Polygon, BSC, Ethereum? Will there only be ONE left?
We have noticed last months an overall increase of side chain solutions due to increasing gas fees on the Ethereum Blockchain. This has shown a clear vulnerability in terms of ETH scalibility. However, new DEFI systems and Smart Contracts solutions are emerging and that is a good sign for adoption (for Ethereum, Etherland and all other Blockchain dapps).
A lot of things have been going on for Etherland, as we are now moving to another step of development with a custom registration of NFTs of places in the world. That is a good time to share with you our thoughts and analysis of the overall blockchain environment as this evolution looks promising.
So let’s jump straight to the subject!
We have noticed lately that the gas fees have tremendously decreased on the Ethereum Blockchain. This is due largely due to the fact that many yield farming projects like AAVE are moving to Polygon (MATIC). Billions of USD are moving to Binance Smart Chain (BSC) and Polygon presently and we see that as a good news as this will decrease the gas fees on the short and mid term without having to wait for ETH2.
This is how blockchain ecosystems works, there is always some group, developing a solution that would indirectly have a positive impact on other projects. It is too soon however to claim that the present solutions are stable and fully scalable smart contract blockchains, but things are moving again in the right direction with Ethereum, BSC and Polygon, and it is with full optimism that we are stepping into this new shift with Etherland’s coming registration of custom NFTs.
The decreasing gas fees on the Ethereum Blockchain and our coming registration for custom NFTs, will have a positive impact on Etherland’s Ecosystem and other projects. This will also bring, as we see already, more smaller holders which is great for the market as it will enlarge the scope of potential holders. For Ethereum it will decongest the network and make it more useful while waiting for ETH2 full operability. The future mid-term outlook seems to benefit the growth of those side chains and we could have a situation that last a couple of years with few side chains existing and bridge solutions.
As it happened for internet search engines with Google overtaking its competitors, there should be only one main network and Ethereum is still at the time we write the best positioned to keep this role.
For Etherland, compared to some other virtual worlds projects that simply cannot mint their promised tokens, the gas fees has never been an issue even from the early beginning. The LAND ID average price as we write is 28000 ELAND (1.1 ETH). The reason for this success is that the Unique LAND IDs created are a combination of a digital work of art, real estate data linked to the IPFS and a Unique profile description built integrated in an Estatepedia information website.