The 2nd Global Blockchain HashCon | Bytom CEO Talks About the Prospect for PublicChains
In April, “Supercomputing · Fusion: 2021 Global Blockchain HashCon” was held in Chengdu, Sichuan province, which opens the prelude to the annual wet season of Chengdu, the capital of computing power.
Lang Yu, CEO of Bytom blockchain was invited to the conference to give a speech in a round-table discussion. He said in the speech that Bytom is in a transition from PoW to PoS to open up a new ecosystem that supports more interactions with other blockchains.
Yuanjie Zhang, cofounder of Conflux, DC mining community manager of Nervos, and Yong He, founder of DeepBrainChain also joined this round-table conference, different blockchains are making their own effort to expand the ecosystem.
Q1. How to evaluate the status and performance of public blockchain in the DeFi boom?
LangYu: In my opinion, the public chain does not have a strong sense of existence during the boom of DeFi. Like Ethereum, the reason why Ethereum proposed EIP-1559 protocol to burn some trading fee is that, in my opinion, letting the token of public chain get some dividends or capture its value from the DeFi application. That is to say, the value has not been fully transmitted to the public chains.
Recently, a hot topic is a bug for miners to extract value. In fact, this bug is like an elephant in a house, which everyone knows, however, due to the current market craze, everyone ignores this issue. When the market is cold down, or when the public chains being commercially applied, the miners can manipulate these DeFi transactions and obtain the arbitrage value of DeFi from the perspective of God. This is a big problem.
So I think the public chain development have less investment in DeFi. The public chain wants to serve all the businesses in the world, but in fact, some of the most influential businesses in the public chain are still DeFi businesses. As for the public chain developers, they may need to serve these users well, but now the risk is still relatively high. For the hard fork of Ethereum, the leverage of these on-chain lending products is very high. When these interests fork, it will affect the changes of the whole market. To avoid the market fluctuates, public chains should optimizes themselves in DeFi field, and Bytom 2.0 have also invested the most in DeFi path.
Q2. Can you explain in detail why Bytom focusing more on DeFi ?
LangYu: There are two main reasons for us to make up our mind to focus on DeFi. One is internal and another is external.
The first is the application of DeFi. Early in 2017, we have investigated a lot of blockchain applications that can really be applied. Only the field of DeFi is the direction we can see at that time. So we made the corresponding plan for DeFi in the year 2018 and 2019.
Now we can see that BSC is gradually surpassing Ethereum. We have seen such a trend. At the same time, we have made a complete optimization of our own technology. The operating systems of mobile terminals are all IOS and Android. Then, based on our model, why can’t we create a complete or robust virtual machine ecology? Therefore, the purpose of Bytom 2.0 is to provide users with a better and faster Bytom blockchain.
The second reason is the idea of PoW. We think that there may be some siphoning phenomenon in PoW. In my opinion, only bitcoin can achieve long-term computing power growth as PoW model in the end. We found that the value of the same POW-based token may still be siphoned by bitcoin. So we will think more about how to make an algorithm like PoW more suitable for some paths of DeFi.
Q3. Could you predict the trend of public chains in 2021?
LangYu: Taking Bytom for example, Bytom 2.0 will officially launch mainnet in August. And we will keep supporting the development of Bytom 1.0. All funds will be burnt to achieve a realize a community in PoW state.