Vitalik Buterin, the ethereum co-founder, revisited his last year’s predictions and shared his insights via Twitter. Interestingly, Buterin admitted that he predicted Decentralized Finance (DeFi) correctly. Whereas, he completely missed the NFTs.
Moreover, he also missed out on collusion issues in DAO governance.
Vitalik Buterin’s opinion on NFTs
To begin, Buterin is a programmer, writer, and active member of the cryptocurrency community. In an interview with Forkast, the ethereum co-founder talked about his vision for NFTs. According to Buterin, we could see numerous kinds of NFTs projects in the near future. While some will be purely crypto-native assets, others could be real-world assets with legal or intellectual property rights.
Buterin stated, “Applying fractional ownership to NFTs could be extended to NFTs representing the real estate. Plus, most DAOs will link their projects to NFTs.” By the same token, Buterin acknowledged that NFTs or DAOs are extremely useful for diversifying real estate portfolios.
Also, Buterin believes blockchain transactions should not cost over 5 cents per transaction. Additionally, he proposed that NFTs should be migrated to a layer 2 ecosystem. In fact, the programmer presented two solutions to help with the transition through a cross-rollup scheme. For the uninitiated, Layer 2 refers to solutions built on top of Layer 1 to improve the scalability of the Ethereum network.
It’s interesting to see how NFTs are gaining importance in society. Several influential figures from the crypto world have been promoting NFTs actively. Vitalik Buterin’s realization will inspire many crypto enthusiasts to acknowledge the NFT technology even more.
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This article is educational material.
As always, make your own research prior to making any kind of investment.
