How Ethereum's hard fork could rebound the future of crypto
|Richard Harris in Blockchain Thursday, January 17, 2019|
The use of Ethereum crypto coin is gaining momentum as smart contracts on the Ethereum blockchain strengthen its value. Thomas Crown art says using an Ethereum blockchain to authenticate artwork is an ideal solution for them, as they look to Ethereum for distributed ledger technology.
Ethereum crypto coin speculation can be found in just about every corner of the Internet, right along with many other crypto coins. But what is it about Ethereum that intrigues so many?
According to the deVere Group, Ethereum's ending value could be $2500 sometime in 2019, and it will continue to grow through 2020, because of the use of the platform itself and the seemingly limitless possibilities to build applications on top of it. That's a pretty bold statement considering today it's sitting at a mighty $119 per coin.
But there's a hard fork coming any day now - which means Ethereum will split into a new version that is intended to reduce mining rewards from three to two, speed up processing times, and improve the way the network monetizes data storage and address crypto scalability — the ability to process transactions efficiently and quickly. It's a change that's been much anticipated by the crypto community and those using Ethereum's platform to base their application around.
Ian McLeod of Thomas Crown Art, also believes Ethereum’s price will continue to soar throughout 2019, as the second largest cryptocurrency secures an impressive rally over the last month. In a recent email sent to ADM, Ian further comments on how he sees things in the world of Ethereum application building, and the future of Ethereums blockchain.
What's happening with Ethereum right now?
McLeod: Ethereum has made a bullish move and broke the $125.00 resistance - giving the crypto naysayers and doom-mongers a robust signal that this digital currency is on the upward trajectory once again. Ethereum’s rally is part of a wider cryptocurrency rally since the beginning of the year, with other major coins, including Bitcoin and XRP, also securing important gains. The bulls are back in town!
Is Ethereum going to prevail?
McLeod: Whilst we can expect 2019 to be dominated by a considerably more bullish sentiment than in 2018 across the major digital assets, I think it is likely that Ethereum will be the standout winner this year for these key reasons.
First, the hard fork will mean Ethereum miner rewards fall from three ether to two and decrease the block time, resulting in a faster network. This is a key part of a major Ethereum upgrade and the markets are excited. There’s a possibility the date of the hard fork might be pushed back a little, but traders are managing this into expectations.
Second, oracles. Oracles - data feeds that deliver information into the smart contract from third parties - will inevitably drive adoption of Ethereum smart contracts.
This is because smart contracts using decision-making on real-world metrics can be expected to find relevant use cases among consumers, firms, and organizations, amongst others. And, of course, as adoption and utility of Ethereum smart contracts increase, so will Ethereum’s price.
How is Thomas Crown Art using Ethereum to authenticate artwork?
McLeod: We’ve created a groundbreaking solution for artists and art collectors and galleries by giving the capability to use new works of art as a literal ‘store of value’ and serve as a cryptocurrency wallet for owners whilst providing an independent method to conclusively prove the provenance of artwork quickly and easily, and to view an immutable chain of ownership.
Using an Ethereum blockchain to authenticate artwork is an ideal use-case for distributed ledger technology. It provides the ability to store a permanent, immutable record of artwork at the point of creation which can be used to authenticate registered works by any third party independently.
The sentiment data and technical analysis suggest that Ethereum’s rally, to be fuelled further by the hard fork, will continue in the short to medium term. It is likely that this will positively impact on the rest of the cryptocurrency sector.