11 June 2020
Crypto space is growing at a very steep pace. Since its creation, people have invested millions of dollars in crypto and blockchain. Truth is, crypto is a space full of stories of failure and success. Yet, all these success stories have one element in common: cooperation. It is impressive to see where the cooperation has led crypto in such a short time. This has been the case with a large number of proposals. In particular, cooperation has led to one of these proposals quite far in a short time. We are talking about the Enterprise Ethereum Alliance.
What is the Enterprise Ethereum Alliance?
The Enterprise Ethereum Alliance (EEA) is a quite unique non-profit organization. The case of EEA is particular, though; they have been able to partner with more than 200 companies. These companies range from small ventures to Fortune 500 companies and industry giants. And they are not technology companies – there are banking, pharmaceuticals, automotive giants, and many more.
One could ask: what could be the interest of these companies in Ethereum or its blockchain? Truth is, the answer is simpler than thought. They plan to use Ethereum's technological advances to offer services on its blockchain.
Why the EEA Will Change the World
The goal is more than clear: to build the best practices to bring the Ethereum blockchain to the real world. This creates a reference to promote and support the adoption of blockchain. The best part of it is that all its funding comes from the association's own members. These rotating members are not random people – we are talking about companies like Microsoft, J.P. Morgan, Intel, and other major players.
These companies have taken the baton in the relay race for blockchain adoption.
These companies have dedicated themselves to carrying out projects of different types. We are talking about integrating the blockchain into the supply chain. We are talking about integrating the blockchain to the liquidation of securities. We are talking about creating interbank payment platforms.
They'd take advantage of Ethereum's open-source progress and adapt it to their operations. This would lead to companies adjusting their protocols and policies to the blockchain. It would also mean that they would evolve at the same rate as the Ethereum code is improved. This would mean putting in place large-scale and interoperable blockchain operations.
To help different companies with different needs, The EEA brought two different proposals. The Token Taxonomy Initiative and the EEA Mainnet Initiative are here to change the game.
EEA: Tokens and Mainnet
The token taxonomy initiative aims to speed up the adoption of tokens. How would they do this? Easy, they created a framework that defines and classifies what tokens are. This helps companies understand what tokens are and how they work better. This way, they can see how to use them in their processes.
With this in place, a series of workshops are offered along with a code repository. After this, companies will be able to create their own tokens to meet their needs.
On the other hand, the Mainnet is a technical working group. Its work is to study how industries and ecosystems function in the blockchain. This seeks to understand how the public network fits the market needs. In this way, it can be seen how to get companies to connect to Ethereum and its blockchain. This finally aims to understand how to bring more companies to space with a clearer scope.
We all know how important is decentralization for crypto and the crypto space in general. And it is no different for the Enterprise Ethereum Alliance. They do not have a fixed board of directors. They have a rotating board of directors – their members change from time to time.
The truth is that this proposal did have a significant impact on the price of Ethereum. When the foundation of the EEA was formalized, Ethereum increased its price by one third. When they announced that around 85 companies had joined, it went up by another third. While the first time that third was $5, the second was about $44.
People in the crypto space always talk about a possible adoption that seems to be so far away. The truth is, we got an adoption going on behind the scenes. All this is possible thanks to proposals like the ones the EEA has up its sleeve. Now, blockchain adoption is closer than it has ever been.