatives.

DEXes Go Mainstream

Decentralized trading projects like Uniswap have been having breakout success in 2020, and it’s no mystery why: users like to be able to access new assets permissionlessly and trustlessly around the clock, all without needing to sign up for an account.

I see the popularity of these trading protocols only continuing to ramp up from here precisely because of their open and free nature.

That’s why one of the most obvious predictions for 2030 is that DEXes will be vastly more ingrained in mainstream society and their crypto-centric complexities abstracted away by then. These solutions will go from bright stars in a rising niche ecosystem to a new paradigm for global finance, period. It’s already happening now.

The ERC20 BTC Exodus Is Significant

Tokenizing bitcoin as Ethereum-based ERC20 tokens has exploded in popularity this year and in no small part thanks to the multiplying prospects for putting these tokens to productive use in DeFi.

That said, at the time of this post’s writing there were 68,500 BTC tokenized on Ethereum, i.e. 0.326% of the total 21 million BTC supply. By the time 2030 rolls around, I predict a major spike so that more than 33% of that supply living on Ethereum, i.e. +6.9 million BTC.

In this sense, it may end up that none other than Ethereum becomes BTC’s de facto scaling solution. That possibility may rankle some bitcoiners in the here and now, but over time I suspect more and more users won’t care — the relationship will just work.

Stablecoins Are Hits

The current market cap of all stablecoins combined is +$17.5 billion. This market cap will be decidedly over $1 trillion by 2030.

Why? Stablecoins can be saved and put to use via crypto-native earning opportunities, e.g. liquidity providing or lending, in ways that ordinary fiat can’t.

Additionally, stablecoins will only continue to give rise to, and complement, central bank digital currency (CBDC) efforts. Over time, the lines between fiat-pegged tokens and CBDCs will continue to blur, except in the case of truly decentralized currencies like MakerDAO’s Dai stablecoin.

NFTs Become a Multi-Billion Dollar Market

Non-fungible tokens, or NFTs, are a popular rising use case on Ethereum that can be used to provide unparalleled provenance over digital assets like art, collectibles, gaming pieces, tickets, and more.

Moreover, since these assets are digital tokens on Ethereum, they can be programmed and extended to in essentially limitless ways.

In 2020, the NFT economy hit its first $100 million in total sales. Yet as these assets continue to pave the way to new kinds of creative economies, sales will only continue to climb. Look for the NFT market to be powering billions of dollars of sales by 2030 accordingly.

DAOs Become Significant Forces

Decentralized autonomous organizations, or DAOs, saw a resurgence in the Ethereum community in 2019 and then started really blooming in 2020.

These digital, democratic, and transnational co-operatives offer a new paradigm for organizing communities online, and we’re going to see lots more of them — small, medium, and large — in the years ahead.

And across the board will be touched, as there will be venture DAOs, esports DAOs, lobbying DAOs, social DAOs, and so on. Basically if you can imagine any kind of group now, someone will likely have DAO-ed it, or something akin to it, by 2030.

Social Money No Longer an Experiment

Social money, or personal tokens, are one of the newer sectors to rise atop Ethereum. They can represent income sharing agreements (ISAs), community currencies, the memetic value of a creators’ brands or content, all of the above, or something else entirely.

We’ve already seen dozens of personal tokens start to take flight through social money platforms like Roll, e.g. the entrepreneur Alex Masmejean’s $ALEX token. Expect this trend to continue to the point that it’s a normal and mainstream thing to invest in “people” as part of a regular portfolio circa 2030.

DeFi Is Now Just … Finance

Ethereum users call the decentralized finance arena “DeFi” because it’s novel and works completely differently to traditional finance. But this distinction will decrease over time.

Why? Because the crypto-native earning opportunities in DeFi are going to grow and attract so many users that in the future many DeFi activities will become fundamental and typical elements of personal finance.

By 2030, swathes of users ranging from consumers to large institutions are managing non-trivial parts of their finance through DeFi platforms. And by this point, all of the UX problems that plagued these young platforms are long gone.

Crypto Privacy Is Considerably Enhanced

One of the biggest early problems with popular public blockchains like Bitcoin and Ethereum was there lack of satisfactory privacy solutions.

Yet this problem will certainly be a thing of the past in 2030. At that point, mixer tools and projects based on zero-knowledge proofs (ZKPs) will be widely adopted atop Ethereum and beyond, meaning privacy will be the space’s default in the future and not opt-in (like how things generally are now).

