Incentives can drive blockchain adoption: Ethereum’s co-founder

Ethereum (ETH) has become a dominant force in the cryptocurrency market with 19.4% dominance in the sector. The term blockchain was introduced to the people alongside the rise of Bitcoin (BTC), but little do they know that the technology’s use cases go beyond virtual currencies. Anthony Di Iorio, co-founder of Ethereum, discussed in an interview what could drive global blockchain adoption.

People are not aware of the full potential of technology

In a roundtable discussion, first reported by TheStreet, Anthony shared that Rob Nelson, a talk show host, said he didn’t think about the success Ethereum is currently experiencing. He simply thought of common ideas like what if the ETH price would reach $100.

Today, the industry has grown significantly, and has a market value of over a trillion dollars. The Ethereum co-founder said that we are not aware of the full potential of these technologies. It’s only a matter of time before we figure it out. This is something like the Internet which grew exponentially in recent years.

He highlighted the fact that everyone strives for freedom and more control over their lives. The crypto sector has such potential considering the decentralized nature of multiple projects. There are a myriad of initiatives in the sector, and it can be challenging for those navigating the sector to identify a worthwhile project.

Furthermore, Lorio cited problem solving, better leadership, trust and more as key drivers of blockchain adoption. He also emphasized people’s freedom, saying that “People who try to restrict people who are trying to be free are a losing battle.” Security is another concern when it comes to financial freedom.

Allowing funds to be managed by others may not be safe at all. The Ethereum co-founder said that there are cases where people’s funds were not safe with the banks and the money was withdrawn from the bank. There are weaknesses in the systems that require fixing. Furthermore, he emphasized the fact that industry leaders must step up to show why there may be better paths to choose from.

Finally, he believes that incentives can be an important driver of blockchain adoption. Cryptocurrency is simply an incentive mechanism. “People are willing to earn by doing something, while others are willing to pay to use something.” The sentence explains exactly how the web3 ecosystem should be.

Blockchain is more than cryptocurrencies

It is not about digital currencies, but about how incentives are coordinated. This all boils down to problem solving. Developers should note broken mechanisms that need to be fixed. In addition, there are projects that make eye-catching offers, but complex mechanisms push potential users away.

Major companies including IBM, Alphabet, Nvidia and more are already working on blockchain development. Research shows that 81 of the top 100 companies are somehow involved in the technology. Although these organizations do not offer cryptocurrencies in the form of incentives, they flesh out the fact that blockchain goes beyond digital currencies.

Anurag has been working as a founding writer for The Coin Republic since 2021. He likes to exercise his curiosity muscles and research deeply into a topic. Although he covers various aspects of the crypto industry, he is quite passionate about Web3, NFTs, Gaming and Metaverse, envisioning them as the future of the (digital) economy. A reader and writer at heart, he calls himself an “average guitar player” and a fun soccer player.