Reasons for never starting ICO on Ethereum – Crypto Recorder



StellarX is an open peer-to-peer marketplace that has been launched to support cryptocurrency, licensing, bonds and commodities among other things for trading. It is a platform that is easy to use and free, fast and secure. Trading on StellarX will take place without the interaction of intermediaries, not even miners. It will allow trading from the portfolio to the portfolio and will ensure that users retain control of their private keys. The platform is still under development but will be launched soon.

The StellarX team recently published a blog post titled "The Great Filter: Why You Should Not ICO on Ethereum." This comes after they have published a research on Ethereum and its use cases at the start of the year. The post dives on why Ethereum has long been used for wrong purposes. Going forward clarifies that Ethereum is not a bad technology, however, it is often applied by entrepreneurs on the wrong projects.

"A calculation is coming, something like the Grand Filter: … where high costs and slow performance eliminate almost the entire ecosystem and, unless your project is specifically adapted to the strengths of Ethereum, he will die along with many others ", the post reverb.

The writer of the blog post, Christian said that he and the team have put a lot in terms of funds and time doing research on Ethereum. They refuse to be like everyone else who makes their arguments using non-original content, copied from whitepapers that are practically untested.

Strengths and weaknesses highlighted by Ethereum

Ethereum according to Stellar X is "a programming platform distribution – scripting software for autonomous organizations and app without owner." While the founder, Vitalik Buterin defines the project as:

"A modular, complete, complete Turing contract scripting system … our goal is to provide a platform for decentralized applications."

StellarX states that Ethereum is perfect for creating a program for distributed computers, for example a program that is not centralized and does not have a single owner. Augur (REP) is provided as an example of such a program because the platform required an autonomous system, without a single proprietary system, to arrive at decisions based on real-world events. And with this they are able to navigate around the regulations and manage a gaming platform.

However, the team says that for most blockchain companies they do not have businesses that are running smart contracts so that they can fulfill their main mandate. Nor do they need to circumnavigate the legal system. These companies must issue tokens and simply process the transactions. The StellarX team notes that this is the exact point where Ethereum is required to grant these blockchain companies in particular if their reason for building on the platform is to implement a digital asset that will be used to operate ensuring minimum costs and operations. in real time . Christian says that Ethereum would be the wrong choice in this case because:

"It's slow and it's really expensive, and it can not behave as you want both in the" account one does a lot "and in the" many "accounts that make a little "Cases" continue to say "Ethereum queue transactions on a per account basis, yet miners do not prioritize transactions based on waiting time … The result, for high volume accounts , is a steadily increasing transaction lag. "

The search results can not be summarized in less than 600 worlds.You can read the rest of the research in the StellarX blog post here.It is important to note that Christian claims that over 50% of all ICOs in the ground afterwards the crowdsale are usually built on Ethereum, which explains that these projects have hit the Great Filter, Christian concludes by saying:

"But if you want to build a company that roams – if you plan a typical user service to-user and you do not need to tie business logic into a smart contract – if you plan to issue a digital asset and plan to perform high-volume transactions as part of your strategy, choose a platform that's optimized for that. Do what we have done and build Stellar. "


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