On Saturday (February 20), the price of Ether (ETH), the fuel of the ecosystem of Ethereum, the smart contract and decentralized application platform proposed by Russian-Canadian programmer Vitalik Buterin in 2013, went above $2,000 for the first time.
Data from TradingView indicates that on crypto exchange Bitstamp the ETH price went above $2,000 a 03:54 UTC and at 04:13 UTC, it reached the intraday high of $2,038.52, which is the new all-time high.
Of course, over the past three years, many layer 1 (L1) blockchain projects have been proposed as Ethereum killers, including Cardano, EOS, Cosmos, and Tezos, and more recently, Polkadot, Solana, and Binance Smart Chain.
Earlier today, this is what Binance Co-Founder and CEO Changpeng Zhao (aka “CZ”) said that the success of Binance Smart Chain (BSC) is not bad for Ethereum since this is not a zero-sum game:
For those holding ETH, no need to attack #BSC. We together make the industry bigger. ETH price did not drop. It increases together with #BNB.
Have an infinite mindset.
Read:
Infinite Game by Simon Sinek
Innovation Stack by Jim McKelvey https://t.co/kRvNlh83GP— CZ 🔶 Binance (@cz_binance) February 20, 2021
And roughly one hour before this tweet, he said on Twitter:
- “#Binance mining pool is now the 11th largest #ETH mining pool. We still support ETH very much. Lots of love.”
- “As expected, I get a bit of ‘heat’ from #ETH lovers given the increased adoption of #BSC. I have no issues with ETH. We support it. We trade it. We futures it. We mine it. As a #BNB holder, I will of course continue to relentlessly shill #BSC and #BNB.”
Angel investor Qiao Wang, a former Director of Products at Messari, said yesterday that despite the lead that Ethereum currently enjoys, we should expect to live in a multi-chain world.
Ethereum could very well be the front runner for years to come, but the multi-chain world is here. And it’s here to stay. Polkadot, Cosmos, Solana, Binance, etc.
Accept this into your life or HFSP.
— Qiao Wang (@QwQiao) February 19, 2021
Wang, who admits that Ethereum is his favortie decentralized app platform, then explained why there will continue to exist several successful L1 blockchains:
- “The most obvious reason why we’ll have multiple chains is communities. Not the tech. Products that have been built on Ethereum *will* be copied elsewhere, and more importantly *localized*. Users from different cultures have different habits and preferences.”
- “Why can’t they be localized on Ethereum, you asked? Because the developers don’t feel they belong to the Ethereum. They don’t feel they are owners of Ethereum. They need a different chain where they can create a sense of belonging and ownership for themselves.”
And this is the reason that he likes investing in both decentralized finance (DeFi) and blockchain interoperability solutions:
Now that you have accepted the multi-chain world into your life, how do you bet on it?
IMO L1 assets are OK bets but not the best.
Better:
– DeFi projects. They are chain-agnostic and can migrate if necessary.
– Interoperability projects. They benefit directly from it. https://t.co/XXC3YCTkAN— Qiao Wang (@QwQiao) February 19, 2021
He later added:
“Both DeFi projects and interoperability projects can design cash flow into their token value accrual. Ideally you want to hold those with cash flow. I sleep better at night holding these than pure utility tokens.“
