The Ethereum blockchain has recently crossed one million transactions per day. This happened after a significant increase in mining capacity. ETH miners have reportedly increased capacity by 25%. Transactions crossed the 1 million mark shortly after that.
This is the first time since Friday, June 28, 2019. This means that there is increased activity on the Ethereum network. That is one factor that could mean a higher rate of adoption. While this may be, there are also other things going on under the hood as far as Ethereum is concerned.
The delayed deployment of Ethereum 2.0 is still an issue. This lag has caused many to question if Vitalik Buterin and his team of “magicians” can still pull off wonders like before.
Until ETH 2.0 is deployed to the mainnet, we can expect things to remain topsy-turvy for Ethereum users.
Another point to consider is the increase in decentralized finance (DeFi) projects. Much of the inflows into the Ethereum blockchain have gone into the DeFi space.
The DeFi projects have recently had more than $1 billion worth of digital assets locked within their ecosystems.
This is another factor that must have contributed to the 1 million transactions per day. We also have seen an increase in nodes from China. You have got to love the Chinese. They always find a way when none exists.
The Chinese have increased their nodes on the Ethereum blockchain for several reasons. The miners and over-the-counter (OTC) may be trying to hit back at the government after the recent freezing of their bank accounts. This approach gives mining pools further liquidity as wallets will now take the place of fiat accounts.
This ongoing cat and mouse game might just be the core reason why this increase in transactions has occurred.
The Ethereum blockchain, however, still has great potential to grow despite the current challenges.