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Ethereum (ETH) Miners Voting For Block Gas Limit Increase, Vitalik Buterin Proposes Another Solution

News
Fri, 06/19/2020 - 13:23
Vladislav Sopov
Ethereum (ETH) development and mining studio Bitfly revealed that miners are voting for an increase in the block gas limit. Why are Ethereum (ETH) core devs concerned?
Ethereum (ETH) Miners Voting For Block Gas Limit Increase, Vitalik Buterin Proposes Another Solution
Cover image via vk.com
Contents

Many prominent contributors to the Ethereum (ETH) ecosystem believe that this solution could result in network congestion and vulnerability.

Block gas limit surges 25%

As per an announcement from Bitfly, Ethereum (ETH) miners are upvoting an increase in the block gas limit from 10,000,000 Gas to 12,500,000 Gas. This would result in a significant increase in the transactional throughput of the Ethereum (ETH) blockchain.

Ethereum (ETH) miners increase block gas limit to process more transactions per second
Image via Twitter

As a result, the Ethereum (ETH) mainnet would be capable of processing 44 transactions per second instead of the current level of 35 TPS.

However, top-level Ethereum (ETH) developers suspect that this upgrade could threaten network operations. Ethreum Foundation team lead Péter Szilágyi highlights that such behavior from miners is egoistic as they don't care about:

the long term health of the network nor about DoS attacks.

Lefteris Karapetsas, founder of the Rotki decentralized portfolio tracker added that such a rapid increase in the block size would lead to an upsurge of node volume and, therefore, would damage Ethereum (ETH) usability.

Increased block gas volume results in the issues with network operations
Image via Twitter

Also, independent Ethereum (ETH) researcher Alexey Akhunov, in a semi-ironic tweet, claimed that it is the Bitcoin (BTC) network that would benefit the most from such a controversial upgrade.

Viitalik's proposal

Ethereum Foundation co-founder Vitalik Buterin proposed increasing gas costs for some particular types of transactions. According to his tweet, fees for initiating storage-accessing transactions should be way higher.

As covered by U.Today Crypto News, new research from Glassnode detected that only 10% of Ethereum (ETH) fees are paid by owners of accounts who use Ethereum (ETH) for retail transactions.

Stablecoins, Ponzis and DeFi account for the rest of miner rewards. In general, the abuse of the network by Ponzi schemes built around Ethereum-based stablecoins has already resulted in an upsurge of gas fees.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)

Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director

News
Mon, 07/13/2020 - 14:38
Vladislav Sopov
John Lilic, managing director at ConsenSys decentralized development studio, has shared an over-bullish prediction for Ethereum (ETH) progress
Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director
Cover image via stock.adobe.com
Contents

John Lilic leads international business development in the ConsenSys leading blockchain development studio. He is also an expert in energy markets and cryptocurrency segments. He tracked the progress of Bitcoin's (BTC) and Ethereum's (ETH) market capitalization statistics, coming up with an extravagant prediction.

Bitcoin (BTC) should get ready for parity

Mr. Lilic outlined that Ethereum (ETH) is showcasing much healthier dynamics than its competitor is. For instance, the flagship cryptocurrency still surpasses Ethereum (ETH) by 6.3x in terms of market capitalization, while simultaneously collecting 20% fewer fees than Ethereum (ETH).

John Lilic of ConSensys foresees parity of Bitcoin (BTC) and Ethereum (ETH) market capitalizations
Image via Twitter

Also, Ethereum (ETH) is demonstrating much more impressive price dynamics this year. It gained almost 37% against Bitcoin (BTC) in 2020. That said, Ethereum (ETH) looks severely undervalued to the top manager of ConsenSys.

However, Ether is on the path to eliminating this discrepancy. Eventually, the top two cryptocurrencies may reach market capitalization parity, concludes Mr. Lilic.

Related Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains
Related
Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains

As covered by U.Today Crypto News recently, Coinmetrics on-chain research team called Bitcoin (BTC) and Ethereum (ETH) the unique crypto behemoths that have managed to recover from Black Thursday.

Bitcoin (BTC) is losing supremacy in "fee race"

Should Ethereum (ETH) overcome its undervaluation, its price may be over $1,550 based on liquid supply and current Bitcoin (BTC) market capitalization.

Recently, it was unveiled that Ethereum (ETH) blockchain continues to surpass Bitcoin (BTC) in terms of network fees for more than 30 days in a row. Ethereum (ETH) is seeing this advantage for the first time in its history.

As U.Today Crypto News reported previously, ex-Messari analyst and angel investor Qiao Wang identifies two main catalysts of Ethereum's (ETH) price run in the mid-term perspective.

Related Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang
Related
Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang

According to Wang, the upcoming rally may be fueled by a long-awaited transition to Proof of Stake and fixing the monetary policy of Ether token.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)