By dropping the real scent, Ethereum improves the puzzle after our character retired from Arrow Capital

On November 20, Zhu Su, co-founder of Three Arrows Capital, tweeted announcing the abandonment of Ethereum, unhappy with the high price of Ethereum's GAS.They believe that Ethereum's high prices are not suitable for new users who sign up.

However, on December 7, 3, Arrow Capital traded 91,477 ETH (equivalent to approximately US $ 400 million) by major investors.

Two unreliable statements in a month are confusing, but it should be noted that the Three Arrows have started using other public channels. Zhu Su believes that there are many more public solutions with better performance than Ethereum, such as Solana and Avalanche. (AVAX), etc.

After the show, we can see that a lot of people are losing patience with Ethereum and maybe time goes by ...

How much does Ethereum gas cost?

Trading on the Uniswap platform in August 2020 cost around US $ 3 to US $ 10 in GAS value.The average price is $ 90, an increase of almost ten times.

The increase in GAS prices is mainly due to the increase in GAS unit prices and the further increase in Ethereum tariffs.

This year, the average daily price of Ethereum oil increased further and on November 26, the average daily price of oil rose to 600 Gwei, breaking the new high for the year. (Gwei is the fuel gauge, 1ETH = 10⁹ Gwei)

Typically, an Ethereum exchange would require a constant payment of 21,000 GAS in addition to the floating fee (depending on the length of the exchange data). That is, even if floating oil is not included, in the face of such high oil prices, according to the author's time review, the trading volume can reach $ 55.

Ethereum fuel costs remain high, which is also associated with rising Ethereum costs, with more and more networked applications.

In September of last year, average Ethereum oil prices reached 514 Gwei, and although it exceeded the highest level since 2017, oil prices are not the same as in Korea, given that ETH was only $ 480 at the time. it is now

It's no surprise that Three Arrows Capital's Zhu Su decided to courageously abandon the Ethereum ecosystem. Indeed, if the cost is too high, exchanges and users of the Ethereum community will fall for another platform.

Phase 2: Best time for performance and emergency issues

Layer 2 is an extended plan for using Ethereum 2.0, which is equivalent to creating a second layer of the Ethereum network to handle the overflow of the main Ethereum network as a second layer.

Layer 2 allows certain operations to be carried out in layer 2, while considerably reducing the load on the network to avoid overspeeds, ideally on currents from 15 to 45. Exchanges per second go from 1500 to 1500. 4000 pen .

On the other hand, it is important to reduce the cost of holding an exchange, and the lower rate of return prefers more exchange rates from other important networks for Ethereum, so that the money obtained from the whole network should be higher than before. actual level.

Among the solutions to achieve the goal of expansion, there are 2 or more procedures and multiple lines and connections, but take into account the security and distribution levels. Out, layer 2 is the way to use more of it.

There are still plenty of ways to implement Layer 2 in a roll, but for now the ZK rollup, which combines security and privacy, seems like a better option.

God VAdditionally, earlier this year WADA said the ZK rollup was a better long-term option due to its higher reliability in terms of legacy and application security.

In the short term, Layer 2 is a better solution to deal with the high cost, but in the long term, you have to mix the sharding to achieve the goal better.

Is there a special opportunity from PoW to PoS?

The entire transition to PoS is a critical time to upgrade to ETH2.0 and beyond.

Now the Beacon Channel has been released, that is, the first step in amending the deal has recognized its importance. Ethereum on the mainnet Introduce PoS to.

If the integration is successful, the ETH current on the main network will no longer work and will be replaced by ETH2 on the beacon chain. However, due to the large number of nodes in the Ethernet backbone, managing the transition of all nodes from PoW to PoS can take a long time.

Once the mainnet and beacon chain integration is complete, the final steps will be sharding, but this relies on post-integration security.

The purpose of fragmentation is to speed things up, which is similar to partitioning a database to avoid a single point of network congestion.

However, the current explosion is still in the research stage and the research team believes it will be in use by 2023, but the precise timing depends on whether or not the integration is ideal.

What do industry insiders think?

Kane Warwick (founder of Synthetix)

Synthetix is ​​the promising asset in the Ethereum chain, and Kain strongly believes that Layer 2 can solve Ethereum's shortcomings and is necessary for the long-term development of Ethereum.

So, in his tweet on November 21, he disappointed some of Ethereum's early investors by assuming that they had become popular.He said they had become friends with his admirer, but have now chosen to become short-term fundraisers.

But it is also believed that these people will join the Ethereum ecosystem due to the completion of Ethereum Layer2. What he can laugh at at words is that our Ethereum capital is amazing.

Hayden Adams (Founder, Uniswap)

Uniswap's father Adams thinks Our Arrows Capital criticized everyone who works on Ethereum 2.0 and version 2. Adams thinks Ethereum can fix its performance issues with version 2 fixes. , it takes patience. .

Chris Burniske (Placeholder VC Partner)

Chris was the first Wall Street trader to announce the crypto asset price measure and was excited about Ethereum. Ethereum exchange rates are more expensive than other Standard 1 programs, but they work better than other Standard 1 devices depending on the number of users. There are mature ecosystems and communities.

The other 1 processes are cheaper, but have fewer users and do not have the development enhancements like Ethereum.

Contents

The development of Ethereum has encountered many challenges, which may include performance improvements, incorporating changes into the approval process, challenges to reduce, and whether the business model will work like V God itself. predicted it. It will take about 6 years to notice the update.

Although progress is now slow, the first phase of PoS delivery was made thanks to the efforts of the community.

In terms of scalability, in the short term, scaling from Layer 2 is the best solution, but in the end, ROLLUP was unable to deliver all of the Layer 2 changes and still needs to make some changes to the Layer 2. Layer 1. Overall performance still cannot be met with more complexity, so sharding is important per station in the long run.

From a stability standpoint, the Ethereum POS exchange is worth the price, and realizing other models only takes time.