According to Matt Hougan, Bitwise Asset Management’s chief investment officer, investors are venturing beyond Bitcoin to buy altcoins that are set to explode.
In an interview with Bloomberg Technology’s Emily Chang, Hougan seems to be bullish on Ethereum, Polygon, and Solana
Ether, the crypto that runs on Ethereum, is a decentralized open-source blockchain system. Decentralized smart contracts can also be executed on Ethereum
A purported goal of Ethereum is to become a decentralized application platform that allows users from all over the world to write and run software that is resistant to censorship, fraud, and downtime.
“It seems there will be a Cambrian explosion of activity around Ethereum and other Layer 1 solutions.
“It is my opinion that investors will look at Ethereum, Solana, and Polygon,” Hougan said.
Solana facilitates the creation of decentralized apps (DApps). Through the introduction of a proof-of-history consensus, combined with the blockchain’s underlying proof-of-stake consensus, scalability is improved.
Traders, both small-time and institutional, are attracted to the Solana hybrid consensus model due to its innovative features.
Investors are now looking beyond Bitcoin, according to Hougan.
“There are a lot of investors who put their toe in the water with Bitcoin in 2020, 2021 who are now discovering that crypto isn’t just about Bitcoin. Next year, everything else will be the big story.
“Crypto will be decentralized finance (DeFi), crypto will be non-fungible tokens (NFTs), crypto will be web 3.0, crypto will be the metaverse. These are the predictions investors are making,” he said.
This is the first scalable, user-friendly Ethereum infrastructure platform based on Polygon (previously called Matic Network). Polygon SDK is the system’s core component, a modular, flexible framework that enables you to build a wide range of applications
With Polygon, Ethereum is effectively transformed into a multi-chain network (also known as the Internet of Blockchains). With Ethereum’s security, vibrant ecosystem, and openness, this multi-chain system is similar to others like Polkadot, Cosmos, Avalanche, etc.
The executive says he would pick Ethereum, the second-largest crypto by market value if he had to choose between Bitcoin and Ethereum.
“The asset of the year, in my opinion, was Ethereum. I love all my children equally, but if you need me to pick, Ethereum was. My expectations for its future performance are reasonable this year.
“The blockchain is undergoing so much positive activity right now,” he said.