Jan van Eck, CEO of VanEck, stated in an interview with CoinDesk that the cryptocurrency industry should focus more on on-chain transaction fees rather than being overly concerned with the issuance of Bitcoin, Ethereum, and other related ETFs.
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Focus on high on-chain fees, not cryptocurrency ETFs
Optimistic about the development of on-chain applications
Focus on high on-chain fees, not cryptocurrency ETFs
Jan van Eck pointed out that on-chain transaction fees for Bitcoin and Ethereum are unpredictable, making it more difficult to establish practical applications within the ecosystem.
“Just look at the on-chain transaction fees for Bitcoin and Ethereum. No one would want to use these databases to build any applications, right? Let me give an example to non-crypto people: ‘Would you want to spend $50 on gas this week and suddenly have it become $600 next week?’ That’s basically what Ethereum’s expensive Gas is like.”
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Optimistic about the development of on-chain applications
Jan van Eck believes that stable on-chain fees were the most important thing last year, but the focus seems to have been confused by the issuance of Bitcoin ETFs. The good news is that affordable transaction fees can now be obtained through Solana or L2.
He stated:
“For me, the most interesting thing in the crypto space right now is that we have scalable databases that can accommodate a large number of users, maintain high uptime, and now have predictable costs. Therefore, we are now able to build practical applications on these databases, and I expect practical applications to become more prominent in the next few years.”
VanEck’s research team recently issued a report that is very optimistic about the future development of L2:
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ETF issuer VanEck’s analysis: Ethereum L2 will reach a market value of $1 trillion by 2030, who will be the winner?
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Jan van Eck also mentioned his pessimistic view on Ethereum spot ETFs, believing that it is unlikely to be approved before the May deadline. Compared to Bitcoin ETFs, the SEC has not responded to applications from Ethereum spot ETF issuers.
He said:
“We have submitted the S1 document, but we haven’t received any feedback. This means that the ‘issuers are not ready to disclose the documents, and Ethereum ETF will not be approved.'”
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Approval of Ethereum ETF in doubt, issuers VanEck and CoinShares lack confidence
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ETF
Jan van Eck
VanEck
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