Vitalik Buterin Reveals the ‘Real Reason’ Users Prefer Ethereum – “It’s Not About Speed or Scalability…”

Ethereum co-founder Vitalik Buterin told CNBC in an interview in Cannes that institutional investors are choosing Ethereum not because of “scalability” or “speed,” but because of its stability and reliability.

“Many institutions tell us directly that they prefer Ethereum because it is stable, reliable and does not crash,” Buterin said.

According to Buterin, the fact that Ethereum has not experienced a single second of downtime in its ten-year history is a great source of confidence for institutional investors. In his opening speech at the EthCC event in Paris, Buterin discussed the future development direction of the Ethereum network and the “test of value” encountered during this period of accelerating institutional adoption. Noting that institutions are focusing on issues such as “privacy” in particular for the future, Buterin stated that these issues are much more important than the technical infrastructure of the system.

The new co-executive director of the Ethereum Foundation, Tomasz Stańczak, also supported this view, saying that these core values are why institutions choose ETH: “Ethereum has not suffered a single second of downtime over the last decade. Along with constant upgrades, it has always remained true to security and censorship resistance.”

Stańczak also noted that when institutions send orders to the market, they expect their transactions to be executed without discrimination, fairly, on time and without errors. With stablecoins and tokenized assets becoming increasingly mainstream, the importance of such deterministic assurances is also increasing.

*This is not investment advice.