Indeed, crypto users in 2030 will look back on users today and be flabbergasted by the level of privacy they enjoy compared to us.

Conclusion

The contemporary cryptoeconomy’s top projects hold within them incredible promise. And, while things are still early for now, all that they’ve been able to achieve to date gives lots of reasons to be optimistic that they will reach and help billions of users going forward.

Of course, there will be ups and downs along the way, just as the cryptoeconomy has seen its share of market cycles already. But all the recent advancements around scaling and DeFi make it seem like a tipping point has been reached, and that it’s all but inevitable that mainstream adoption will be reached. My guess is that mark will be handily achieved within the next decade.

991

Source: https://blockonomi.com/crypto-2030-future/

Blockchain

Ripple’s Brad Garlinghouse, Chris Larsen File Motions To Dismiss SEC Lawsuit

Republished by Plato

Published

on

Ripple’s CEO Brad Garlinghouse and co-founder Chris Larsen have recently appealed to Judge Analisa Torres, filing two separate motions to dismiss the US SEC’s amended complaint against Ripple and its executives.

Regulatory Overreach

In a letter dated March 3, 2021, the Attorneys representing Garlinghouse stated that the lawsuit filed by the SEC against Ripple was simply a “regulatory overreach.”

They argued that the SEC’s allegations of Garlinghouse aiding and abetting the sale of XRP, which they also alleged of being a security under the Securities Act, failed based on several reasons.

The letter reads:

“The SEC fails to recognize the economic realities of Defendants’ transactions in XRP, the XRP market, and Ripple’s business, each of which exhibits none of the traditional characteristics of an investment contract under SEC v. W.J. Howey Co.”

The Howey Test is often used by the SEC to determine whether an asset possesses the qualities of a security, and the regulatory body had argued that XRP had all the characteristics of a security. 

However, Ripple and its executives have maintained that XRP is a virtual currency, as confirmed by the Justice Department and FinCEN.

The filing also remarked on the recent amended complaint filed by the SEC before the pretrial hearing on February 22, which alleged that Garlinghouse violated securities laws by selling his XRP holdings through Ripple.

Baseless Claims

Garlinghouse had reportedly sold more than 60% of his XRP holdings worth around $159 million at that time, a move that had been frowned upon by several members of the crypto community.

However, the attorneys representing him have asserted that the SEC’s complaints against him are baseless since there are no tangible proofs to show that those transactions had indeed occurred within the US.

They said that “the truth is that the vast majority of Mr. Garlinghouse’s XRP sales were made on foreign exchanges, and those transactions do not and cannot violate the federal securities laws.”

Meanwhile, Chris Larsen’s lawyers said in their letter that the regulator has failed “to state a claim against Mr. Larsen,”  even in its amended complaint. Hence, the lawsuit against their client should be dismissed.

An Attack On Cryptocurrencies

The conclusion of this SEC lawsuit against Ripple will greatly affect the way cryptocurrencies are viewed and regulated. 

The CEO had earlier stated that this case is an “assault on crypto at large” and that Ripple “will not let SEC bully the entire industry.”

It is still uncertain who would be declared right or wrong, we just have to wait and watch with fingers crossed.

SPECIAL OFFER (Sponsored)
Binance Futures 50 USDT FREE Voucher: Use this link to register & get 10% off fees and 50 USDT when trading 500 USDT (limited offer).

PrimeXBT Special Offer: Use this link to register & enter CRYPTOPOTATO35 code to get 35% free bonus on any deposit up to 1 BTC.

You Might Also Like:


Checkout PrimeXBT
Trade with the Official CFD Partners of AC Milan
Source: https://cryptopotato.com/ripples-brad-garlinghouse-chris-larsen-file-motions-to-dismiss-sec-lawsuit/

Continue Reading

Blockchain

XRP Price Analysis: 04 March

Republished by Plato

Published

on

Disclaimer: The findings of the following analysis are the sole opinions of the writer and should not be taken as investment advice

XRP’s price action has seen it move in both directions rapidly over the past two months. In fact, the first half of February alone saw the coin make significant strides north before it corrected to account for losses on the price charts. However, such price movement was mostly confined between its resistance and support levels. In the coming weeks, the cryptocurrency may continue to trade range-bound provided its immediate support doesn’t give in to the market’s bears.

