Lark Davis stands as a prominent crypto influencer by way of being a YouTube personality. Commonly known as “The Crypto Lark,” Davis has gone out of his way to warn the public that Ethereum will continuously suffer from other, smaller blockchain networks stealing their market share.
This will continue happening until the ETH 2.0 network finally launches, he warned. The reasoning is simple: ETH 1.0 has too high gas fees.
A Network Only Workable For The Rich Is Never Good
What’s interesting to note is that Davis himself had also predicted a five-figure price for ETH by the end of 2021. In a video he published on the 19th of February, 2021, Davis voiced his concerns regarding the skyrocketing ETH gas fees. In his words, only the “rich investors” will be able to afford the network. This, in turn, will see to masses of small-time investors be driven off and gobbled up by other blockchains, such as the Binance Smart Chain.
To hammer his point home, Davis highlighted how the BSC network has recently seen a massive influx of popularity. This popularity rise is to such a degree that the volumes for these dApps based on BSC have managed to come close to their ETH counterpart.
Gas Fees For ETH Are “Loco”
Going on a tangent, he described the gas fees for the Ethereum network right now as “totally loco, urging Ethereum’s developers to do something about it. In particular, Davis is convinced that ETH 2.0 needs to launch, and launch soon, if it wants to remain relevant within the crypto space.
To hammer his point home, he revealed that Uniswap, one of the biggest decentralized exchanges within the Ethereum network, now asks $50 if you want to make any sort of transaction. That is, quite frankly, far too much.
ETH 2.0 Needs To Happen ASAP
ETH 2’s Phase 0 launch occurred back in December of 2020. ETH users were permitted to lock up their respective Ether holdings for staking purposes through this phase. The planned launch of Phase 1 for ETH 2 will include robust scaling abilities, as well. This, in turn, is expected to introduce sharing capabilities, predicted to occur at 2021’s end at the earliest.
While this is still in the works, the average transaction fee on the Ethereum network has smashed past new all-time highs. Bitinfocharts has slated the average transaction fee to be around $30. With the crypto market flash crash barreling forward, the transaction fee price skyrocketed to a brand new high of $50. As one would imagine, that’s not a good price tag for a small trader or business operator.