Ethereum Will Drive Blockchain To Become as Widespread as the Internet, Circle CEO Says

Jeremy Allaire, CEO, and co-founder of FinTech company Circle believes blockchain and cryptocurrencies may someday be as widespread as the Internet is today, and he is certain Ethereum will be the industry’s primary driver.

Ethereum – The Major Driver of the Blockchain Industry

Allaire believes the crypto industry is a fruitful sphere in respect of “the fundamental, technical, and infrastructure.”

According to him, the primary driver for this is Ethereum. The reason why Allaire believes Ethereum may drive the widespread acceptance of blockchain and crypto is the amount of its development activities.

“Right now Ethereum has an enormous amount of developer activity,” Allaire said.

He draws his conclusions from the past occurrences involving Ethereum. His opinion is that it was the primary catalyst of the last year’s cryptocurrency boom.

“One of the things that really catalyzed the market last year was actually that Ethereum, in particular, kind of got to a place where you could build apps on top of it. You could issue new tokens on top of it; you could create new kinds of financial contracts, using the smart contracts technology,” Allaire explains.

Ethereum launched ether, its digital token, as a fundraising effort to develop its platform. Consequently, according to Allaire, initial coin offerings (ICOs) have increased, raising $3,8 billion in 2017. However, blockchain companies have raised more than three times this amount, or $12.4 billion in ICOs in just six months of 2018.

These developments, in Allaire’s opinion, catalyzed the development of many competing infrastructures to Ethereum, as well as leading to the emergence of new blockchain platforms such as EOS, NEO, and Cardano.

Circle’s Vision of Future – Fiat Currencies on a Blockchain

Jeremy Allaire and Sean Neville formed Circle as a P2P payments technology company in October 2013.

Based in Boston, Massachusetts, Circle has a mobile payment platform, Circle Pay, which allows users to hold, send, and receive traditional fiat currencies.

In September 2015, Circle received the first BitLicense (a business license of virtual currency activities), issued from the New York State Department of Financial Services.

In April 2016, the UK government approved the first virtual currency licensure to Circle.

Talking at an event in November 2016, Allaire expressed his low expectations of the future of bitcoin despite his company using it in their payments app, saying it’s very unlikely we’ll be using this cryptocurrency in next five to ten years.

“Our view is that we’re still in the really early stages of the technology and its development. It’s highly unlikely that any of us will be using bitcoin in five or ten years. In the same way that — how many of us use NCSA Mosaic or Netscape Navigator?” he said.

In May 2018, Circle Internet Financial raised $110 million in venture capital for ethereum coin backed by U.S. dollars.

Circle’s vision is for global fiat currencies to be running on a blockchain, which is why Circle announced in May that Bitmain, a Beijing-based Bitcoin hardware provider, will join Centre, an open protocol with an aim to connect the world’s fiat currencies on a blockchain.

“We’re trying to build the equivalent of Amazon, while we’re also building HTTP,” considered part of the foundation of the Internet,” Circle co-founder Sean Neville said at a dinner event in May.

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