At the time of writing, XRP was trading at $0.455 with a market capitalization of over $20 billion. Over the course of the week, the cryptocurrency registered losses of over 6 percent. However, a slight uptick in price was noted over the last 24 hours, with XRP able to hike by close to 4 percent.

XRP 1-day chart

Source: XRP/USD, TradingView

Since the start of February, XRP has traded within a confined range. Its price action has been limited to trade between its resistance at $0.62 and support at $0.39. This support level is very crucial to XRP’s price in the long-term and if the bears flip this to resistance in the coming days, XRP will see its price head towards the $0.24 range – a trading price that was last seen in January 2021.

At the time of writing, there was a bit of bullish momentum that seemed to be benefitting the crypto’s price. If a trend reversal takes place over the coming days, then traders can benefit from a short position.

Rationale

The altcoin’s technical indicators highlighted how the coin is still not entirely out of the woods yet. There was significant bearish pressure for XRP on the daily chart. The MACD indicator underwent a bearish crossover and while a reversal seemed possible, it hadn’t occurred at the time of writing. Additionally, the Stochastic indicator was still in the oversold zone, despite moving towards the neutral zone.

Important levels to watch out for 

Resistance: $0.62

Support: $0.39, $0.24

Entry: $0.42

Take Profit: $0.26

Stop Loss: $0.58

Risk/Reward:0.91

Conclusion 

XRP’s price can be expected to be range-bound in the near-term. That being said, the altcoin may lose a lot of its value if the immediate support is breached in the next 24-48 hours. On the contrary, if the press time bullish momentum sustains itself, then a move towards its immediate resistance at $0.62 cannot be discounted.


Sign Up For Our Newsletter


Checkout PrimeXBT
Trade with the Official CFD Partners of AC Milan
Source: https://ambcrypto.com/xrp-price-analysis-04-march

Continue Reading

Blockchain

A dark horse in the Ethereum scaling wars? Chainlink’s oracles find fertile ground on xDai

Republished by Plato

Published

on

Chainlink (LINK) oracles have made their way to xDai, an Ethereum sidechain that has seen growing adoption among DApp developers who cannot afford to stay on the Ethereum mainnet.

As announced by Chainlink on Thursday, its price feeds are live on the xDai mainnet, offering price data for an initial set of trading pairs including LINK/USD, AAVE/USD, DOT/USD and SUSHI/USD. More pairs can be quickly added if there is demand, the company said.

The integration was completed by Protofire, a development workshop and xDai validator. The team received a Chainlink Community Grant to port native Chainlink oracles on xDai, including a token bridge adapter that enables native LINK payments for the oracle’s functionality.

The integration of Chainlink price feeds is the latest in a series of positive adoption news for the xDai project. The chain was already hosting major Ethereum-based DApps like Perpetual Protocol, a derivatives platform, and Omen, a prediction market developed by Gnosis. The inclusion of native Chainlink oracles removes a major barrier for projects relying on them, potentially opening up xDai for more DApps who wish to escape from the congested Ethereum mainnet.

Decentralization is good, but it won’t pay for gas

xDai is a relatively centralized sidechain secured by an independent set of validators. Sidechains are a type of chain where a standalone blockchain uses another’s token as a native currency for paying transaction fees — in xDai’s case, that token is MakerDAO’s Dai. The architecture binds the economies of the two environments, but the sidechain is otherwise a completely independent entity with its own security rules.

In the Ethereum community, xDai is commonly known as a centralized layer two solution. It was launched by PoA Network, a project whose name directly hints to centralization — Proof of Authority is the somewhat euphemistic name of a consensus model where the validators are chosen by the project’s insiders, instead of a community.

The xDai chain has since its launch transitioned to a Proof-of-Stake model very similar to that used by EOS or Binance Smart Chain. The total number of validators can never exceed 19, compared to the tens of thousands of validators in Ethereum’s Beacon Chain. The benefit this architecture provides is faster scalability, with xDai offering an advertised 70 transactions per second for simple token transfers.

In a conversation with Cointelegraph, Friederike Ernst, chief operating officer at Gnosis, agreed that xDai is somewhat centralized:

“It is not as decentralized as mainnet, this goes without saying. Obviously these are for very different use cases: you don’t want to do things on xDai where you need the economic consensus guarantees of layer one. But for many things, you don’t actually need them.”

