Prominent cryptocurrency influencer Lark Davis, or “The Crypto Lark,” has warned that Ethereum’ competitors will still siphon away users should Eth2 fail to launch soon amid ever-rising gas fees.
Additionally, despite predicting 5-figure Ethereum prices earlier in 2021, Davis’ Feb. 19 video, Davis asserts Ethereum’s skyrocketing fees has meant that only “rich investors” can afford to the network, prompting smaller users to modify to competitors like BSC [Binance Smart Chain].
Davis added that BSC is presently enjoying a surge in popularity, with volumes for BSC-based DApps catching up to their ETH-based rivals.
Describing the present gas fees prices as “totally loco,” Davis urged Ethereum’s developers to expedite the launch of Eth2 in response to the skyrocketing to halt an extra exodus of users to cheaper alternatives:
“But we’re now to the purpose where ETH 1.0 – oh we’d like ETH 2.0 so soon, come on Vitalik, get it going, man – ETH 1.0, most regular users are priced out of using the bulk of apps on Ethereum. […] A transaction on Uniswap costs $50 USD on the avg lately which is simply crazy.”
Eth2’s Phase 0 was launched earlier in Dec. last year, permitting Ethereum users to lock up their Ether for staking. Robust scaling capabilities are slated for activation with Eth2’s launch of Phase 1, which is predicted to introduce sharding toward the end of this year at the earliest.
Avg Ethereum transaction prices have skyrocketed to their highest ever levels of around $30 USD consistent with Bitinfocharts.com. At the time of the crypto market flash crash in late trading on 22nd Feb., the typical gas fee was as high as $50 USD.