A tale of two cryptocurrencies: Ethereum and Bitcoin’s ongoing challenges

“It’s been one of the most interesting months in the history of cryptocurrency. The price of Bitcoin has soared up to nearly $800 (then dropped to $675 as $19 million in BTC hit the market) as the reward for mining a block is soon set to be halved. Ethereum created what is arguably the world’s most complex multi-million dollar financial instrument, the DAO, only to see it hacked through a combination of flaws in its “smart contract” and the language it was implemented in. Meanwhile, the average size of a block in the Bitcoin blockchain nears 90% of the 1MB hard limit.”

tags: blockchain

A tale of two cryptocurrencies: Ethereum and Bitcoin’s ongoing challenges

Ethereum is Doomed

“If you want a smart contract that you can actually use, you have to be certain that it is bug-free before it is deployed. there are no known tools or methods available to Solidity developers which could provide an appropriate level of certainty. Such tools will take years to be developed and until they are in common use, no Ethereum smart contract should be trusted. Ethereum is doomed.”

tags: bitcoin

Ethereum is Doomed

TherOhNos: Who Really Gets Hurt When Startups Blow Up?

“The real losers are the employees. They are investing their time and their careers without access to any information. Unlike a fund who may have a portfolio of dozens or hundreds of investments, an employee can only make one investment at a time. The cost of a mistaken investment can be unemployment and the opportunity cost of foregone opportunities. Unlike investors who are making their investments after meeting with the company and performing due diligence, interviews don’t tend to work like due diligence sessions…”

“LinkedIn notes that Theranos has between 501–1000 employees. How much information did they have before they joined? What sort of due diligence could they perform? The answer, as with most other private companies, is almost none.”

tags: startups

TherOhNos: Who Really Gets Hurt When Startups Blow Up?

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