1. PixelPlaygroundHome
  2. Metaverse Insights

Why can’t Ethereum sell (why can’t Ethereum trade)

• Metaverse Insights • 141 views

Why can’t Ethereum sell Ethereum? Because you can’t understand the value of Ethereum, you can’t use it as a currency If you want to make money in the coin circle, please don’t believe in so-called high-risk investments. For those who do not have the ability to participate in the encryption industry, the most important thing is how to sell their tokens to others in order to achieve greater profits. But if you want to achieve long-term development in the field of digital assets, you must be mentally prepared. Therefore, Ethereum is regarded as a “speculative” investment tool because of its high uncertainty and volatility. And its price is also easily affected by manipulation and incorrect pricing, which can cause investors to face losses

Why can’t Ethereum trade

Why can’t Ethereum trade? This is because the forked coins of ETH2.0, such as BCH and BSV, cannot execute transactions on the chain, resulting in the block height not reaching the limit and the inability to obtain profits through mining. Then the question arises, why does the Ethereum blockchain network not support transactions? The reason why the Ethereum blockchain should be traded is that one of the important features of its protocol design philosophy is that it can trade and transfer tokens. Therefore, when a user sends a transaction, they have 100 Ethereum coins in their wallet (at that time, the value was approximately 2 million RMB). But in reality, this number is not high – currently only over 20 ETHs are stored in this smart contract, so the actual number of tokens it holds has hardly changed

Since Ethereum is a decentralized network, if you use Ethereum for transfer, it needs to consume a certain gas fee to complete the transaction. But for Ethereum, this is not a very complex matter. Because the consensus mechanism of Ethereum is Proof of work. Therefore, in the Ethereum system, in order to ensure the security and stable operation of the network, a time lock must be set to keep the network operating normally. At the same time, this also makes the demand for Ethereum very urgent Why cannot Ethereum be traded? Why does Ethereum not allow transactions in Ethereum ecosystem? Many projects believe that transactions on Ethereum blockchain will have security flaws. However, this is not the case. Samson Mow, chief strategic officer of Ethereum development team Blockstream, said: “Ethereum blockchain will never be able to solve these vulnerabilities.” In addition, someone proposed a solution called “invalid transactions”. Toxic trading, which is one of the reasons why people disrupt or completely abandon Ethereum, is actually the fundamental problem of blockchain technology – how it achieves true scalability and tamper resistance. In addition, the concept of ‘non spending’ itself has many drawbacks. For example, if the price of Ether drops by more than 10% and there is no return, the transaction may fail, because traders will only start selling their Ether after confirmation, resulting in a sharp drop in the price of Ether, which will lead to the collapse of other Cryptocurrency such as Bitcoin Now, some DeFi products such as Curve and Sushi have launched governance token CRVs as collateral, all of which provide liquidity pooling. However, some have also proposed a similar solution: they attempt to create a community driven DAO to manage these assets, then use some ERC-20 based products to market, and finally exchange these tokens.

This article and pictures are from the Internet and do not represent Fpips's position. If you infringe, please contact us to delete:https://www.fpips.com/22078/

It is strongly recommended that you study, review, analyze and verify the content independently, use the relevant data and content carefully, and bear all risks arising therefrom.

Like (0)
Previous 08/05/2023 19:49
Next 08/05/2023 20:12

Recommended articles