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DEXs to Look Like CEXs with Censorship Resistance: Multicoin Capital's Kyle Samani

News
Sat, 05/23/2020 - 15:05
Vladislav Sopov
Kyle Samani, Co-Founder and Managing Partner at Multicoin Capital, foresees the evolution of decentralized financial services.
DEXs to Look Like CEXs with Censorship Resistance: Multicoin Capital's Kyle Samani
Cover image via twitter.com
Contents

Kyle Samani, a seasoned investor and analyst, named a couple of key challenges to the progress of decentralized finances: high gas fees and operations latency.

Two Main Obstacles for DeFi

Mr. Samani indicated two significant problems within the decentralized finances sphere. One involves high gas fees. Kyle Samani explained it with the popularity of Ponzi schemes that overload network. It may also be interpreted as 'growing pains' for the high-speed and ever-expanding DeFi sphere.

The other problem is latency. With high latency, unfair arbitrage deals will occur here, and malefactors will be able to easily predict the price spreads on such exchanges.

The second effect caused the end of FutureSwap's alpha demo. The Synthetix platform was also affected by latency problems.

It is a common belief in some parts of the crypto community that second-layer solutions may solve both issues due to decreased latency and gas fees.

Layer Two: Too Little Too Late

Mr. Samani is sure that all of the 'layer-two' solutions (scalability systems built on top of the blockchains) have their own trade-offs that makes them impractical in terms of DeFi optimization.

Ethereum (ETH) 2.0 revealed a similar story as the sharding design won't help DeFi get rid of such obstacles. 

However, Kyle Samani is optimistic about the general progress of decentralized finances. It will work like popular centralized services in terms of deposits, withdrawals, and trades.

However, the non-custodial manner and censorship resistance (corporate style of DeFi) will stay unchanged with the progress of this sector.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)

Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director

News
Mon, 07/13/2020 - 14:38
Vladislav Sopov
John Lilic, managing director at ConsenSys decentralized development studio, has shared an over-bullish prediction for Ethereum (ETH) progress
Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director
Cover image via stock.adobe.com
Contents

John Lilic leads international business development in the ConsenSys leading blockchain development studio. He is also an expert in energy markets and cryptocurrency segments. He tracked the progress of Bitcoin's (BTC) and Ethereum's (ETH) market capitalization statistics, coming up with an extravagant prediction.

Bitcoin (BTC) should get ready for parity

Mr. Lilic outlined that Ethereum (ETH) is showcasing much healthier dynamics than its competitor is. For instance, the flagship cryptocurrency still surpasses Ethereum (ETH) by 6.3x in terms of market capitalization, while simultaneously collecting 20% fewer fees than Ethereum (ETH).

John Lilic of ConSensys foresees parity of Bitcoin (BTC) and Ethereum (ETH) market capitalizations
Image via Twitter

Also, Ethereum (ETH) is demonstrating much more impressive price dynamics this year. It gained almost 37% against Bitcoin (BTC) in 2020. That said, Ethereum (ETH) looks severely undervalued to the top manager of ConsenSys.

However, Ether is on the path to eliminating this discrepancy. Eventually, the top two cryptocurrencies may reach market capitalization parity, concludes Mr. Lilic.

Related Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains
Related
Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains

As covered by U.Today Crypto News recently, Coinmetrics on-chain research team called Bitcoin (BTC) and Ethereum (ETH) the unique crypto behemoths that have managed to recover from Black Thursday.

Bitcoin (BTC) is losing supremacy in "fee race"

Should Ethereum (ETH) overcome its undervaluation, its price may be over $1,550 based on liquid supply and current Bitcoin (BTC) market capitalization.

Recently, it was unveiled that Ethereum (ETH) blockchain continues to surpass Bitcoin (BTC) in terms of network fees for more than 30 days in a row. Ethereum (ETH) is seeing this advantage for the first time in its history.

As U.Today Crypto News reported previously, ex-Messari analyst and angel investor Qiao Wang identifies two main catalysts of Ethereum's (ETH) price run in the mid-term perspective.

Related Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang
Related
Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang

According to Wang, the upcoming rally may be fueled by a long-awaited transition to Proof of Stake and fixing the monetary policy of Ether token.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)