Ethereum has been on a run, to say the least, right? Now up more than 26% from its mid-August low, recently breaking above $1,800. Bitcoin's looking strong, ETFs are seeing inflows... It's all sunshine and rainbows, right? Maybe not for everyone.
While the headlines scream about whale activity and institutional investors piling in, I'm sitting here in Johannesburg wondering: who really benefits when ETH goes to the moon? Who’s getting choked out in the wave of USD yearning & moon mania over periodical gas hikes & ethereal network traffic?
Is Ethereum a Rich Man's Game?
Our reality is this—our current practice impacts our educational opportunities. This boom is driven by a highly concentrated group of investors already wired into the ecosystem. The whales are taking out millions in loans to catch ETH at fire-sale prices. At the same time, the smart money—those big funds—are increasing their ETF holdings, setting themselves up for huge windfalls.
Or the single mom in Nairobi, using Ethereum-based remittances to receive cash from abroad. Or the small-holder farmer in rural India, who is betting his life savings on DeFi platforms to gain access to micro-loans? Are ETH price all of a sudden flying making their lives much easier. Or does it move them outside of the very financial innovations, reforms, and capital that promise to empower them?
During a recent conversation with Aisha, a seamstress in Lagos who uses a decentralized application to receive payments directly from clients abroad without middlemen. When ETH rises, the fees rise, maybe even doubling,” she told me, frustration bubbling over at the inherent unfairness of this on-off switch. Often, I end up needing to wait days for the fees to drop before I can withdraw my funds at all. It's stressful.
That's the forgotten voice. The creator for whom Ethereum wasn’t merely an investment, but a lifeline.
RISC-V: Hope or Hype for the Underdog?
This is why Vitalik Buterin’s suggestion to replace the EVM with RISC-V is so interesting. The potential for increased scalability and efficiency is definitely tempting. The EVM, in its current form, is the biggest bottleneck, choking the network and inflating those nasty gas fees. RISC-V’s open-source architecture along with its native encryption support might change the game.
Let's not get carried away. Technological upgrades may be valuable, but they won’t change the fact that the core issue at hand is accessibility. So will RISC-V really democratize Ethereum? Or will it only serve to churn out even more complex debt instruments that enrich the well-heeled and well-connected?
Picture this future where RISC-V enables performance increases of a hundred times, which some claim is even possible. If those gains are primarily used to facilitate high-frequency trading and complex derivatives, what good does that do for Aisha in Lagos?
Are We Building a Two-Tier Crypto World?
Here's where the anger comes in. The outrage. We’re developing a new, fairer, smarter system that’s purpose-built to de-risk billions in advance. What we can’t do is replicate the same inequalities that we found in the traditional financial world, but with a blockchain twist.
Those achievements alone are not enough. We need to ask ourselves: are we building a two-tier crypto world, where the wealthy profit from speculation while the marginalized struggle to access basic financial services?
| Feature | Benefit for Wealthy Investors | Benefit for Everyday Users in Developing Countries |
|---|---|---|
| Price Surge | Higher returns on investment | Increased transaction costs, reduced accessibility |
| ETF Inflows | Increased market liquidity | Little to no direct impact |
| RISC-V Upgrade | Faster, cheaper transactions for complex trades | Potentially lower gas fees, if implemented equitably |
I'm not saying Ethereum is inherently bad. The technology itself is neutral. First, we focus on how we plan to use the data, and then inform where the data should be developed. Our moral obligation depends on how we share the fruits.
We should be advocating for better things from the Ethereum ecosystem. It’s time we start supporting policies that make transit more accessible and affordable to everyone. Let’s make sure these choices aren’t only afforded by the rich and universities. We need to remember the original promise of blockchain: to create a more equitable and inclusive financial system.
We can’t eliminate every risk, but we need to be smarter about the risks we take. Let’s not adopt a “one big bet” ethos and invest more than we’re willing to risk losing.
If we don’t act, this price increase will continue to widen the gap. The rich will continue to get richer and the rest of us will be left standing on the sidelines. That’s not a future I’d wish on anyone.
Otherwise, this price surge will just be another chapter in the story of the rich getting richer, while the rest of the world watches from the sidelines. And that's not a future I want to be a part of.
