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Ethereum Price Rises as Corporations Move In

Last Updated March 4, 2021 4:54 PM
Andrew Quentson
Last Updated March 4, 2021 4:54 PM

Ethereum’s price rose 7% over the past 24 hours, continuing an apparent up-trend, increasing to $14.50, up from around $10 at the beginning of the month.

Price Rises in Anticipation of Enterprise Ethereum – image from poloniex

The main reason appears to be Enterprise Ethereum. Details are sparse, but a launch event  is to be held tomorrow, on the 28th of February, at what appears to be JP Morgan’s offices in Brooklyn, New York. According to the event’s website:

“[S]ome of the largest corporate users of Ethereum will demonstrate the most mature enterprise applications of blockchain running today.”

Details on who is to attend and present are not available until tomorrow. Joseph Lubin, Founder of Consensys – an ethereum based incubator – publicly stated last month:

“[Enterprise Ethereum] is a bunch of companies, large and small that are using and building on Ethereum, both in the public blockchain context and private permissioned contexts, who are organizing to build architectures that they need in their work, at the protocol level and application layer, and also ensuring that core public Ethereum is strong and well resourced and that the roadmap towards 2.0 and beyond has the best talent available to execute it. This group is very interested in seeing a strong Ethereum Foundation and leadership of the EF has been involved from the beginning.”

A schedule for the event has been published, but lacks any reveling information. As such, we’ll have to wait until tomorrow to learn more.

Eth at Turning Point

There appeared to be a race in the blockchain space, but it seems Eth has won it. Beginning last year with blockchain, but not bitcoin, then moving to prominent consortia such as R3 and Hyperledger, which focused on designing new protocols, it now seems the blockchain space is settling mainly towards eth based private blockchains.

The primary reason is probably because unlike R3 or Hyperledger, both of which use eth in some capacity, ethereum has a public blockchain. This allows far greater security at almost no costs for consortia, provides developers with transferable skills if everyone is focusing on one core protocol, thus reducing training costs/time, while also allowing for easier potential connections between private and public blockchains.

The public blockchain, in turn, benefits from added resources as well as a potential widening pool of talent, combined with more muscular backing on the regulatory front. The new trained developers might further launch their own projects on the public blockchain, adding utility.

Is Eth Making a Comeback?

After a tumultuous autumn and a very cold winter, spring seems to be returning to the digital currency, which might begin once more making headlines and grabbing attention.

Its market cap has increased to nearly $1.3 billion, with the currency showing great resilience after a series of forks, standing at around $8 for quite some time.

Eth’s price has nearly doubled this year, benefiting from a strong development team, capable leadership, a clear roadmap, a happy community focused on supporting new projects and, now, corporate interest.

Overall, the digital currency is well placed to advance further, standing out from other blockchains due to its smart contracts capabilities which, uniquely, has allowed it to build an entire ecosystem on top of itself through ICO tokens.

Image from Shutterstock.