Ethereum being abandoned in favor of Avalanche, Solana

Karthik Subramanian

Ethereum, which was once the pride of blockchain and what all could be done on it, is now fast losing ground to other competitors like Solana, Avalanche, and other Layer 1 protocols which seemingly address everything that Ethreum seems to be suffering from.

This has become the theme for developers and users alike and we have also been seeing many investors backing off from making further investments into Ethereum as the ecosystem has not seen any major innovation or upgrade for the past couple of years. It seems to be stuck in a time warp as the speed with which things were built on the network has reduced to a great deal over the last couple of years. This does make sense as the high gas fees and the slow transaction speeds have been a killer for many of the dApps that were built on the network.

It has been very difficult for the network to onboard new users as they would not be ready to pay such high gas fees and making them pay it as their first experience with the crypto networks would be counter-intuitive for the industry as a whole. We have also seen investors backing off from their investments into Ethereum as they seem to be upset with the fact that the leaders and the core developers within the network have not done anything to improve this situation and the existing users and developers have to clutch at straws as they wait patiently for ETH2.0 which they hope would be able to resolve the problems that are seen in the network.

The other sad part of this is that the L2 solutions that have been built on Ethereum are also suffering due to the high costs and low efficiency while other L2 solutions can perform transactions more cheaply and efficiently than the L2. So, Ethereum must look to improve its L1 solution rather than look at its L2 solutions to help to bring in better solutions for its problems. The pace at which users, devs, and investors are abandoning the network for other better L1s and the lack of response from the Ethereum leaders and team is a matter of huge concern to those who have built on it and it is also for the entire crypto industry as well as it shows that the same fate could befall any other network.

Read this next

Retail FX

Weekly Roundup: John Oliver rips into MetaTrader, Binance to pay $10 billion

Welcome to this week’s roundup, where we delve into the latest developments in the Forex, Fintech, and cryptocurrency markets. Stay ahead of the curve with our comprehensive overview of the week’s most impactful events and trends across these dynamic sectors.

Retail FX

Lark Funding reopens to US traders, MyFundedFX picks cTrader

Canada-based prop trading firm Lark Funding announced it will once again welcome clients from the United States.

Institutional FX

Cboe FX volume falls to lowest level since summer

Cboe’s institutional spot FX platform, known as Cboe Spot, today announced its trading volume for the month ending February 2024, which took a step back after a strong rebound in December.

Retail FX

ThinkMarkets secures lucrative DFSA license in Dubai

Melbourne-based broker ThinkMarkets has secured a license from the Dubai Financial Services Authority (DFSA) after it has already incorporated its new subsidiary in the Dubai International Financial Center (DIFC).

Digital Assets

New Horizen Lays Out Its Vision Of A Modular, Proof Verification Layer For Web3 Networks

Horizen is forging a new path for the future of blockchain with its New Horizen initiative, which is building a modular Proof Verification layer that’s dedicated to verifying cryptographic proofs for any settlement layer, beginning with Ethereum. 

Digital Assets

Karma3 Labs Raises a $4.5M Seed Round Led By Galaxy and IDEO CoLab to Build OpenRank, a Decentralized Reputation Protocol

Using OpenRank, developers and web3 companies can build consumer apps where people can discover, use, fund, read, or buy something on-chain without worrying about getting spammed or scammed.

Digital Assets

Worldcoin down as Elon Musk sues OpenAI CEO Sam Altman

Worldcoin’s (WLD) token dropped following news of a lawsuit against related company OpenAI. The lawsuit was filed by Elon Musk and accused OpenAI and CEO Sam Altman of breach of contract.

Institutional FX

Exegy’s Liquidity Lamp adds intraday data to outperform S&P 500 by 31.8%

Exegy has incorporated intraday signals into its AI-powered iceberg order detection tool, Liquidity Lamp. By adding intraday data to a baseline mean reversion strategy, Exegy’s model outperformed the baseline by 10.5% and the S&P 500 (SPY) by 31.8%, respectively in the out-of-sample testing.

Industry News

Think Elon Musk backed your crypto exchange? ASIC’s latest reveal may shock you

In an absolutely shocking turn of events that nobody could have possibly seen coming, the Australian Securities and Investments Commission (ASIC) has bravely stepped forward to reveal that, yes, those videos of Elon Musk passionately endorsing a cryptocurrency exchange are as fake as a three-dollar bill.

<