Ethereum crashes, Vitalik stays quiet
Ethereum got into the negative spotlight the last few days as the network can’t handle more than 4 to 5 Ts/sec. A whole community is slowly waking up to the new normal where simple Dapps don’t work and the network is congested with pending transactions. I warned several times that this could occur as you can see in this blog post from June 13th.
Well, if you want to see what’s gonna happen in the next few months go to Etherscan right now and make sure to add that website to your favorites. Ethereum can’t and won’t scale and will probably crack way before the 10 Ts/sec.
While Vitalik Buterin was hyping his project over the last few years -claiming it could be used for IoT devices and decentralized Ubers- he currently stays quiet about all the errors and exchanges halting ETH withdrawals. It’s actually even weirder: he decided to poll people on the future of blockchains…
Now ask yourself; what would happen if a system from Tesla, Google or Microsoft crashed and got fully congested with errors and backlogs, would their CEOs be quiet? Or would they speak out to the masses?
Ethereum is still in trouble even while the Status ICO is already 2 days ago. There are still thousands of pending transactions:
The system fully cracks at around 300,000 transactions per day and that’s way below the promised 10–20 Ts/sec. we got from both Vitalik and Vlad. Vlad, who by the way is posting some tweets about the current events…
In the coming days Vitalik Buterin will probably reply to the current issues by saying that Dapp-developers should make better Dapps. Exactly as he did some weeks ago.
“There are a lot of applications and contracts even now that are being built inefficiently.”
Now this might be true, but with a blockchain that can only handle 4 to 5 TS/sec. there’s only so much optimization someone can make. Ethereum has hit the ceiling with 300K transactions over the last few days and it won’t get any better soon as there’s no current solution to the scaling problem.
In the coming weeks reality will probably kick in some more in the Ethereum community. A lot of people will have a crypto hangover as it turned out that Ethereum was oversold and overhyped by its lead developers. They talked about decentralized Ubers, sold their idea to politics all over the planet and a whole community took it like sweet crypto sugar.
Expect more trouble as we see some upcoming ICOs with OpenANX today. And don’t let anybody tell you that it was just some crowdfund that got Ethereum down. A look at the ETH Gas Station clearly shows that it’s a number of Dapps that create these transactions together. Imagine 2 or 3 new Dapps that create a little momentum and you understand that Ethereum is doomed for failure. The only solution that might help a bit is a Lightning Network like Raiden.
I guess Ethereum needs something more than an MVP quite fast. Porting current Dapps to Raiden (if possible) will take time to test en develop. Time Ethereum no longer has.