Due to the high fees, Ethereum has become a blockchain for the rich guys, according to the CEO of Binance —who is now the man behind an Ethereum competitor.
The increasing use of DeFi protocols, dApps, and applications built on top of Ethereum, has overloaded the network to the point where its fees are almost unsustainable. Several blockchains are vying to emerge as the new Ethereum killer, and CZ is rooting for BSC as the best option. CZ has been known to be a funny yet respectful guy when it comes to measuring his words. Still, his latest tweets have shown that the boundaries are more flexible when it comes to promoting Binance’s services.
In a recent tweet, CZ attacked Ethereum, pointing out its Achilles heel: fees. For the man in front of Binance, only the wealthy can afford the fees to trade Ethereum.
Over the course of 2021, the average transaction cost on Ethereum has catapulted just as fast as the price of ETH (its native token), going from less than $5 on average last year to about $15 today. Just 4 days ago, the network fees reached an ATH of nearly $40 on average, according to ycharts data.
CZ didn’t stop there. A later tweet said he was no longer using Ethereum. Binance is developing two projects to compete directly with the two largest blockchains in the ecosystem.
The Binance Smart Chain, on the other hand, is a bit slower but allows for the execution of smart contracts more efficiently and cost-effectively than Ethereum.
Yesterday, Cardano ranked third among cryptocurrencies with the largest market capitalization, dethroning BNB from its recently taken position.
Still, as a difference, Cardano has a somewhat more complex design and a much longer roadmap. However, Ethereum developers are working on the second version of the blockchain. Ethereum 2.0 will have several layer 2 implementations.
According to some enthusiasts, the new blockchain will process thousands of transactions per second —even a hundreds of thousands once fully deployed, according to Vitalik Buterin.
Perhaps, once Ethereum 2.0 is complete, it will go back to being a blockchain for the poor guys, and the crypto billionaire CZ will like it again.