Guarded?
Maybe not the right word. I am basically trying to say here is a view into my mind of what I think of Ethereum
Its not everything, its just one reason I think Ethereum is going to surprise a lot of people
Before I get to it, I want to point out that as of me typing this right now bitcoin is at $109,012 with a market cap of 2.17 trillion while ethereum is at $2,614 with a market cap of $315 billion
that makes btc 6.89x the price of eth in market cap
Now, market cap is sort of a silly metric,
coin supply x price
so, market cap can go up with a lower price
bitcoin is releasing more coins roughly every 10 mins... but what about satoshi's coins? Should they be included in the circulating supply? No nerds, don't say "Bitcoin days destroyed" to me, we are not having that conversation...
So its funny when market cap is given so much attenion
but, people look at it, so it matters..
when people see ethereum's price history and market cap, they might assume there is more room to run up
if you believe ethereum will flip bitcoin you have to think about how bitcoin itself might do a 2-3x from here, so maybe ethereum has a 13-21x in it waiting to happen
these are the thoughts people have when making a decision
did you know ethereum of 2021 is not the same of ethereum of today?
there is coin burning now, and sometimes, ethereum becomes net deflationary
so the market cap can shrink assuming price stays the same
you ever watch that video of Jeff Bezos talking about how everything at Amazon was getting better, metrics all going higher, meanwhile price of the stock was plummeting from $118 to $6... that's sort of what we have here
Ethereum today is good enough
The whole REASON anything else exists is because ethereum became TOO successful at the time
ethereum couldn't handle having some stuff go viral, it took all the activity for gas and made it more expensive for everyone else, often $30 to send $100 to swap...
So, this gave birth to many other L1's
There was a need, the need for lower fees, lower barrier of entry
Pulsechain is one example and this is what Richard thinks
But pulsechain is just one example, there are A LOT of other EVM forks.
So they came in, and got popular because paying hundreds of dollars to move some funds around to get onto etheruem was just not practical
Hex for example, say what you want about it, the staking mechanism is brilliant, however, when fees were super high, and since hex transactions actually involve reading from disc among other things, the fees to unstake long stakes made no sense. In some cases the fees exceed the amount that was staked. this was mainly due to etheruem raising the fees to read from disc but that's another story
that is LITERALLY the reason puleschain exists
so many L2's became their own L1's because of feeeeeeees, its all about the MULA
But, those days are over. Ethereum is cheap again, still like 15 cents to send, which is not a lot but less than a penny is better. This doesn't matter for big money though. The big money is building on ethereum
Bitcoin and Ethereum have something no one else has, a LONG history
its something that can't be bought
there's winners and losers. Ethereum classic, bitcoin cash, litecoin all still exist and have their own communities but they are not the main characters
Hive has an organic niche following and when you make a graphic showing all the different communities products and tools built around hive you realize how interesting this entire space is