Anthony Di Lorio, one of the eight co-founders of the Ethereum network, recently revealed to Bloomberg that he is stepping away from the cryptocurrency scene. We look at why he is making this decision and its impact on the broader blockchain industry.
Decision based on personal security fears
Di Lorio explained to Bloomberg that leaving the crypto space was due to his safety. Since he came into the limelight in recent years, Di Iorio has been forced to use security services for his safety.
“The cryptocurrency world has a risk profile that doesn’t really get me excited. I don’t necessarily feel safe in this space. If I were to focus on larger issues, I think I would be safer.” he told Bloomberg.
This is not surprising since he is one of the famous faces in the fast-growing cryptocurrency scene. Di Lorio has also made a tidy fortune from his holdings in cryptocurrencies and other assets in the past decade.
Di Lorio made headlines in 2018 when he bought one of the most expensive apartments in Canada. At the time, financial magazine Forbes estimated his holdings to be around $1.1billion. Since then, the price of ETH has more than doubled, and he could easily be worth more than his valuation in 2018.
Di Iorio stated in the interview that he would sell his company Decentral Inc and focus on creating new initiatives within the tech industry. For example, he is involved in Project Arrow, a project that wants to build cars that don’t generate carbon emissions.
He concluded by stating that he was open to incorporating cryptocurrencies where they are needed but admitted that it was only a fraction of what the world needed. “I will incorporate the cryptos when they are needed, but in a lot of cases, they are not. It really is a small percentage of what the world needs.”
Where Did the Co-Founders of Ethereum Go?
Since its inception in 2013, Ethereum has seen many of its co-founders jump ship. At the moment, only Vitalik Buterin still works directly with the payment network. Buterin is the face of the project, and it is not surprising that he is committed to ensuring the growth of Ethereum.
He is unlikely to leave the project anytime soon, given that Ethereum 2.0 is in its development phase. Gavin Wood, another co-founder, created Polkadot (DOT), an innovative project that seeks to interconnect different blockchains together and is popular within the crypto space.
Cardano is also headed by Ethereum co-founder Charles Hoskinson and is a popular project that seeks to provide a highly scalable blockchain protocol using a proof-of-stake consensus mechanism. Other co-founders have started application projects, such as Joseph Lubin, who founded the popular Ethereum-based app ConsenSys.
Ether (ETH) is currently very firmly established as the second-largest cryptocurrency, with a capitalization of $221 billion. The price of ETH had exploded at the beginning of the year to reach an all-time high at $4,356. It has also consolidated its position as the leading smart contract despite high transaction fees and scalability problems.
Will Di Iorio Decision Begin a Trend in the Blockchain Industry
The blockchain industry is relatively new with less than two decades since its inception and has not witnessed high-profile security incidents. Nevertheless, huge sums of money are involved in transactions. Therefore, high-profile stakeholders are a security risk and need to take equal measures to protect themselves and their families.
Therefore, it is not surprising that some of the major CEOs of crypto exchanges and project co-founders have security details that monitor their activities. Unfortunately, the only comparable example similar to Di Lorio is the case of Jackson Palmer, the co-founder of Dogecoin.
Palmer has regularly stated his disdain for the cryptocurrency industry and recently likened it to a Ponzi scheme. He believes that the lack of regulation in the space means that the average investor can be defrauded at any time without any consequences.
These assertions seem extreme when the person started what has become the largest meme coin in the crypto market. Di Lorio’s actions seem justified considering the immense effort he put towards developing the Ethereum blockchain network, unlike Palmer, who abandoned Dogecoin.