How Bitcoin Blockchain’s Social Layer and Users Improve the Cryptocurrency World
During the last year, cryptocurrencies have been in a bear trend that affected the whole industry. Several companies were not able to keep operating while others were just scams. Meanwhile, the number of active users in crypto exchanges experienced a decline during the last year.
Cryptocurrencies expanded in the market as digital assets that do not rely on centralized authorities such as central banks or politicians. There are also no lawyers trying to oversee specific smart contracts.
Galen Moore, an analyst, and entrepreneur proposes in an article that crypto’s human component is its strongest link. One of the most important thing for developers is how to attract the right users for their platform. Furthermore, Moore says that when evaluating a crypto network, the demographics of its users do matter.
Moor says that the collapse of the DAO is what Bitcoin maximalists believe that the DAO fork is emblematic of Ethereum’s trust dependency, which is also its weakness.
The DAO fork happened when Ethereum experienced a hack and the network decided to remain everything as it was or just fork and take a new path with the blockchain as it was just short time before the hack. Now, there are two networks, Ethereum Classic (ETC) that decided not to fork, and Ethereum (ETH), that is currently the third largest digital asset in the market.
The analyst says that if there is a security failure in Bitcoin’s protocol, the community of investors, miners and developers would have to take a decision on how to keep. One of the solutions could be to fork the network.
Each of the narratives is related to trust as well. Bitcoin Core developers maintain the Bitcoin network and its dominant client. They have exerted influence shaping Bitcoin’s future and its roadmap. Ethereum has also a public leadership that plays an important role in the community.
Back in September 2018, Bitcoin Core developers were able to patch a vulnerability that would have been very negative for the network. This vulnerability was originated back in March 2017 and 18 months passed for it to be discovered.
Moore says that a state actor working behind a pseudonymous could eventually hide a vulnerability to be exploited in the future. But why didn’t this situation happen yet? This is one of the main questions that the analyst asks.
He ends the article by saying that networks should be built to bring people in, rather than shut them out.