Ethereum momentum may have become too much for its own good, with ETH users lapping up DeFi solution and expecting the same smoothness and transaction power as the ecosystem's early days.
Yet, the more users you add to a blockchain community, the clumsier it tends to get.
Thankfully, a solution may be in sight as Ethereum promises to beef up the network and introduce much-needed changes.
In the meantime, Messari, a crypto market data aggregator, reported that Ethereum's costs are now convincingly ahead of BTC.
The culprit, as mentioned, is decentralised finances.
Requiring the execution of multiple Ethereum transactions, DeFi are hogging a lot of blockchain space.
The solution will be the official roll out of ETH 2.0, but the issue is that this update is just a spec on the horizon still, as ETH 2.0 won't arrive until 2022.
Another solution has been pitched by EIP-1159 which offers to introduce a nominal fee for each transaction – at a fixed rate specifically – and further let miners benefit from a small tip.
EIP-1159's opinion may be a good idea, as the majority of ETH holders seem to favour it (around 60%) whereas 27% have been neutral to it, and 13% said it would affect the ecosystem negatively.
Ethereum needs to address the issue one way or another.
Postponing it hurts many established operations, including blockchain websites, where ETH gaming is available.
ETH is not nearly in too much trouble yet. It's just that we have grown accustomed to seeing it fly, and its wings seem to have been clipped.
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