In an interview vitalik butrin CEO of Ethereum says that by the end of this year Ethereum price can hit 8,000 dollars. He also mentions different improvements in the Ethereum blockchain. He also debates the advantages of proof of stake and proof of work.
He says I am spending a lot of time on layer one stuff and also spending a bit of time on layer 2 stuff I came up with the I as that step into the plasma prime which is the latest implementation of plasma. I also continue to be fairly involved in different other things.
There are a lot of other things on technically layer excitestens Anotherther thing that too has excited me recently is also just the fact that more still exists so even something like a maker for example like you have the die which is a stable coin and it has launched at the perfect time. It will launch with a peak of eth bubble and it has survived in 91% decrease in the price. The dia has just been there and staying at 1$.
There have been simpler versions of proof of stake that have worked for example even back in 2011 there are cryptocurrencies called pear coin and tezoz which use proof of stake these are some new coin releases and there a are a couple of otheSimplisticstic versions of proof of stake replicate the structure of a proof of work blockchain. They just replace the random mathematical puzzles that people can solve with computers. So you still have a structure where you get a block and then a block on the top of the block so time between blocks.
That kind of structure is made basically it’s very simple and very overhead head it’s its ao a terrible because it takes a long time for blocks to come to a consensus. for example, you know the idea of waiting for confirmation and that takes an hour to confirm the transactions and proof of stake chains that work in a similar way inherit that sense.
He says our approach to proof of stake combined some of the insides from these older chain basics of proof of stake with byzantine which is a branch of mathematics that existed for about 35 years that focuses on this question of if you have some no of computers that how you get them to quickly agree on that kind of consensus originally only designed in the context of the setting where know ahead of time that these are 15 people participating in.
So you just give one of them a participation token and everyone knows who the participants are and that’s why you just directly transplant that into an open public network setting. That’s why satoshi work over proof of work naturally but our idea is to take algorithms and first of all merge them to the proof of stake second we came up with an algorithm that has some intermediate properties between the properties of these older algorithms on proof of stake.
So the problem was the algorithms that are designed r 15 computers so if you try to run them with 50,000 computers you need extremely powerful computers. In our case, we have a version of the algorithm that takes a longer to come to a final consensus but it is still not too long, and even before it comes to final consensuses it kind of intervive bft style of consensuses together with a kind of chain base style of consensus but also kind of not chain base.
Benefits of that give you as that within something like 5 seconds you get a soft agreement that this block is probably part of the history forever and that in a couple of minutes after agreement updates to final finalities is not going back.