An iEtherean Tale #5

An imaginary iEtherean tale based on true stories, real events, news, articles and/or facts…

In the hallowed halls of MIT, Professor Live Kepin stood at the front of a classroom, his crisp suit a stark contrast to the technological marvels surrounding him. The hum of electronic devices and the muted chatter of students filled the air as he began his lecture on the valuation of blockchain cryptocurrency networks.

"Today, we delve into the fascinating world of blockchain economics and the methods we use to determine the value of these networks," Professor Kepin declared, his eyes scanning the sea of faces before him.

He delved into the complexities of market capitalization and the common metrics analysts used. As he spoke, he noticed a student, Emily Thompson, struggling to grasp the concepts. Her furrowed brow and hesitant note-taking revealed her difficulty in understanding the material.

Deciding to use a real-world example, Professor Kepin brought up Metcalfe's Law and its application to iEthereum. The formula, he explained, was proportional to the square of the number of connected users, or in this case, wallet holders.

"For fun, let's apply the formula for Metcalfe's Law to iEthereum," the professor suggested, projecting the calculations on the screen. "Network Value equals the number of wallet holders squared."

He swiftly performed the calculation, revealing a Network Valuation (NV) of $20,430,400 based on the current 4520 iEthereum wallet holders.

The professor then wrote the calculation on the whiteboard, arriving at a network valuation significantly higher than the current market capitalization of iEthereum. His gaze fell on Emily, who seemed even more lost.

"As you can see," the professor continued, "the current total market capitalization of iEthereum is $1,473,120 based on the CoinMarketCap index. Now, using Metcalfe's Law, we can determine whether the market price is undervalued compared to its fundamental value."

He further broke down the valuation per token by dividing the total Network Value by the circulating token supply. "With 18,000,000 iEthereum tokens in circulation, the fundamental valuation per token comes out to be $1.135."

"Not offering financial advice, of course," Professor Kepin added with a smile, "but according to Metcalfe's Law, this would be considered a good buy considering the current market price is fluctuating between $0.02 and $0.11 per token"

As the lecture progressed, a collective nod of understanding spread through the room, but Professor Kepin noticed Emily still wrestling with the concept. Professor Spiel felt a growing internal conflict. He could sense Emily's frustration, and he grappled with the challenge of breaking through to her. During a brief pause, he decided to address her directly.

"Emily," he said kindly, "let's break this down together. Understanding Metcalfe's Law is crucial, and I want to help you grasp its significance."

A murmur of interest rippled through the classroom as the students eagerly awaited the professor's personable analysis.

The one-on-one attention caught Emily off guard, but she nodded, appreciating the professor's willingness to assist.

"Emily, let's put it in simpler terms. Imagine each wallet holder is like a node in the network, and the more nodes we have, the greater the value. Metcalfe's Law suggests that the value grows exponentially as more people join the network," he explained, gesturing toward the formula on the board.

Over the next hour, Professor Kepin patiently explained the intricacies of the law to Emily, using additional examples and metaphors to make the concept more accessible. He observed as the clouds of confusion gradually lifted from her eyes.

It was during this personal interaction that Emily experienced a breakthrough. Metcalfe's Law, once an enigma, began to make sense. As understanding dawned on her, a smile spread across Emily's face, and the tension in the room lifted.

The professor's internal conflict resolved itself as he witnessed Emily's transformation. He realized that sometimes, the true value of teaching lay not just in the subject matter but in the ability to connect with and guide each student individually.

As the class concluded and as the students filed out of the MIT classroom, discussions buzzed about the implications of Metcalfe's Law on iEthereum and the broader cryptocurrency landscape. Emily lingered behind and approached Professor Kepin, gratitude evident in her eyes. "Thank you, Professor. I never thought I'd get it, but your patience made all the difference."

With a warm smile, Professor Kepin replied, "Sometimes, breaking down complex concepts requires a different approach," the professor said with a twinkle in his eye. "Just like valuing a network – it's about making connections, one step at a time – both in the digital world and in our understanding of it.”

The iEthereum network, both in the digital realm and the minds of the students, now held a deeper significance. The MIT classroom, once a hub of confusion, once filled with the complexities of cryptocurrency valuation, now held the tangible proof that learning breakthroughs were not only possible but connections could be facilitated and valued.