Vitalik Buterin has identified some events that are taking place in the Ethereum (CRYPTO: ETH) ecosystem that he finds especially stimulating.
What Happened: According to Buterin, stablecoins are an essential component for utilizing cryptocurrency to function as a medium of money.
“In either case, any kind of stablecoin working well would be a boon for many kinds of currency and savings applications that are already concretely useful for millions of people today," Buterin said in a blog post.
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Why It Matters: Buterin identifies decentralized finance (DeFi) as the second most important development of the blockchain industry, and he believes that stablecoins are the foremost among the DeFi products. “Decentralized stablecoins are, and probably forever will be, the most important DeFi product, but there are a few others that have an important niche," he said.
He noted that DeFi has gone from a relatively humble start to an overly-funded phenomenon with risky yield generation, and is presently in the process of settling into a secure, dependable medium with a focus on a few valuable applications.
Buterin is enthusiastic about Ethereum Name Service (ENS), which allows people to own custom domain names instead of their regular cryptocurrency addresses.
Lastly, he has identified decentralized autonomous organizations (DAOs) as a major part of the ETH ecosystem.
Price Action: At the time of writing, ETH was trading at $1,261, according to Benzinga Pro.