“I’m Really Excited About What’s Happening In The Ethereum Ecosystem”

Matt Hougan, Bitwise Asset Management’s chief investment officer, concedes that planned Ethereum (ETH) upgrades will enable the ecosystem to thrive like never before.

In a recent interview with Anthony Pompliano, Matt Hougan stated that once Ethereum Improvement Proposal 4844(EIP-4844) is completed, development activity in the Ethereum ecosystem will increase because the upgrade is aimed at significantly lowering transaction costs.

“I’m really excited about what’s going on in the Ethereum ecosystem and specifically EIP-4844 and how this will reduce the costs of Layer-2 solutions. I don’t think people understand how important this is. They don’t understand the value of a price that is virtually zero. If you think about the cost of cryptocurrency transactions, on average it went from a few dollars to hundreds, a handful of 20 cents, 10 cents. If Ethereum implements its roadmap, it will be under a cent by the end of this year. And the apps that don’t open at 10 or 20 cents per transaction are really huge. I know it sounds very theoretical but I think it’s a game changer. That’s why I’m really excited.“

Matt Hougan also suggested that crypto markets have entered a bull market cycle, but investor confidence has only just begun to return to the industry.

“More broadly, I’m excited to see investors returning to crypto. I think we are in a bull market. Some investors still have a bear market mentality. Crypto is the world’s best performing asset class this year. I think as this leaks in, we will see some of the investors returning to this space. So Ethereum and the roadmap there, the broader bull market in crypto, and how that will change, I think this is going to be a very exciting year. But I think the next three years will be extraordinary in crypto.“