Ethereum really is going to die. Article in next post

Ethereum really is going to die. Article in next post

medium.com/@giotto_3438/why-ethereum-is-a-very-risky-bet-81f71869e603

Other urls found in this thread:

medium.com/@giotto_3438/why-ethereum-is-a-very-risky-bet-81f71869e603
twitter.com/SFWRedditVideos

The myth is that ethereum is some sort of highly scalable decentralized supercomputer. This could not be more far from the truth. A single raspberry pi has a lot more processing capacity than the full ethereum network.
The reason for this is that ethereum is based on many nodes distributed all over the world that simply validate the same transactions. There is no benefit in having 10,000 nodes or 1 billion nodes as they simply repeat the same operation. It’s as if you had a very large number of computers but they all do the same thing in parallel.
Also the types of operations that can be done are very limited, as ethereum was designed to be a programmable decentralized ledger, so the types of operations you can do are limited to very simple arithmetic operations.
There is nothing wrong with that, bitcoin was created as a decentralized ledger which allows people to perform transactions from one address to the other. What bitcoin does is no different than what an Excel file does, it simply keeps track of which address has how many coins. The value that bitcoin provides is that this ledger is decentralized so no one can tamper with it unless they are the legitimate owner of the address. It is to protect this decentralization that all this computing power in the form of mining is required.
Is very similar to bitcoin with the difference that instead of an address always belonging to an individual which can move the coins in that address to another address an address can also be what is called a “smart contract”.
There is nothing smart in a smart contract and it is not even a contract. A smart contract is basically a set of instructions that would be executed when some coins or some message will be sent to that address.

we know
t. iota

For example you can have a smart contract designed to receive money and only allow to spend it in specific circumstances. Let’s say for example several signatures are required to spend the money, there may be limits to how much money can be spent every day, etc.
This is the main difference with bitcoin, is bitcoin addresses are not programmable, you can just send money to them and once done the owner of the address can send money to someone else.
In ethereum instead the money received to the address can be handled by the specific set of instructions. However those instructions are simple operations that are going to decide where to move money or other virtual tokens that have been created on the ethereum blockchain. There is no supercomputing going on there.
Ethereum is currently a very useful tool as it has become the platform of reference to run ICOs which are basically the new form of crowdfunding. The reason this has happened on ethereum and not on bitcoin is because bitcoin lacks those simple abilities to be programmable. In the ICO you send money to an address and you usually receive in exchange the tokens that represent your participation in the ICO. This use case represents probably like 99% of the utility of ethereum.
Ethereum has been a very profitable operation for the people that have purchased before the start of the ICO bubble in 2017. Being the platform of reference for ICO everyone that wanted to participate to most ICOs had no choice but to buy ethereum which made the price rise very significantly.
While participating in an ICO is a bet about if the team will be able to deliver holding ethereum is a bet about the fact that there would be more ICOs coming.
So why am I saying that it is a risky bet? The reason is that a lot of competition is coming, offering superior solutions mostly because they have learned from ethereum mistakes. The current price of ethereum reflects the fact that it has an almost monopoly on ICOs, but the world of crypto curren

>A single raspberry pi has a lot more processing capacity than the full ethereum network.
>the world computer

IOTA doesn't aim to do smart contracts, at least yet, so it's not a competitor to ETH (it's a potential bitcoin killer). But there are a dozen others.

Indeed, I've never dived into the Ethereum tech, but if it really works by just loading the same computation to a million miners simultaneously it's retarded.

yep eth is doomed
$7 by eoy
sell it all right now cheap before it crashes

>medium.com/@giotto_3438/why-ethereum-is-a-very-risky-bet-81f71869e603
>>>
you are pretty retarded if you think it's this simple.
you are also pretty retarded if you think ETH will stay like this. it has the most developers and company backing of all the blockchain projects.

ETH will solve it's problems and will become great.

ps I dont even hold a lot of ETH.

Ethereum has dozens of competitors, many of which are way ahead of it in some areas. Ethereum does have backing, but that can change. Also sharding and PoS aren't real solutions to its current problems, so it's not gonna get better any soon.

Polkadot, Aeternity and Rchain are literally tokens on the Ethereum network.

Fuck off OP, Ethereum is literally the safest bet right now

What should I invest in as a hedge to ETH

Cardano and Stellar for example aren't.

