In a post on his personal blog posted on the 19th, Tim Bray left his thoughts on the technology behind cryptocurrencies after the Australian stock exchange abandoned the creation of a blockchain trading system.
Former vice president of Amazon Web Services (AWS), Bray recalls how the giant entered the industry in 2016, under pressure from third parties who said blockchain was great and would make all other models obsolete.
In his research, the manager says that this was the case “very very hard to find” blockchain applications that actually worked. Afterwards he also found that the marketing of such projects did not correspond to reality, but that a lot of money was coming in.
“AWS already made a lot of money with blockchain.”
A good example is Ethereum nodes, the second largest cryptocurrency on the market. Data from August shows that 65% of them are in data centers, with 50% in AWS, a usage also seen in several other projects.
Startups benefited from the cryptocurrency craze
Tim Bray tried to understand the usefulness of blockchain and sought answers from those who built their projects on such technology. To his dismay, he discovered that everyone could use common databases.
“They could all use ledger-like data structures, including signatures and cryptographic hashing”recalls the former AWS VP. “But why do they need blockchain? There was uncertainty about that.”
At the time, the world was experiencing ICO craze – an acronym for Initial Coin Offerings – so piles of cash seemed to cover the record for many.
As a result, the market was littered with pointless projects. This is one of the reasons for the great decline of cryptocurrencies in the following years.
Regarding blockchains that do not require trust to function, Bray notes to the reader that “on this point there must be confidence as a civilization”ignoring one of its greatest features.
Bitcoin? Hope it implodes, says former AWS VP
Tim Brady completes his article and sets his sights on the largest cryptocurrency in the market, the one that gave rise to this new market. Without hesitation, it shows no love for Bitcoin.
“Bitcoin itself can rot in hell and I expect it to implode tomorrow.”
The same feeling appears when the executive talks about the rest of the industry, still full of greed and scam.
“But the Ethereum folks got Proof-of-Stake to work at scale; good for them”continues Tim Brady, former VP of AWS. “Yet the explosions of non-Bitcoin cryptocurrency Ponzi schemes continue, at an annoying and discouraging pace.”
Finally, Bray notes that he is not yet ready to say that blockchain technology will not be useful for anything. However, he says he will keep his skepticism until he sees something actually working.
Source: Live Coins
Roy Brown is a renowned economist and author at The Nation View. He has a deep understanding of the global economy and its intricacies. He writes about a wide range of economic topics, including monetary policy, fiscal policy, international trade, and labor markets.
