David Rosenthal: belief

Transcript context

…The only thing that I would add to that is there is this concept of the execution layer and the settlement layer and right now with Ethereum those 2 things are all bundled into one. It's like having all the trades happen in real time on the New York Stock Exchange and then all of the settlement and the bank accounts and the money trading hands at the end of the day also happen in that same spot. Sharding on Ethereum or things like Solana could be where a lot of the execution happens. But because Ethereum is the most secure and more decentralized potentially than the other ones, a lot of the settlement will still happen on Ethereum even if a lot of activity happens in a bunch of different places. Yeah. The analogy I’ve been thinking about with Solana, they're the most interesting competing other chain with Ethereum. I think about it like lots of organizations use AWS and they use Snowflake. That makes sense. It's not like you're only going to use one or the other. Just to put up a fine point, because you brought up the execution layer and settlement layer, it's worth making the analogy to the current financial system where we've got a very low bandwidth connection between banks that doesn't need a lot of transactions. You've got Fedwire, that needs to be bulletproof, but how many per day do you really need to execute? Not that many. Credit card transactions, we need tens of thousands per second around the world because a lot of people are doing that. There are going to be some issues. There is going to be some fraud, there's going to need to be some reversals, we need to build all sorts of other mechanisms. But do all of those need to happen on Fedwire? No, they don't. To put the bow on the bull case, is it fair to say this is the next internet, web 3.0 is the next breakthrough paradigm shift for technology, the way that the internet was. It will power trillions of dollars of new economic activity the same way the internet did. Importantly, this is part of the bull case, Ethereum will be the base layer upon which it all happens.…

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