• Vitalik Buterin proposed using other blockchains to solve scalability issues.
  • Bitcoin Cash is one of the options that might serve the need.

Bitcoin Cash blockchain can be used as a temporary solution for Etherethum's scalability issues. This idea was introduced by Ethereum's creator Vitalik Buterin on Ethereum Research.

At this stage, the network can process only 15 transactions per second. With such a small capacity, Ethereum's blockchain cannot compete with its major rival Ripple that processes about 1,500 transactions per second. 

No wonder that Ethereum community has been working on a solution that would allow improving the network's scalability. Ethereum 2.0, a major network upgrade, should help; however, the shift is expected to start no sooner than in early 2020.

To solve the issue, offered deploying other blockchains in the meantime to improve the scalability. Specifically, he mentioned Bitcoin Cash as a viable option. 

"In the shorter term, however, we can start working on these techniques immediately by using existing blockchains, particularly those that have lower transaction fees per byte than ethereum, as the data layer. Bitcoin Cash arguably fits the bill perfectly," he wrote.

He specifically mentioned high data throughput, low fees and friendly community among the features that might be beneficial to Ethereum network.

Meanwhile, ETH/USD is changing hands at $230, having recovered from the recent low of $202.80 touched on Monday. The second largest coin with the current market capitalization of $23.7 billion has gained 5% in recent 24 hours, though it is still 15% down on a week-on-week basis.


Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Join Telegram

Recommended content


Recommended Content

Editors’ Picks

Dogwifhat price pumps 5% ahead of possible Coinbase effect

Dogwifhat price pumps 5% ahead of possible Coinbase effect

Dogwifhat (WIF) price recorded an uptick on Thursday, going as far as to outperform its peers in the meme coins space. Second only to Bonk Inu (BONK), WIF token’s show of strength was not just influenced by Bitcoin (BTC) price reclaiming above $63,000.

More Dogwifhat News

Runes likely to have massive support after BRC-20 and Ordinals frenzy

Runes likely to have massive support after BRC-20 and Ordinals frenzy

PUPS, WZRD, and PEPE are gaining liquidity through Bitcoin Ordinals. Creator of Bitcoin’s Ordinals protocol is debuting a new fungible token standard to rival BRC-20, Runes.

More Cryptocurrencies News

Ethereum shows firm support at key level as its correlation with US indices increase

Ethereum shows firm support at key level as its correlation with US indices increase

Ethereum's price continued a sideways movement on Thursday as the market still awaits a trigger. Ethereum isn't alone in this horizontal trend; several major index funds have also traded sideways.

More Ethereum News

Mango Market attacker convicted of fraud and market manipulation

Mango Market attacker convicted of fraud and market manipulation

Mango Market attacker Avi Eisenberg was convicted by a federal jury on Thursday for "fraudulently obtaining" funds from the Solana-based decentralized exchange (DEX). He could face up to 20 years in prison for his role in the $110 million attack.

More Cryptocurrencies News

Bitcoin: BTC’s rangebound movement leaves traders confused

Bitcoin: BTC’s rangebound movement leaves traders confused

Bitcoin (BTC) price has been hovering around the $70,000 psychological level for a few weeks, resulting in a rangebound movement. This development could lead to a massive liquidation on either side before a directional move is established. 

Read full analysis

BTC

ETH

XRP