In an interview with CNBC, Vitalik Buterin discussed why institutional investors choose Ethereum and what factors play a key role in the growing interest in this platform.
Investor Preference
Vitalik Buterin stated that institutional investors choose Ethereum not because of its ‘scalability’ or ‘speed’, but due to its stability and reliability. ‘Many institutions tell us directly that they prefer Ethereum because it is stable, reliable, and does not crash,’ Buterin mentioned.
Longevity and Reliability of Ethereum
According to Buterin, Ethereum has not experienced a single second of downtime in its ten-year history, which instills confidence for institutional investors. New co-executive director of the Ethereum Foundation, Tomasz Stańczak, also supported this view, stating that ‘Ethereum has not suffered a single second of downtime over the last decade. Along with constant upgrades, it has always remained true to security and censorship resistance.’
Future of Ethereum and Institutional Focus
Buterin noted that institutions are now focusing on issues such as ‘privacy,’ which are turning out to be more important than the system's technical infrastructure. With the growing importance of stablecoins and tokenized assets, the need for assurance in fair and timely execution of transactions is also increasing.
Thus, the stability and reliability of Ethereum are viewed as key factors in attracting institutional investors, which could shape the future development of the platform.
