Altcoin Dev Q&A: E-Currency Coin (ECC)
May 22, 2017

Ethereum Updates 5/30/17

This week marks another milestone in the cryptocurrency world, with crowd favorite Ethereum officially listing on Huobi, one of China’s largest cryptocurrency exchanges, as well as OkCoin. Ethereum has maintained a steady #2 status in the crytpcurrency markets, trading as high as $213 as of this posting and has even overtaken Bitcoin by volume traded over the last 24 hours.

While Bitcoin is the OG of the cryptocurrency world, Ethereum is interesting to tech savvy investors because of the novel way its approached the idea of utilizing its own cryptocurrency, “ETH”, which will be used as the fuel or “gas” for decentralized apps that are built and processed across the Ethereum network. These “dApps” are functionally immortal programs that operate independent of a central server and uniquely feature immutable code.

Ivan on Tech has a great explanation of all of this in the following video

Increased Ethereum trading in the China is important for a few reasons!

1) The Chinese love cryptocurrency

Unlike traditional markets, the crypto markets are open 24 hours a day, 365 days a year, and when Americans go to sleep, the Chinese and Koreans pick up the slack with huge trading volume. This will likely translate to big volume for Ethereum over the next several weeks.

2) Arbitrage Opportunities

There are currently wild price differences between cryptocurrencies depending which exchange you trade on. For savvy traders with overseas accounts, this presents a unique opportunity. In the simplest terms, you can buy Ethereum cheaply on one exchange and sell it at a premium on another. This seems simple enough, but accounting for trading fees and price volatility can really eat up the profits, so make sure you’re prepared to do the math.

3) Competition

While competition between Bitcoin and Ethereum is good for the market, what I really mean here is competition between countries. Many in the United States are worried about regulatory crackdowns on cryptocurrencies – but that likelihood diminishes greatly with our geopolitical rivals elsewhere in the globe also invested in the game. Cryptocurrency transcends traditional currency controls and political borders, as such there is simply no way for a single government to obliterate it, so the West might as well embrace it – Don’t hate the player; hate the game.

Learn more about cryptocurrency projects we’re excited about here. And be sure to follow us on Twitter!

Leave a Reply

Your email address will not be published. Required fields are marked *