Ethereum’s Potential 1,556% Explosion In AI Economy – Arthur Hayes’ Timeline

The price of Ethereum (ETH), according to co-founder of BitMEX Arthur Hayes, has a lot to gain from the development of artificial intelligence (AI) technology.

In a recent blog post, Hayes painted a hypothetical world where AI applications would construct decentralized autonomous organizations (DAOs) to carry out intelligent contracts. Since Ethereum is the most popular decentralized virtual machine, Ethereum would be the prominent foundation for such a world.

According to Hayes, the tokens created by the AI DAOs will trade on decentralized exchanges (DEXs), mainly those built on the Ethereum platform.

“A DEX is naturally suited to support the trading of any type of equity, debt, utility, participation, etc. token issued by an AI-powered DAO…

DAOs will fundraise and issue tokens on-chain. A plethora of new DAO tokens will trade on DEXs.

As DAOs capture more economic value than companies, DEXs will trade more than traditional CEXs.

I believe the largest driver of on-chain activity will be an explosion of trading volume on DEXs hosted on Ethereum.”

Source: Arthur Hayes

According to the BitMEX founder, if the following scenario plays out as planned, Ethereum may rise 1,556% from its current price of $1,875 to $31,063 if DEX trading volumes reach 20% of regular stock exchange volumes in 2022.

According to Hayes, Eth might reach a five-figure price in approximately a half-decade.

“Given the market is forward-looking, I want to guestimate the percentage that will be reached 5 years into the future. I am not concerned about getting this number exactly right. I want to be directionally correct and profit as the narrative shifts from “won’t happen” to “might happen.”