Vitalik Buterin: Crypto, Blockchain Space Won't See '1,000-Times Growth' Again

There is no chance that the cryptocurrency and blockchain space will see "1,000-times growth" again, Ethereum co-founder Vitalik Buterin stated in an interview with Bloomberg September 8.At an Ethereum and blockchain conference in Hong Kong, Buterin told Bloomberg that the rapid growth of crypto and blockchain industry is now reaching a "Ceiling," and is moving from "Just people being interested" to the stage of "Real applications of real economic activity."

"If you talk to the average educated person at this point, they probably have heard of blockchain at least once. There isn't an opportunity for yet another 1,000-times growth in anything in the space anymore."

According to Buterin, the initial strategy seen over the past six or seven years in the crypto community - based on marketing coins with the goal of widespread adoption - has resulted in massive growth price and market capitalization of many cryptocurrencies, but that it is now "Getting close to hitting a dead end."

Crypto markets have seen a dramatic decline in terms of total market capitalization of all cryptocurrencies during 2018.

In January, total market cap of all cryptocurrencies hit $828 billion point.

The peak in total market cap has been followed by a gradual downturn - with a rebound upwards in May - that has led to the current figure of $198.8 billion, the lowest point since early November 2017, according to CoinMarketCap.

1-year total market capitalization of all cryptocurrencies chart.

While crypto markets have seen a significant decline in 2018, the current figures are still much more than those in the beginning of 2017, when total market capitalization stood at around $17-20 billion, and major cryptocurrencies such as Bitcoin and Ethereum were mostly trading below $1,000 and $12, respectively.

In late August, Fundstrat's Tom Lee claimed that the BTC "Could end the year explosively higher," citing a correlation between it and emerging markets and predicting that Bitcoin's price could surge to as high as $25,000 this year.

Julian Hosp, co-founder and president of crypto startup TenX claimed that he was still "Quite confident" that Bitcoin can hit $60,000 in 2018.