 How would you solve the blockchain size storage issue once widely adopted? Well, there's a couple of ideas about that, but The main one is that Moore's law is very very helpful And it gives us greater capacity to store things on personal devices and smaller devices every year The second answer is that very much like the internet. This will not evolve as a single layer and With the internet, we've seen the evolution of multiple layers above the internet that give us greater and greater capacity if you wanted to transmit a movie or Sounds in the early 1990s. You didn't have the capacity on the internet to do that What was the greatest invention in order to increase the ability to send video and audio across the internet? Was it greater fiber optic capacity? No It was an invention at the Fraunhofer Institute of a technology called mp3 Perceptual encoding and compression which allowed us to take audio and video and shrink it by two or three orders of magnitude That invention allowed us to scale of the internet So there's two schools of thoughts in engineering one is make the pipe bigger And the other one is make the content smaller and in cryptocurrencies. We're doing both MP3 is an interesting Example because it was encumbered by IP until two years ago. Yes, so not everybody could use it in open projects No, people had to develop augur vis which is why it's interesting that in our technology space right now The patents are not yet quite Developed so we have this rare opportunity. This is the very early days this golden age The honeymoon period where you can work in a space that is truly Unencumbered by patents and truly open if you experience the internet in the early 90s, you know what I'm talking about There was this perfect moment where everything was possible. That's how I feel about the cryptocurrency space today excellent Being that you helped write mastering ethereum What do you think about its future viability for scaling versus current blockchain application platform competitors? I think you're positive about this, right? I think it's important to note that a platform like ethereum, which is a smart contracts open-source law platform is actually Much more difficult to scale than a money platform like Bitcoin But it's always the case in engineering that there are trade-offs, which means When you create something that's cheaper faster and more efficient often it has some kind of negative trade-off, right? Maybe it's more centralized Maybe it's not as open as it was before I think you'll see a lot of the competitors in the cryptocurrency space kind of hand wave at these trade-offs and They say we've solved all the problems But if you look more carefully what they've done is they've traded efficiency for centralization That's a trade-off. That's easy to make. It's almost impossible to reverse You can't buy more decentralization later by giving up efficiency. That's a one-way street All of these systems start at their most decentralized and gradually over time they get less and less Decentralized until we have to disrupt them again. That's what happened on the internet. That's what happened on the web That's what's happening with Bitcoin and Ethereum and all the other cryptocurrencies. So Not an easy trade-off In terms of scaling there are many many many simple solutions which are all wrong And there are a few very very hard and complex solutions that are all being researched Okay, we're almost out of time. Let's do a quick last one Do the last one here will the blockchain technology replace trust encoder like banks in the future completely or do they use it to be Prepared for the future even better. Do you think there's a consensus working with banks? Or do you think they will be replaced the way they are right now? I think they're going to be able to use this technology about as Successfully as newspapers have been able to use the web By putting ads and they're still around But nobody cares More seriously There are certain applications that you can't do with blockchains For example, you can't create money out of nothing and just give it to very rich people Corporations and other banks for free. No for that You need the euro for that you need quantitative easing in the national currency Where you can steal from the people through inflation and give it away to the richest around us? That's how quantitative easing works You cannot do fractional reserve banking with crypto currencies. You cannot create money out of nothing For that we're going to need banks So if you want to debase currency, there's only one place you can get that and that's the traditional banking system but the fundamental application of a checking account the fundamental application of a payment Network of the ability to pay bills who do commerce transact with others That is now a protocol and when you have a protocol competing on zero marginal cost against the sclerotic slow-moving Institution with massive costs and massive security problems guess who wins every single time