Vitalik Buterin foresaw stablecoin and defi growth, omits NFT

Ethereum founder Vitalik Buterin has predicted that crypto will ultimately become a “global, decentralized computer.” While the original vision for Ethereum was to have it act as a platform for decentralization, he stated that one of the most important things about this is also allowing people to use their own currencies on top. At least in his opinion.

The “stablecoin” is a type of cryptocurrency that has been designed to have a stable value. Vitalik Buterin, the creator of Ethereum, foresaw the need for a stablecoin and made it possible with his invention of non-fungible tokens.

In most parts of the world, the start of a new year represents an occasion to make predictions about the future. Some crypto fans and experts have already started making predictions about the digital asset industry’s future.

Instead of making fresh forecasts, Vitalik Buterin, the co-founder of Ethereum, is defying the norm by revisiting some of his most famous predictions for the industry from the previous decade.

Buterin’s projections for Bitcoin, DeFi, and stablecoins were spot on.

Buterin claims that he foresaw the success of stablecoins as far back as 2013, when he wrote about “how Bitcoin may truly benefit Iranians and Argentinians.” His recent trip to Argentina showed that crypto acceptance was strong in the nation, as well as stablecoin adoption, as he saw “a number of firms operating in USDT.”

My current thoughts are that, although Bitcoin’s decentralization might allow it to *survive* in a hostile regulatory environment, it would not be able to *thrive*. A mix of technical resilience and public legitimacy is required for a successful censorship resistance approach.

Vitalik.eth (@VitalikButerin) (@VitalikButerin) (@VitalikButerin) (@VitalikButerin 1st of January, 2022

Buterin has previously said that Bitcoin was fighting government by being technologically censorship-proof, in response to regulatory worries over the flagship digital currency. His current opinion of the currency has not changed, as he noted that “Bitcoin’s decentralization would allow it to thrive in a very hostile regulatory atmosphere,” adding that its existence would be contingent on “technical robustness and public legitimacy.”

11. The Ethereum whitepaper envisions the following applications:

DAOs * Wallets with withdrawal limitations * Oracles * Prediction markets * ERC20-style tokens * Algorithmic stablecoins * Domain name systems (like ENS) * Decentralized file storage and computing

Vitalik.eth (@VitalikButerin) (@VitalikButerin) (@VitalikButerin) (@VitalikButerin 1st of January, 2022

Other predictions he got correct were ERC20-style tokens, Algorithmic stablecoins, Domain name systems (like ENS), Decentralized file storage and computation, DAOs, Wallets with withdrawal limitations, Oracles, and Prediction markets, which were all included in the Ethereum white paper.

Buterin dismisses Bitcoin Cash as a failure while omitting to mention NFT.

While some of Buterin’s forecasts proved to be correct, the prominent Ethereum co-founder admitted that he may have been mistaken in certain circumstances, citing Bitcoin Cash as an example of a failure.

According to his tweet, BCH became a failure because the community that sprung up around the project preferred “bravery” above “competence,” which might lead to problems in the long run. “Communities built around a revolt, even if they have a worthy purpose, generally have a hard time in the long run because they prioritize courage over expertise and are unified around resistance rather than a logical route ahead,” he writes.

He also said that he used to be a supporter of the PoW network, which many environmentalists believe is contributing to climate change owing to its high energy consumption. However, he is now convinced that POS networks are a superior option to the previously described.

He also reconsidered his forecast concerning Ethereum’s POS and Sharding timetable, which he now finds incorrect and ludicrous. Buterin said that his mistake was underestimating the software revolution’s complexity.

One surprise omission from his Ethereum application forecasts was that he entirely overlooked the importance of NFTs on the blockchain. The area has exploded in popularity over the last year, and it is now one of the fastest-growing crypto niches.

Vitalik Buterin foresaw stablecoin and defi growth, omits NFT


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