Weiss Ratings does not see any threat to Ethereum’s position from competing projects in the near term.
Ethereum is often criticized for its lack of bandwidth and high transaction fees. However, according to the Weiss Ratings researchers, alternative tier 1 blockchains have only to dream of the popularity of the second cryptocurrency.
“Many people say that other blockchains are“ overtaking ETH ”, but here we are extremely skeptical. It’s all too reminiscent of 2017, when the self-proclaimed Ethereum killers sacrificed decentralization to be faster and cheaper. We all know how it ended. For many of these projects, the only hope to survive is to become an Ethereum sidechain. ” write
Analysts at Weiss Ratings on Twitter.
At the moment, the biggest competitor to Ethereum is the Binance Smart Chain network, which was launched last fall. However, bandwidth problems began on this blockchain too – recently, the development team of the PancakeSwap decentralized exchange announced an overload of the BSC network.
Analysts also recalled that after the fall of the cryptocurrency market, it was ETH that recovered the fastest of all the major cryptocurrencies. While bitcoin continues to consolidate, the ether rate pushed off the support of $ 2,000 and confidently returned above $ 2,400. This indicates the demand for the coin and the confidence of market participants in it.
We also note that the Weiss Rating agency has issued an A rating to only two cryptocurrencies – bitcoin and ether.
On April 15, the Berlin hard fork was activated on the Ethereum network, which includes several proposals to improve the blockchain and reduce network fees.
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
