Ethereum co-founder Vitalik Buterin emphasized that applications maintaining sustainability and principles (permissionless, decentralization) should be prioritized in the cryptocurrency world. In his statement on X, Buterin highlighted the importance of decentralized exchanges (DEX) and decentralized stablecoins, noting that he uses such applications weekly.
Buterin: USDC Adoption Can Ease Transition to Decentralized Stablecoins
Buterin expressed hope for greater adoption of decentralized stablecoins like RAI in the future. He acknowledged the inevitable use of more centralized stablecoins like USDC, adding that these projects offer significant practical convenience.
The Ethereum co-founder highlighted that USDC is much faster and more convenient than bank transfers for international donations, emphasizing that the stablecoin enables free transactions, especially in emerging markets.
He noted that widespread adoption of USDC could facilitate users’ transition to more decentralized stablecoins over time.
“Unsustainable Yields Are Not a Long-Term Solution”
However, Buterin also shared his criticisms of projects offering temporary allure that are not sustainable in the long run. He expressed his lack of enthusiasm for the 2021 liquidity mining craze, stating that such yields often come from temporary sources like token distributions and are not sustainable in the long term.
“If someone tells me ‘Park your coins here and get a good yield,’ my question is always ‘Where is this yield coming from?'” Buterin warned that the sustainability of the yield should always be questioned. He added that he gets excited when there is a good reason to believe the yield will still be valid five years later.
