Altcoin Daily: Ethereum Adoption Hasn’t Slowed Down Despite The Price Dip
Altcoin Daily looks into Ethereum (ETH) and points out that money keeps flowing into ETH despite the market downturn.
According to Austin Arnold, who co-hosts Altcoin Daily, developer activity on Ethereum hasn’t slowed down, despite the price dip.
“Even though we are watching prices consolidate and decline in the short-term, the building continues.”
The crypto analyst also mentions the plans for The Sandbox (SAND) to commit $50 million to an accelerator fund for metaverse startups.
“This is a huge injection of cash into the Ethereum metaverse, The Sandbox. Because of this, we are about to see a lot of building…
This isn’t just going into The Sandbox metaverse. It’s going towards building an interoperable, open network in general.”
Ethereum Scalability Issues?
Regarding the outlook for Ethereum, Arnold believes that the scalability issues will soon be resolved, partially through zero-knowledge proof (ZKP) technology.
“[ZKP makes Ethereum] a little more private, a whole lot more scalable, and BitDAO just launched this $200 million initiative to advance Ethereum scaling endeavors. Progress is happening.”
ZKPs are digital protocols that allow data-sharing between two parties without associating any information with the transaction, like passwords. By not passing the data around, it’s also possible to improve scalability.
Also, decentralized autonomous organization (DAO) BitDAO is launching a fund backed by big money to improve Ethereum’s scalability, Arnold highlights.
“What about scaling? Well, BitDAO just launched a $200 million zkDAO to advance Ethereum scaling via zkSync…
Major players are backing this scaling solution of zkSync through this DAO.”
NFTs
Arnold also mentions non-fungible tokens (NFTs), which he believes will catalyst Ethereum even more.
Following Twitter’s launch of NFT profile pictures, app research Nima Owji shared on Twitter that Reddit will also soon allow users to set any NFT as their profile picture.
Reddit is already engaged in NFTs, releasing their Ethereum-based collection CryptoSnoos.
While the NFT profile pictures are just a test, Arnold looks at it from a different angle, noting that it could still be a huge an adoption event for crypto.
“Reddit trial will allow users to set any NFT as their profile picture…
While this is only being tested, at the moment, it is pretty cool to see. Reddit obviously has tens if not hundreds of millions of active daily users on their platform… it should be clarified at the moment, though Reddit has stated that this is a small, internal test.”
