Heated competition as Ethereum and Solana attract more users
Chris Burniske appeared on a podcast. There he implied that a heated competition is going on as Ethereum ETH and Solana SOL successfully attract more users than other blockchain networks.
Leading adoption of Ethereum and Solana
Raoul Pal is a macroeconomic, investor and entrepreneur. He hosts a podcast Show Real vision where he invites several prominent figures from the world of finance.
Recently on his podcast, he interviewed Chris Burniske. He is a venture capitalist and is widely known for his work in the cryptocurrency and blockchain industry.
Raoul Pal started the podcast by proposing that Ethereum should be used as a benchmark. Specifically to evaluate the performance of other cryptocurrencies in the market. This means testing it as a standard for others. To further illustrate his point he compared how the US treasuries serve as a benchmark to compare the credit markets. This indicated that for him the position of Ethereum makes it an ideal standard for comparing other cryptocurrencies.
While agreeing with Pal’s point of view Burniske said,
“ETH is risked minimized yield for the internet, just as the 10-year (T-Bill) is risk minimized yield for the physical space.”
Raoul Pal concurred that as long as Ethereum continues to dominate the cryptocurrency industry, it will serve as the standard to evaluate other cryptos.
Last year, Chris Burniske gained attention after predicting the bottom of the cryptocurrency market in 2022. He believes that cryptocurrencies competing with competitors like Ethereum and Solana have a lower chance of success in achieving network effects.
Burniske compared the design choices of interoperable blockchains such as Polkadot and Cosmos to highlight the superiority of Ethereum and Solana. These blockchain networks possess certain technical advantages. Despite that Ethereum and Solana were more appealing to the users, He further added:
“[Polkadot] is still a top-20 network, and I don’t think it goes away, but it’s important for people to pay attention to the differences in crypto asset design and use, because that’s a big one. That’s where I see ETH and SOL as quite similar, and some of the other designs. They made more rational or logical decisions I would say, but they’re less explosive or less exposed to network effects,”
Chris Burniske also shared his plans for supporting the crypto projects. He said that his VC firm will aid in the blockchain progress by financing decentralized applications (dApps). He didn’t fail to perfectly portray the current situation of the market. post-dot-com is a place where people sell their companies for huge discounts. Burniske tried to draw a parallel between the current market situation and the post-dot-com