Why not Ethereum?

Ethereum, while pioneering the concept of running any computer program on a blockchain, faces several challenges that make it less competitive as a peer-to-peer electronic cash system compared to Bitcoin Cash. Here's why Ethereum might not be an ideal competitor:

Scaling Limitations:

Ethereum, although not opposed to scaling the block size, encounters scalability issues due to its accounts-based system rather than the UTXO system employed by BTC and Bitcoin Cash. As Ethereum can run any general computer code, its block sizes have limitations in addressing the increasing demand, resulting in rising fees on the network.

Transition to Eth 2.0:

Ethereum's planned transition to "Eth 2.0" introduces complexities, including the fragmentation of interoperability through less secure or complicated second-layer solutions. This approach, similar to BTC's adoption of the Lightning Network, raises concerns about the overall efficiency and security of the Ethereum network.

Broken Promise of Immutability:

Ethereum's original promise of "code is law" faced a significant setback with the DAO hack. In response to a hacker draining funds from a smart contract organization, the Ethereum community decided to roll back transactions on the network to undo the money sent to the DAO. While this action saved investors' money, it compromised Ethereum's credibility as an immutable system free from arbitrary interference or censorship.

Social Centralization:

Ethereum exhibits a degree of social centralization around its co-founder, Vitalik Buterin. The community heavily relies on Buterin's ideas and judgment, making the network vulnerable to changes in his influence or decision-making. If circumstances were to alter Buterin's role or influence, Ethereum might face challenges in maintaining leadership and direction within the community.

In summary, Ethereum's groundbreaking capabilities in running diverse computer programs on a blockchain come with trade-offs, including scalability issues, a complex transition plan, a history of compromising immutability, and a degree of social centralization. These factors contribute to why Ethereum might not be as competitive as Bitcoin Cash, especially in the context of serving as a peer-to-peer electronic cash system.

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