From the response of El Salvador President to adoption criticism to Vitalik Buterin’s proposal to lessen the gas fees, we got it covered.
It’s a brand-new week for the cryptoverse, and we are here to give you the latest happenings and trends that caught our eyes. It’s been a week of roller coasters, and we are here to update you on the hottest news.
Are you ready for it? Let’s go! Here are last week’s top headlines!
PRViously on Crypto, El Salvador’s President Responds to Bank of England’s Bitcoin Adoption Criticism, Vitalik Buterin Proposes Fix For Ethereum’s Sky-High Gas Fees
Bank of England “Concerned” About El Salvador and Bitcoin
It seems to it that the Bank of England is not a fan of Bitcoin nor its adoptions of countries like El Salvador. Andrew Bailey, has repeatedly expressed his growing concerns about the adoption of Bitcoin as a legal tender. But this time, Nayib Bukele, the president of El Salvador, has issued a response.
When El Salvador outlined plans to adopt bitcoin as legal tender on June 2021, several global financial organizations have warned the small Central American nation not to do it due to Bitcoin’s volatility; and the Bank of England, spearheaded by BTC critic Andrew Bailey, was the most vocal one.
The Bank of England used almost every opportunity to double down on its belief that the adoption should’ve been prevented and El Salvador should have used fiat money instead. The most recent one was when President Nayib Bukele announced the country’s plan to build a Bitcoin City.
“It concerns me that a country would choose it as its national currency. What would worry me most of all is, do the citizens of El Salvador understand the nature and volatility of the currency they have.”Andrew Bailey – Bloomberg
President Nayib Bukele responds
Even though El Salvador’s move to make BTC a legal tender was just a few months ago, the country’s experiment seems to be working according to the frequent updates published by President Bukele or from his administration.
For instance, Bitcoin’s volatility was used by the nation, especially market corrections, to accumulate more portions of BTC where, when it finally bounces back, the profits will be used for buying new schools or pet hospitals
President Nayib Bukele responds to Bailey’s most recent comments in a somewhat ironic fashion, especially about the bank’s “genuine” concerns for the country and its people:
“Bank of England is “worried about El Salvador’s adoption of Bitcoin? Really?CryptoPotato
I guess the Bank of England’s interest in the well-being of our people is genuine. Right?
I mean, they have always cared about our people. Always.
Gotta love Bank of England.”
Vitalik Buterin Proposes Fix For Ethereum’s Sky-High Gas Fees
With an ingenious proposition, Vitalik Buterin plans to limit gas costs. However, analysts believe that this has “greater implications” on the network. With this, an alternative solution to Vitalik Buterin plan has surfaced.
Decreasing Transaction Call Data Gas Costs
On the Ethereum Magicians forum, Vitalik Buterin suggests a way to reduce the gas costs associated with transaction call data on the network. Buterin’s post noted substantial challenges due to the high gas cost, including the length of time it takes to deploy data sharding.
Such a proposal includes adding a limit to the total transaction call data within a block. An alternative, according to Bulerin, could be followed by adding a limit. However, such an alternative poses security challenges.
“Simply decreasing the call data gas cost from 16 to 3 would increase the maximum block size to 10M bytes,” said Buterin. “This would push the Ethereum p2p networking layer to unprecedented levels of strain and risk breaking the network.” Buterin posits that “1.5 MB will be sufficient while preventing most of the security risks.”
A scheduled network upgrade will be required once his proposal is accepted, and miners will be required miners to halt adding transactions into a block once the call data limit has been achieved.
According to Buterin, the worst-case scenario would be:
“the theoretical long-run maximum of -1,262,861 bytes per 12-sec slot or -3.0 TB per year.”
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