The fees for using the Ethereum cryptocurrency platform has increased by thousands of percentage overnight. We saw a similar situation previously when CrytoKitties, a Ethereum-based kitties breeding game, clogged the network and slowed down the blockchain resulting in a sudden rise in transaction fees.
Now Airdrops are the blockchain’s new enemy of speed.
ICOs are expensive and there is still no guarantee that your ICO project will be a success after huge investments, so now cryptocurrency developers and investors are turning to Airdrops as a new way to distribute their coins or tokens with the hope that after giving them away for free the price of the coins or token will increase. However, when we have multiple Airdrops simultaneously occurring on the Ethereum platform, the speed of the platform slows down significantly and the price of the transaction fees to use the platform spikes by thousands of percentage.
Some solutions to this problem include scaling the Ethereum platform to much higher speed using new blockchain technologies such as the Lightning Network, Sharding, Plasma and Raiden Network. Leaders of the Ethereum community are now contemplating these solutions to find the most suitable saviour to this nightmare.
Thanks for reading! and you can find more posts from me on Cryptoporridge.com.