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Ethereum

Is Ethereum (ETH) Network Activities Putting Stress on their Stake Holders?

Ethereum definitely puts stress on their clients by its inability to scale.  It is true that scalability is a problem in several other cryptocurrency network, but Ethereum has way too many clients who have bought to their ideals already.  The numbers of transactions which the network is able to scale is relatively low when compared to the many clients that ETH forms the foundational structure for.

The developer teams have been working non-stop literally forever to do something about increasing its capacity.  Network congestion leads to an increase in the maximum gas permitted per block on the Ethereum blockchain.  Ethereum 2.0 Sharding is focused on solving this issue.

Ethereum 2.0 is coming with lot of changes and ETH advocates are hopeful that these changes will help them dominate Bitcoin.  The consensus facilitated by BTC has made it possible for it sit on the top of the ranking charts.  However, there are real-world limitations for BTC, which is getting solved by Ethereum and a variety of other Altcoins.

Sydney Ifergan, the crypto expert tweeted:  “Ethereum (ETH) is neighbor in the ranking list to Bitcoin in the nearest vicinity to win over BTC ranking.  Just that the scalability issue should get sorted for this to happen.”

It is well known that the proof of work has been very inefficient and Ethereum are moving to the proof of stakes system.  In PoS, each of the nodes will be staking ETH and the algorithm will choose the node with the maximum staking.  The complexity of the cryptographic work is solved.  Since every node will be staking, it will be getting very hard for anyone to attack the network.

Ethereum (ETH) Dominating BTC

Sharding has been introduced with lot of hope to solve the scalability issue of the ETH network, thus contributing to improve the efficiency of the network.  With Sharding, the data verification tasks will get simplified as parallel processing of whole data that is broken in to data shards is possible.  Therefore, the overall data processing capacity will be greatly increased.

The Ethereum Virtual Machine (EVM) is one other reason by virtue of which the community is expecting ETH to dominate BTC.   EVM being an execution environment is capable of running in several network nodes which permits the use of smart contracts.  Smart contracts are the reason for why Ethereum is considered to be the global computational network, than just being a financial system.  Ethereum can do a lot of things other than executing complex financial transactions like running games and even operating social networks.  Since ETH network does so many things, scalability is crucial without scalability users are subject to lot of stress.

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