What are the weaknesses of Ethereum (What is Ethereum used for)?

What are the weaknesses of Ethereum? In the field of blockchain, the complexity of its network structure and the instability of transaction validation and block time have led to the low performance of the blockchain. Ethereum has two main vulnerabilities: attackers exploit these vulnerabilities for double spending, while malicious miners use this vulnerability to gain rewards; if a user tries to obtain ETH by sending a transaction, their assets will be transferred away.

However, both of these situations exist on Ethereum because it can simultaneously process transfers of different amounts between wallets. When you want to pay with a token, you need to provide it to the system and convert it into other cryptocurrencies; otherwise, there may be hacking attacks or theft of digital assets from others (for example, if you put your Bitcoin in an exchange), causing losses.

However, these problems have not been solved by any technical experts, and they have also been questioned and opposed by many developers who are not even aware of such problems. Therefore, they have proposed some solutions to mitigate this uncertainty, including a new alternative solution proposed in a recently released paper.

Although most people have noticed these flaws, not all projects will actually adopt this solution, and most projects will not consider this new feature. The main flaw of Ethereum is that its shard design makes each shard unique, which means that individual nodes cannot independently run their own forked chains. This is also one of the reasons why many projects are trying to build their own shard solutions.

In addition, Ethereum allows smart contracts to execute computations on multiple contracts, so smart contracts must be fully compatible.

What is Ethereum used for?

According to cryptobriefing reports, Ethereum is a decentralized computer network. In the world of blockchain, it is used to store information, verifiable data, and value networks; it is also an open and permissionless data market composed of many smart contracts. Therefore, we can consider this digital currency as a medium of exchange or means of transaction. What is Ethereum? Its working principle is: when you create an account, you can use it for deposit or withdrawal. This means that the funds in the account can be used as collateral without the need for a third party.

In order to enable these tokens to circulate, Ethereum uses a mechanism called Byzantine Fault Tolerance (BFT) to solve this problem. This protocol achieves off-chain scalability through sharding technology, allowing only thousands of transactions to be processed per second. If each block contains multiple transactions, then ultimately only a few nodes can do this:

1. All miners can choose the client they want to use, and then they can extend their computing power to any client that others need;

2. Each user has their own private key.