End of Days for Ethereum DeFi Stardom!
The Crypto world is like a sport world with thousands of team, there's always competitions, there are winners and losers, also there are those who will be relegated when users abandon such projects massively. Ethereum looks like it will be relegated as far as DeFi is concerned, and by now, you and i or in general; most Crypto users running into millions users woeldwide must have known and tasted/experienced one of the downside of the Ethereum Blockchain. Unfortunately, that could be the end of it looking at it critically. It is no news that most DeFi projects are now moving away from Ethereum and 1inch DeFi project seems to be the newest one rumoured to be porting away, how long do you think the likes of UNISWAP and the rest would last long before using the next exit route out of Ethereum?
The competition is unmatched, fast transactions as well as the fees are crucial to Yield Farming,liquidity providing, stakings and swapping on these Decentralized Finances. Decentralized Exchanges are vital main products which makes more each projects easily accessible and usable to anyone not just a particular set of users e.g Devs and Whales. Large Stake holders and smaller ones make up a very healthy and fantastic Tokenconmics, remove the smaller holders/farmers/stakers etc and then trading volume and liquidity provisions will drop dramatically. That's just what is happening right now when high transaction fees are making DeFi on Ethereum not attractive to thousands of users, the whales could afford the exorbitant fees of transactions, and the proportion of larger holders to small times holders is tiny. Hence, its a lose lose situation when the mass migration of these small time holders to another chain happens.
Presently, Binance Smart Chain is the new DeFi Haven. It would be a ridiculous thing for anyone to spend as much as the traded or swapped on transaction fees, to the very least, paying just cents in gas fees on Binance Smart Chain is way better, till another Chain comes up with a fee less and a lightening fast transaction on their smart contracts which will happen with time.
Ethereum 2.0 stands to correct these flaws, but could it be too late? The Exodus to a much cheaper and less clogged Chain is happening, DeFi shouldn't be that hard and complicated right? For sure this is what newer projects have in mind when choosing their desired chain and that my friends has left Ethereum flanks wild open for a huge blow that could decimate all the years of hardwork in a matter of months!
Yeah, I think Ethereum is in trouble short-term. It was one thing when they were the only game in town. But with newer, faster, and better ecosystems coming on line that can not only offer access to the same Ethereum based projects, but are also developing a suite of their own projects with much lower fees and much faster transaction speeds, they are going to have to play catch-up in a hurry. Their name can only take them so far....
Haha, catch up will be Ethereum next game to be very honest cos nobody will want to go back and try ETH 2.0 once they figure it all out. Cheers mate.
h @oluwoleolaide
Ethereum is known well for its slow development and missing its own development timeline. It has to be a bit of a race of time for them. Binance Chain is one good contender but there are others. The Cardano price shot up recently with the release of its smart contracts facility to testnet. Cardano has also been on a long slow and steady development journey but can boast fully peer-reviewed code with some of the strictest standards. It is going to be an interesting new few years.
Oh I agree 100 percent, there are other much cheaper and faster Chains for DeFi popping up. Soon some of them will go head to head with BSC too.