Ethereum losing its charm against Tron, EOS in dApp market
Ethereum, the pioneer of the dApp [decentralized apps] movement, is facing intense competition from EOS and Tron. The number of dApps on the Ethereum blockchain is recording a dip. Statistics from DappRadar suggests that only three of the 50 top dApps are running on the Ethereum blockchain.
From the top 50 dApps, 21 dApps run on Tron blockchain while 26 runs on the EOS blockchain.
The fall of dApps on Ethereum blockchain can be attributed to the scalability issues faced by the blockchain. The Ethereum blockchain boasts a transactions capacity of 15 to 20 transactions per second. However, its rivals Tron and EOS can handle up to 2000 and 4000 transactions per second. This might be a strong reason why developers choose the EOS and Tron for building dApps.
Reports have surfaced in the past which indicated that the EOS network monitor boasted fake transaction throughput. While the monitor said 2500 transactions per second [TPS], the report cited that the actual transaction capacity of the blockchain was 250 TPS.
Recently, many dApps migrated to Tron blockchain from Ethereum Blockchain. A gaming dApp, EtherGoo, recently shifted to Tron blockchain and renamed itself as TronGoo. Tron’s gambling dApps have surpassed Ethereum in transaction volumes.
Vitalik Buterin expressed strong criticism against blockchain platforms boasting increased transaction throughput. “When a blockchain project claims ‘We can do 3,500 transactions per second because we have a different algorithm,’ what we really mean is ‘We are a centralized pile of trash because we only have seven nodes running the entire thing,” viewed Buterin.
A battle cry for scalability
Ethereum has been trying to increase the scalability of its blockchain. Several venture builders are involved in building projects that will increase the scalability of the blockchain. However, none seem to have achieved the goal. Buterin has also funded many projects focussed on building the scalability of the blockchain. Once the scalability is increased, the blockchain can expect more dApps.
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