The Ethereum blockchain is regarded as one of the leading blockchains in terms of the number of projects and protocols that have made their debut in it. Some months ago, the decentralized finance sector which has most of its project housed on the Ethereum blockchain, made headlines after some of its projects made massive surges.
With the Ethereum blockchain perfectly in the lead, other blockchains are currently rising to rival it and take its place. A new report that was submitted by leading digital asset exchange outfit, Coinbase has said that upsetting Ethereums lead would be a tough thing to do.
Faster and cheaper transactions not enough to beat Ethereum
The recent food farming frenzy saw the Ethereum succumb to recent demand pressures from developers of the projects and this has in turn seen other blockchains spring up to take its place. In the report that was filed by Coinbase, the crypto exchange took an in-depth look into some of the rising blockchains in the digital asset industry. In one of its recent report in its “Round The Block” series which was “ETH killers and New Chains”, the report stressed on several rising blockchains that could kill the lead that Ethereum currently has over them.
According to the report, Coinbase said that the major feature that the new blockchains pride over Ethereum is the fact that they offer cheaper and faster transactions than Ethereum. Even though all these features are mouth-watering, they are still not enough if a blockchain wants to usurp Ethereums lead in the decentralized finance sector.
Also read:Coinbase said in the report that Ethereum still possesses first and clear mover advantage and it is still in the lead judging by its $66 billion network value that it has amassed over the years. Also, Ethereum is still number one when activities such as the number of developers and users are taken into consideration.
Coinbase lists major factors to be considered of rival chains are to battle Ethereum
Another thing that puts Ethereum firmly in the lead is that other third party services also look to the Ethereum blockchain for support in carrying out certain services. Some of the services that the third-party apps lean heavily on Ethereum for are developer tools, integration, stablecoins, wallets and cloud infrastructures.
According to the Coinbase report, another key factor why third party apps look to Ethereum is because they possess maximum security. Notably, No blockchain in the crypto industry possesses the amount of support that the Ethereum blockchain has.
Another aspect of the Ethereum blockchain is the cost of attacking, which is very high going by the number of 51% attacks that it has suffered in the last few months. Coinbase said that if a rival blockchain wants Ethereum to surrender its lead to them, then they would have to do more than flaunt their fast transactions.
Coinbase noted that the rival chains should be able to provide simple smart contract creation features for developers in the market. Also, other factors such as user experience and scaling should be considered of they hope to achieve their aim of taking Ethereum off the first position.
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