Sharding to Improve ETH Scalability

By Maheen Hernandez October 6, 2019 Off

ETH has been trading in ranges, and it failed to surpass the $185 resistance versus the USD.  The price is now ranging from $180 to $185.  The next crucial move will be towards $180 or $160.

The ETH price is setting itself towards the next significant break versus the USD.  If ETH breaks past the current resistance at $180 through $185, then it will be all set for an uptrend. Major support level is seen at $170, and the Major resistance level is seen at $185.

IKEA, the Nordic retailer, have accepted a payment on the Ethereum blockchain to settle a transaction.  This is considered to be a significant step in business payments and finance. Smart invoices have enabled this transaction.

Gert Sylvest, the co-founder of Trade shift, stated, “For us, it’s about digitizing the financial supply chain and making it programmable. This can help break down country barriers for small companies and open access to finance in all of our 190 countries where the Trade shift platform is operational.”

There have been some positive developments in the cryptocurrency space as the SEC has declared the Bitcoin as a non-security. This has led to growth in the ecosystem of Altcoins.  The SEC staff recently stated, “Among other things, we do not believe that current purchasers of Bitcoin are relying on the essential managerial and entrepreneurial efforts of others to produce a profit.”

Meanwhile, Robert Sprague, Ohio Treasurer, declared that his decision to accept the business taxes paid in Bitcoin would be reversed. This is considered to be a blow to Bitcoin’s Viability.  However, it is seen that less than ten companies were using cryptocurrency as a payment system in this process; therefore, there might not be too much harm.

Early this year, ETH started trading at $134, and it eventually improved in value.  The value of the coin went as high as $318 over the past 90 days, and eventually, the price came down due to bearish trends dominating the market. Currently, the token is moving in a downward direction. ETH is now following the lead of Bitcoin.

Ethereum scaling is faced with a lot of challenges.  Several projects are underway to work on the key issue.  Scalability is the reason for the advantages and drawbacks in the cryptocurrency.  Sharding is considered to be the current solution to improve the scalability of Ethereum.  This is a complex strategy, but it is good when it comes to ensuring the accuracy of all transactions. Using gas limit, increasing the block addition rate, off-chaining, and side chains are the other strategies to improve ETH scalability.