Partner of Multicoin Capital: The share of Ethereum developers will decrease by the end of the year due to competition
Kyle Samani, Co-Founder and Managing Partner of Multicoin Capital Cryptocurrency Fund, in a conversation with Business Insider shared his expectations regarding the most important trends in the digital assets space for 2019.
Samani said that he is closely following the Binance exchange and its work on a decentralized trading platform, the launch of which could lead to big changes in the cryptocurrency industry. He expects Binance’s status as one of the largest cryptocurrency exchanges in the world to help attract a large number of users to the alternative solution, while its competitors, developing decentralized exchanges, have not yet succeeded..
“Binance understands that decentralized exchanges are the biggest threat to its business,” Samani said. “They believe that such exchanges will dominate in the long run. Accordingly, they intend to take on the role of a pioneer. I expect they will be able to provide incentives to get their clients to trade on the decentralized exchange and lure them away from the centralized one by actively providing liquidity. “.
According to Samani, the launch of the decentralized exchange Binance could provoke competing sites to create similar solutions..
He also expects that this year will see the launch of a large number of high-profile blockchain projects that can collect a wide user base. Some of them, like Dfinity and Cosmos, can compete with Ethereum as the leading smart contract platform..
“All new blockchains are aimed at competing with Ethereum. I expect that by the end of the year the percentage of developers writing for Ethereum will be lower than it is now due to competition. By the end of 2019, Ethereum will maintain its position as the market leader among all smart contract platforms, but there remains a significant possibility that this will not be the case by the end of 2020, “he added..