Buterin Urges Investment in Real Solutions Over Memes
Entrepreneurs uncertain about their next move might find guidance from Vitalik Buterin himself. He has highlighted truly significant areas that require development today.
Ethereum's founder pointed out that the crypto ecosystem largely comprises two project types: those serving the crypto community's welfare and a “zero-sum network effect grabbing game” (such as meme coins). Despite their differing natures, both types play roles in shaping the market infrastructure.
Buterin's Priority Areas
Vitalik suggests that while some projects are vastly overvalued, numerous intriguing challenges are overlooked by investors. He lists specific examples requiring immediate attention (and worthy of substantial investments):
- Reliable short name systems (ENS) in Layer 2 solutions to facilitate user-friendly decentralized systems for Ethereum scaling.
- Enhanced user identity verification methods or ways to confirm community membership. Buterin is optimistic about further advancements, particularly praising the Gitcoin Passport project.
- Improved security measures for decentralized applications (dApps), often targeted by attacks, to increase smart contract and application security.
- The development of a new decentralized protocol without internal tokens for cross-blockchain asset transfers, aiming for a quick and secure token transfer process between platforms.
- Establishing institutional frameworks for multisig wallet access recovery to offer secure asset protection mechanisms against loss.
- New privacy preservation solutions. Vitalik believes that the development of privacy pools and zk-SNARKs for anonymous voting needs further refinement.
- Creating an on-chain-readable decryption key algorithm to simplify key management and improve compatibility with existing solutions.
Meme Coins: A Necessary Evil
Buterin acknowledges the flip side, noting that although DOGE and similar meme assets have become speculative tools with no long-term vision, they attract new users to the cryptocurrency world. This onboarding process is deemed a positive development for the community.
While meme coins continue to introduce novices to the market, experienced users are encouraged to focus on establishing infrastructural priorities. The market might auto-correct the inflated expectations around meme coins, but the development of fast and secure decentralized exchange systems is vital for the cryptocurrency industry's health.