The allure of xDai comes in part from its almost plug-and-play compatibility with Ethereum. Its OmniBridge allows moving any token to xDai and back, while its blockchain architecture is almost identical to Ethereum. This makes porting DApps or infrastructure elements like oracles very easy.

The centralization concerns seem to be not enough to stop adoption. Chainlink sees itself following developer demand, with Johann Eid, head of integrations at Chainlink Labs, telling Cointelegraph that “smart contract developers should have the option to work with whichever chain is the best fit for their use case.”

For Omen, the decision to set up shop on xDai was a matter of immediate necessity, Ernst explained:

“For most things, the gas costs outweigh the downsides of being on a PoA chain. And the fact of the matter is, while people are betting on a lot of layer two solutions, very few of them are in production.

Array

The growing adoption of xDai or Binance Smart Chain is seemingly at odds with the crypto community’s preference of decentralization. Ethereum fans often believe that the prevalence of DeFi on the blockchain is the result of its more decentralized architecture and community spirit. Indeed, the rise in usage of blockchains like Tron or BSC occurred after it became clear Ethereum could not cope with its load.

At the same time, decentralization appears to be not enough by itself. For example, the most Ethereum-like blockchain in existence is Ethereum Classic, which was formed by a community who believed that Ethereum was not decentralized enough. It has failed to attract almost any interest from DApp developers.

More centralized solutions have a major benefit going for them — they work, right now. Rollup-based layer two solutions are still in development, with Optimistic Rollups being closest to release. Ernst was not particularly enthusiastic about its one week withdrawal waiting period, though. “I’m a huge fan of zkRollups. There you don’t have the withdrawal limitations, but the technology is not developed enough.”

While some developers continue waiting for rollup-based solutions, platforms like xDai can advance unimpeded. “Ultimately, it’s a tradeoff between the higher security guarantees offered by Ethereum and the usability, innovation, speed and cost savings right now on L2 sidechains,” an xDai spokesperson told Cointelegraph. As long as gas fees on Ethereum remain high, DApps may bforced to choose practicality over ideology.

Checkout PrimeXBT
Trade with the Official CFD Partners of AC Milan
Source: https://cointelegraph.com/news/a-dark-horse-in-the-ethereum-scaling-wars-chainlink-s-oracles-find-fertile-ground-on-xdai

Continue Reading
Blockchain4 days ago

Google Finance adds dedicated ‘crypto’ tab featuring Bitcoin, Ether, Litecoin

Blockchain3 days ago

Why Mark Cuban is looking forward to Ethereum’s use cases

Blockchain1 day ago

Amplifying Her Voice

Blockchain4 days ago

NBA Top Shot leads NFT explosion with $230M in sales

Blockchain5 days ago

Inverse Finance seizes tokens, ships code: Launches stablecoin lending protocol

Blockchain5 days ago

Economist warns of dystopia if ‘Bitcoin Aristocrats’ become reality

Blockchain1 day ago

Libra Coin – A New Digital Currency Developed by FACEBOOK

Blockchain5 days ago

Here are 6 DEX tokens that have seen exponential growth in 2021

Blockchain4 days ago

How KuCoin Shares (KCS) Can Create a Stream of Passive Income

Blockchain4 days ago

Litecoin, Monero, Dash Price Analysis: 28 February

Blockchain4 days ago

Top 5 cryptocurrencies to watch this week: BTC, BNB, DOT, XEM, MIOTA

Blockchain5 days ago

6 Questions for Kain Warwick of Synthetix

Blockchain5 days ago

3 reasons why Reef Finance, Bridge Mutual and Morpheus Network are rallying

Blockchain4 days ago

Korean Government To Levy Taxes On Bitcoin Capital Gains Starting 2022

Blockchain4 days ago

Polkadot, Cosmos, Algorand Price Analysis: 28 February

Blockchain22 hours ago

Will Netflix soon buy bitcoin?

Blockchain2 days ago

DEX aggregator 1inch integrates Bitquery’s API-powered crypto trading data

Blockchain1 day ago

Blockchain in Sports Betting

Blockchain1 day ago

Bitcoin Halving: Definitive Guide (In Just 5 Minutes)

Blockchain5 days ago

The current Bitcoin bull run is different; here’s why!

Trending