While trends have been bullish for Ethereum, investors-cum-analysts claim that Ethereum has not reached the expected peak yet. They suggest that the expected rise will be completed by the year 2021 and reason being, Fidelity’s institutional platform and Ethereum transition from Proof-of-Work (PoW) to Proof-of-Stake (PoS) protocol.
Analysts suggest that inclusion of PoS protocol and the Fidelity’s institutional platform are the ones that have ignited the rising price for Ethereum. Fidelity has launched an institutional platform for both bitcoin and Ethereum, giving cryptos the exposure to reach out to institutional investors, bridging the gap. The platform known as the Fidelity Digital Assets, based in Boston, will provide ‘enterprise-grade custody solutions, a cryptocurrency trading execution platform and institutional advising services, 24 hours a day and 7 days a week, designed to align with blockchain’s always-on trading cycle. The inclusion of bitcoin has been openly announced but rest assured that ethereum is on the list too.
Previously operating over Proof of Work (PoW) protocol, Ehereum developers are now working over ‘Casper’ update to make the transition to PoS. The code being open over Github, developers are working so as to allow the auditors and users to access and review the v.0.1 Casper code. Casper, under development since 2014, is the basis over which Ethereum network forms consensus. In fact, Casper will ease up the transition to PoS protocol from PoW. It can be taken as a hybrid version of both the protocols. The transition to the PoS for ethereum will halt down mining as a whole.
The PoS protocol is one of the two factors that have altered the price charts for Ethereum, according to investors. This, is somewhat controversial as per Ryan Selkis, the chief executive officer of Messari, a data analytics startup. He suggested that the consensus mechanism will not be able to work thinking that PoW might help more in scaling up. In order to get the system work with the transition, Selkis claims that it will take till 2021.
Proof-of-Stake and Ethereum 2.0 to happen before the end of 2021 at the earliest.
Selkis, nevertheless is sure that bullish trends are in for the crypto, owing to the fact that it is still going strong. He stressed upon that we are yet to see the full potential of Ethereum. Selkis also stated that this bull run is for a short to a medium term and that we are on the verge of yet another crypto bull run as a whole. These two reasons for Ethereum, are going to scale up the crypto for sure. Selkis further states that these two elements can bring a long stretched bull run rather than a regular shorter one.
The phase zero for the code specification is in route to completion and it will be ready for development by June 30th, 2019. The team will continue their work over this transition to PoS from PoW and hopefully Casper will ease up the transition. Whether Eethereum will spring out of the usual bull trends is a thing we will witness in the future, but one thing is for sure that Ethereum will stick to its place as a top crypto.