Yes, they aren't. I was talking about the article and it didn't mention XLM or ADA at all.

- I am holding some XLM.
- Not sure about Cardano. They promise a lot, but for their market cap right now, they haven't done enough work yet for my opinion.

Yeah, I'm not saying ETH is completely shit, but as the article suggests, I don't think it's a comfy hold right now either. Cardano seems very overvalued considering it's only hype about le science, but who knows if it drops a bomb on ETH some day. XLM is a HUGE threat to ETH's dominance on tokens.

Just as there are multiple coins right now that compete to be only currencies, I think most top coins in the future will be platforms competing with each other. ETH will probably be one of them.

ETH is very comfy at the moment for me:
- It has adoption on it right now with more txs than the rest of the cryptosphere combined.
- PoS will make it also a scarcity coin. Don't forget that ETH can be a currency and a with PoS also a "store of value" just as well than non platform cryptos. The run-up will start even before PoS because everyone will want to be a staker, once the Bitcoin energy crisis is revealed to the average normie.
- Multiple scaling solutions are planned or being rolled out right now: Raiden, TrueBit, Plasma, PoS, sharding, Virtual machine swap,... Most are planned to be ready next year and they all can possibly multiply the already high tx throughput. If Bitcoin can bait with LN, ETH with its multiple scaling promises will also hold investors in place.
- Majority of crypto devs are working on ETH related products right now. This is real first mover advantage on the platform scene.

After half a year or so, once some other platforms actually start rolling out ICOs, I will look at their quality and reevaluate my positions. No platform will dethrone ETH in the mean time in my view.

You make good points. ETH has a fair shot at hailing victorious. Some of the scaling solutions seem very promising indeed. I'm just not sure if it's going to be enough, so I personally am not gonna bet on it, at least unless the price drops some more.

>The reason for this is that ethereum is based on many nodes distributed all over the world that simply validate the same transactions. There is no benefit in having 10,000 nodes or 1 billion nodes as they simply repeat the same operation. It’s as if you had a very large number of computers but they all do the same thing in parallel.
sharding solves this problem. Zilliqa has already got a working sharding technology, currently making 2k tx per second which grows linearly with the number of nodes. Buy when it's out and get rich

bitcoin is shit but it isnt dying anytime soon
eth is dying? ffs

Not actually dying per se, I meant more like stagnating (not development-wise though)

Neat, cheers for the tip user!

Better hope all those developers don't overload the raspberry pi!

LOL some of the shit that you hear online

I always thought ETH was insecure joke
But IOTA completely topped it

ETH is now "secure" investment compared to it

EOS is the only one that has a chance of taking over. But it has masternodes. No one likes masternodes. There's nothing else really. Unless I'm missing 1?

>what is sharding

They will all hit the same snags. People who are promising they won't are lying.

Care to expand on that? I think it's a solid runner for solving the scalability problems of crypto.

I listed the 2 others earlier. There's also some meme competitors like Lisk

Something that's not currently around. With ETH's development speed, I wouldn't be surprised if it comes out soon.

Exactly, so it's just awful for the investors who are into smart contracts. Even if it's good for the tech, it's impossible to guess who's gonna rise on top

No mention of Raiden or Plasma.
0/10

HOLY SHITTTTTTTT

I LOVE THE PART WHERE THE AUTHOR SHILLS AETERNITY

HOLY FUCK

YES

LET'S GO AESTRONAUTS TO THE MOOOOOOOON

>Aeternity: The main difference with ethereum is that it includes what is called an oracle. An oracle is like a judge, with ethereum you can only execute simple sets of instructions which are completely pre-determined. With an oracle however you can add specific conditions, like for example the money should be transferred to a specific address if a certain event happens. This allows a new class of use cases like for example betting on future events, but also to handle any situation where subjective opinions or some sort of voting are required.

any of you fags can confirm this/sauce?

Fuck no. I have a ton of EOS got them at around $0.90, they have a LOT of hype but I'm not seeing any functionality with it.

Compare that to Aeternity, HOLY FUCK. BTFO BRO. BTFO.
>POW and POS Hybrid
>Oracles
>Aepps > Dapps (some are live right now: aepps.com)
>Smart Contracts
>Privacy
>Turing complete block chain