Vitalik Buterin Plans For Ethereum To Extend Beyond DeFi

The founder of Ethereum, Vitalik Buterin, has stated that he has plans to grow Ethereum beyond decentralized finance (DeFi). He discussed how Ethereum had the potential to develop a decentralized social media platform.

Buterin was speaking during the Ethereum Community Conference (EthCC), in Paris where he was a keynote speaker. In his speech, Buterin explained how Ethereum, despite its capacity, still needed to grow past decentralized finance and realize more financial benefits for users.

Buterin also addressed the high gas fees on Ethereum, which has been the main issue that Ethereum users complain about for the longest time. According to Buterin, the high gas fees did not create equality on the platform, given that they excluded the average user. The only groups that afford the high gas fees are wealthy traders and DeFi developers.

The lack of equality creates an ecosystem that is not suitable for all, hence inhibiting a holistic structure.

Ethereum to Create Decentralized Social Media

One of the things that stood out during the speech was Buterin proposing that Ethereum could be the next base for creating a decentralized social media platform. Buterin hoped that Ethereum could come in and combat the limitations that were realized from centralized social media platforms filled with loads of false data and siphoning of data.

Buterin also noted that the crypto community was also eager to launch a decentralized social media platform. Stani Kulechiv, the founder of Aave, recently stated that the firm was planning to create Twitter on Ethereum. However, unlike other social media platforms, the new Twitter will allow users to earn money from the interactions made on the platform, giving it an edge over centralized platforms.

Buterin’s plan for the social media platform will be to encourage users to publish high-quality content. To deter miscommunication, only the vetted members of Ethereum DAO will be allowed to publish information.

In his roadmap to develop this decentralized social media platform, Buterin stated that one of the features would be a multipurpose login based on a wallet. The sign-in will apply to a wide range of applications based on Ethereum. With this type of sign-in, the platform will be neutral and free from any censorship issues. Besides, Buterin proposed that the sign-in option would also be designed to focus on improvement.

Buterin also stated that the new decentralized social media platform would be different from Gmail and Facebook. If the platform is launched, the feature that will set it apart is the sign-in functionality to ensure users are not locked out of their accounts. Buterin compared this functionality with Gmail and Facebook, two leading social media platforms that lock users out of their accounts randomly and do not offer any solid help to the users to recover their accounts.

NFTs are Good for Ethereum

Buterin also talked about how NFTs were suitable for Ethereum. He noted that the boom of NFTs had saturated Ethereum’s ecosystem by offering something beyond DeFi. Because of the advancements of new projects on Ethereum, Buterin noted that the platform was extending its offerings to other areas.

Buterin also talked about the Ethereum Name Service among the few objectives Ethereum has achieved in going beyond decentralized finance. The service allows Ethereum users to input their addresses in an easily comprehensible format.

Buterin also expressed concerns of whether Ethereum could hold for the long run if investors continued stacking. He hence advised investors to monitor their DeFi investment funds on Ethereum and not overindulge so that stacking does not overwhelm layer 2.

In his speech, Buterin stated that, “Once you get to Layer 6, you’re actually increasing the financial instability and the risk that this whole thing is going to collapse and potentially get a couple of regulators angry.”

Buterin also touched on what the future held for Ethereum. He expounded the direction that Ethereum could take in the future, including “retroactive funding.” This is a process where developers will have the capacity to create a public infrastructure at no cost and receive returns when the infrastructure gains adoption. With such a robust framework and roadmap, Ethereum is poised to become not only a leader in DeFi, but also in other innovative blockchain solutions.

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