Ethereum faces stiff competition from scalable blockchains by CoinEdition

• Cyber ​​Capital founder believes that competitors will overtake Ethereum if it delays the upgrade.
  
• Justin Bons said that increased block space does not exempt ETH from competition.
  
• Bons was concerned about the speed with which ETH implemented already proposed upgrades.
  

According to Justin Bons, founder of Europe’s oldest crypto fund Cyber ​​Capital, competitors will overtake Ethereum if it does not implement the proposed updates in time. Bons explained this in a Twitter thread, noting that ETH is in a race to scale on-chain.

Over the years, Ethereum has implemented several improvements to increase block space and scalability. Bons acknowledged that it is a positive move, but he insists that simply increasing the block space does not exempt ETH from the competition. He indicated that more scalable blockchains have arrived and if ETH does not catch up, they will overtake it as the leading blockchain for developing DApps.

Bon’s concern was about the speed with which ETH implemented already proposed upgrades. In his opinion, the Ethereum network needs to move faster. Bons observed that Elrond Network (EGLD), one of the scalable blockchains, has already implemented sharding. According to him, EGLD has beaten ETH to that race by performing all three aspects of the update, which include state, execution and data sharing. He explained that EGLD developed much of the technology and just needs to build up its ecosystem to catch up.

NEAR has also beaten ETH to the race and developed sharding, according to Bons. He noted that NEAR has fully implemented its sharding protocol, resolved the holy trinity, and is fully interoperable. He explained that NEAR is composable because it uses a single chain where it divides blocks into parts instead of distributing multiple chains.

Bons also identified Tezos (XTZ) as an ETH competitor in terms of scalability. He observed XTZ enshrined roll-ups, exploiting the advantages therein without the disadvantages of Layer 2 protocols (L2s). With this implementation, XTZ eliminates the need for admin keys or allowed elements. It has also become interoperable and composable, solving the UX problems L2s face.

Bons believes that ETH must brace itself in the face of stiff competition. According to him, the Ethereum network must swing back to performing sharding, as L2s cannot replace the actual development of the protocol. Bons cited the case of Bitcoin as a perfect example where L2s could not replace blockchain development.

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The post Ethereum faces stiff competition from scalable blockchains appeared first on Coin Edition.

See the original at CoinEdition