Popular crypto influencer Lark Davis, Widely Known as “The Crypto Lark,” has warned that Ethereum’s competitors will continue getting advantage of Etherum’s high gas fees that users are annoyingly paying.
Despite predicting five-figure Ether prices in 2021, Davis’ Feb. 19 video, Davis claims Ethereum’s skyrocketing fees are affordable only to “rich investors”, prompting smaller investors to switch to other competitors' platforms like Binance Smart Chain (BSC).
Davis has noted that Binance Smart Chain is currently going through a massive surge in its popularity, with volumes for BSC-based DApps catching up to their Ethereum-based rivals.
Describing the current gas fees as “totally loco,” Davis signed Ethereum’s developers to speed up the launch of Eth2 in response to the skyrocketing to prevent a further departure of users to cheaper alternatives.
“But we’re now to the point where ETH 1.0 – oh we need ETH 2.0 so soon, come on Vitalik, get it going, man – ETH 1.0, most regular users are priced out of using the majority of applications on Ethereum. […] A transaction on Uniswap costs $50 on average these days and that is just crazy.” He added.
Eth2’s Phase 0 was launched back in December 2020, allowing Ethereum users to lock up their Ether for staking. Robust scaling capabilities are slated for activation with Eth2’s launch of Phase 1, which is expected to be introduced at the end of 2021 at the earliest.
Average Ethereum transaction prices have surged to their highest ever levels of around $30 according to Bitinfocharts.com. At the time of the crypto market flash crash in late trading on Monday, Feb. 22, the average gas fee was as high as $50.