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Fidelity: Ethereum unlocks a new level of programmability, but there are future upgrades, supply-related uncertainties
2023-08-31 04:36:33
Odaily News Fidelity Digital Assets subsidiary released an Ethereum investment paper. The researchers who compiled the report said that investors could view Ethereum as an aspirational form of money, but could face far more challenges than Bitcoin to become a widely accepted form of money. resistance. Uncertainty about ethereums future upgrades and the number of tokens in circulation creates a series of hurdles before ethereums supply can reliably align with the supply of other store-of-value assets, the report said. It seems unlikely that any other digital asset will be better than Bitcoin, which is seen by some as the safest, most decentralized, and soundest digital currency to date, and any improvement will require trade-offs, the report states. ” But Fidelity believes that Ethereum’s use of smart contracts unlocks a whole new level of programmability, which is Ethereum’s “true differentiator.” In addition, Ethereum can also generate income through staking. Fidelity’s final conclusion is that increased activity on Ethereum does in fact drive block space demand, which in turn benefits token holders; at the same time, there are still “complex, subtle” factors, including protocol and expansion upgrades, making the future of Ethereum uncertain for investors. (Blockworks)