Vitalik Buterin, founder of Ethereum, talks about his prediction for the blockchain in the medium term

Also tell us about Soulbound Token (SBT), which is a non-tradable NFT. It was introduced as a way to represent individual achievements and identities on the blockchain, but are there any examples that it could be put into practice in, say, five years?

Regarding Soulbound Token (SBT), we are currently working on creating a system that allows people to use and recognize their identity, reputation, trust and attention through applications in the Ethereum ecosystem. We are trying to be able to handle very complex information about individuals.

SBT is unique because it cannot be transferred to others. For example, if the Nepalese government gave an NFT to a person who climbed Mount Everest, what would happen if it was tradable? Even if you own it, you won’t necessarily be able to prove that you climbed Everest. Maybe you’re just a rich person who bought an NFT. It would be boring, wouldn’t it?

In this way, the tokens Non-tradable can be used by a large number of people, such as for specific communities or people with common characteristics.

For example, if you are trying to get an unsecured loan, “trust” becomes more important than anything else. To get someone to trust you, you must provide some kind of “proof” that you are a trustworthy person. However, if that “evidence” can be bought and sold, it cannot be trusted.

I once read an article about Uber drivers in Africa buying and selling Uber accounts with reputations tied to them, but any reputation that can be traded carries the risk of being misused. There are also mechanisms, such as quadratic funding and bridging algorithms, that cannot be established if the identities of the participants are disguised. SBT helps solve these problems.

There is a wide range of other possibilities for the design of tokens. In addition to SBT, we can also create tokens linked to the community, and we are not limited to them. As large-scale token-based applications begin to be built, more types of tokens are likely to appear. tokens.

What kind of impact will the approval of the Ethereum ETF (an investment trust tied to the price of Ethereum) in the United States and the conclusion of the SEC (Securities and Exchange Commission) investigation into Ethereum 2.0 have on the Future of the Ethereum Network? Do you want to give it away?

These decisions will help provide security when building an ecosystem on Ethereum, transacting within it, participating in it, and more. It’s definitely a good thing for Ethereum and ETFs, and it’s a big win for the ecosystem.

Thanks to this, “holding ETH as an asset” has become more reliable for most users.