Will Ethereum Be Overtaken By Its Competitors?

Ethereum (ETH) has been one of the leading blockchains in the world of decentralized applications (DApps). However, there have been recent concerns about the speed at which ETH is implementing proposed upgrades, especially in the face of competition. Justin Bons, the founder of Europe’s oldest crypto fund Cyber Capital, has recently expressed his concern that ETH might be overtaken by its competitors if it does not implement the proposed updates on time. In this article, we will delve deeper into the issue and explore the potential impact on ETH.

The Need for Speed in Implementing Upgrades

Bons acknowledged that Ethereum has made some improvements to increase its block space and scalability. However, he insists that merely increasing the block space does not exempt ETH from competition. According to him, there are several scalable blockchains that have arrived, and if ETH does not buckle up, they will overtake it as the leading blockchain for developing DApps.

Elrond Network (EGLD)

According to Bons, Elrond Network has already implemented sharding, beating ETH to that race by executing all three aspects of the update, which include state, execution, and data sharding. EGLD developed much of the technology and only needs to build up its ecosystem to catch up.

NEAR

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

Tezos (XTZ)

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

The importance of executing sharding updates

Bons’ concern was about the speed with which ETH was implementing already proposed upgrades. In his opinion, the Ethereum network needs to move faster. He insists that ETH needs to pivot back to execution sharding because L2s cannot substitute for the actual development of the protocol. Bons cited the case of Bitcoin as a perfect example where L2s could not replace blockchain development.

Conclusion

Ethereum has been one of the leading blockchains in the world of DApps, but its competitors are catching up fast. Justin Bons, the founder of Europe’s oldest crypto fund Cyber Capital, has warned that ETH might be overtaken by its competitors if it does not implement the proposed updates on time. Bons’ concern is the speed at which ETH is implementing proposed upgrades. In his opinion, the Ethereum network needs to move faster and pivot back to the execution of sharding. Otherwise, the competition will overtake ETH as the leading blockchain for developing DApps.

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