Crypto VC that thinks Ethereum will hit $1 trillion market cap admits it will have competitors

Published on by Cryptoslate | Published on

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Ethereum has been the leading smart contract blockchain of the past few years without a doubt: its decentralized applications currently have tens of thousands of daily active users, which have siphoned over $10 billion worth of cryptocurrency into these apps.

Many commentators have asserted that considering these trends, Ethereum is likely to be the only relevant blockchain moving forward.

"The ghost chain reckoning is coming. There is well over $50bn in market cap value for chains no one uses. They will all be usurped by DeFi apps with actual use by the end of this market cycle."

Not everyone has this view: a prominent ETH bull that thinks the asset will hit a $1 trillion market capitalization in the coming years thinks it's right to believe that Ethereum will have competitors.

Earlier this year, Chris Burniske, partner at Placeholder Capital, made a controversial comment when he said that Ethereum is likely to race Bitcoin to a $1 trillion market capitalization.

His sentiment was backed up by trends in DeFi and in investor psychology as he argued that FOMO from retail and an uptick in usage of Ethereum's on-chain economies would drive the asset much higher than its current price.

"As much as I love #Ethereum, crypto innovation will not be constrained to $ETH, just as it wasn't constrained to $BTC. For the quality SC protocols, on the horizon is a period of massive growth, alongside #Ethereum's own scaling journey."

As much as I #Ethereum, crypto innovation will not be constrained to $ETH, just as it wasn't constrained to $BTC. - Chris Burniske September 29, 2020.

"#Ethereum's #DeFi boom, and the current #NFT craze, are fueling the need for other SC protocols to take some of the load. As much as high gas fees signal the value of Ethereum, they also signal the need for things other than Ethereum.

Placeholder does have investments in Polkadot and other blockchain networks and applications that may take the stress off the main Ethereum blockchain.

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