Ethereum [ETH] was widely hailed as one of the most amazing inventions in the world of cryptocurrencies after the invention of Bitcoin [BTC]. However, the platform and its associated cryptocurrency are set to slowly descend into inusability.
The story of Ethereum started with a crowd sale, and the platform skyrocketed in popularity late last year owing to the usage of it for Initial Coin Offerings or ICOs. This led to a multitude of scams, and other such coins which had no use or good intentions for its investors.
Many of these ICOs are selling off the funds they raised late last year, most of which are in the Ether cryptocurrency. This means that the coin itself is in an extended sell off mode, providing a bleak outlook even as the network is suffering from overpopulation.
The Ethereum platform is not scalable, able to perform a maximum of 7 transactions per second. Even though multiple solutions such as sharding and the move to Proof-of-Stake are said to increase the transaction throughput, these have been in the works for more than 2 years with no results to show for it.
The network is also extremely inefficient and incapable of leading mass adoption, as it tends to become clogged up if too many users are utilizing dApps on the platform. This will also lead to an increase in the prices of gas for transactions, as seen by the clogging of the network by dApps such as CryptoKitties.
CryptoKitties was a game on the Ethereum platform that allowed users to buy and sell unique crypto-collectibles in the form of cats. The usage of this measly dApp was enough to bring the Ethereum network to a halt, leading to the transaction charges skyrocketing.
When an app trading kittens is able to clog the network, this raises the question as to how it will respond to a distributed workload from around the world, which would be the case if the network ever became fully adopted.
As that is not going to happen, crypto-enthusiasts must call on the market to bring down Ethereum, which might as well go down in history as the most overvalued coin ever. This is already seen in the price, with the rallying call being down with Ethereum.