Those users who have been monitoring the development of the Ethereum network for at least a few years already know the vociferous statements of developers that the system itself has great potential and is aimed at acquiring the status of the “World computer” that will supersede standard Internet and applications.
But a recent precedent related to the CryptoKitties game on the basis of the Ethereum dented the user’s confidence in the project of Vitaly Buterin. What is the problem and how is the innocent game about Kitties involved? We’ll discuss that in this article.
Kitties kill Etherium
CryptoKitties is a game that was released on the Ethereum network and attracted millions of users in a few days. Its essence is quite simple: there’s a set of virtual kitties that you can buy, sell, and cross. It seems that the idea of the project is not new, but the fact that all the game data is on the blockchain, and that you can buy your own pet only with Ethereum creates an incredible hype. In just a few days, users spent about $3 million on the game.
The incredible load on Ethereum resulted in the network failing to cope with such a number of transactions. Most users complain that they have been unable to buy a virtual kittie for several days because of the overload. It is worth noting that even Nick Johnson, one of the Ethereum developers, stated that he saw the “hang” network problem because of Cryptokitties.
The biggest irony of this situation is the marketing of the Ethereum team and their infinite promises to become a “world computer”. And in fact we’re getting a system that could not withstand just one decentralized application. Why is this happening? We are going to find that out.
Why didn’t the Ethereum network withstand CryptoKitties?
If speaking of Ethereum overloading it is worth noting that today the network has a capacity of about 25 transactions per second, which was sufficient for daily work, but was not enough to meet the needs of more users. This is why the influx of users into CryptoKitties and the rapid increase in transactions has shaken the entire system.
Mostly this problem is caused by each node replicating other nodes in the system. This certainly enhances the security and sustainability of the network but reduces the speed of the network with any rapid changes in blockchain, and any changes in it are transactions themselves.
Even before the emergence of CryptoKitties the problem existed but it was not so critical because even today the circle of users who use Ethereum is small enough even compared to Bitcoin. Kitties on the blockchain brought with them new players, and thus hundreds, thousands, and even more new transactions that the network was not ready to perform.
Unfortunately, there is still no way to increase the scalability of Ethereum that can solve the problem without affecting the functionality and performance of that network. But most of the disadvantages of the Vitaly Buterin’s creation were successfully eliminated by the developers of another project called CREDITS. Let’s look at it in more detail.
CREDITS is a scalable and more productive analogue of Etherium
CREDITS is a blockchain platform that provides functionality similar to the Ethereum network, including:
- Possibility to create smart contracts.
- Launch of decentralized autonomous companies.
- Possibility to pay using cryptocurrency.
- Launch of decentralized applications in different formats.
The main advantage of this platform is the high speed of transactions. For comparison, the Ethereum network has an average of 15 transactions/sec, and CREDITS performs up to 1 000 000 transactions/sec. This network capacity is provided through the use of a new form of blockchain as well as improved compression algorithms to reduce its volume.
In addition, the CREDITS has a faster and more stable consensus algorithm based on DPOS + BFT which encourages owners of nodes not only to maintain the network, but also to maintain its high capacity.
Despite the fact that Ethereum is already considered a veteran of the cryptocurrency industry it is not a ready-made solution. That was once again confirmed by the precedent of the CryptoKitties application. The CREDITS blockchain platform can be an excellent alternative to Ethereum thanks to eliminating its main disadvantages and allowing users to use the already accustomed functionality more efficiently and easily.