Ethereum, Blockchain and Collapse

A few days ago there has been much talk in social networks and all over the internet about the abrupt fall in the market value of cryptocurrency Ethereum, which went from $ 327 to $ 13 in a few hours due to a large collapse in its stock market within the internet and Blockchain. In this article we will talk about this phenomenon that generated much chaos and discontent within the users of the Ethereum network.

Origins of the ETH

Ethereum (ETH) was born as an alternative to the Cryptocurrency Bitcoin (BTC) because it had many users undermining within the Blockchain and that the acquisition of BTC became increasingly difficult for users.

Ethereum was born as the competition of the BTC to fill the enormous commercial vacuum that had left the BTC due to the difficulties of obtaining this precious cryptocurrency. The ETH is easily mined within the Blockchain networks and the ETH is easily convertible to BTC through many reliable exchangers within the internet (the most notable is the HITBTC), so many users on the Internet felt increasingly attracted to ETH as a medium for mining within the Blockchain.

ETH also has one of the easiest mining codes in the world of cryptocurrencies (Scrypt) and many people can mine that coin within the networks without the need for a large mining machine compared to the BTC Sha-254.It is thus that ETH within the short time of birth has increased its actions in the market from $ 1 to $ 400 in less than 3 years of service.

Blockchain Collapse

The collapse within the Blockchain networks was due to a large number of miners that have emerged within the ETH network in recent years. This massive and sudden increase in Blockchain networks has caused the system to collapse within its payment processing software system. This generated in a cooling of the payments to these miners and therefore in a low payment.

With these ingredients, it is worth mentioning that shares in the market fell from $ 400 to almost $ 13 per ETH 1.00, this generated a massive wave of people selling their ETHs in the virtual market to recover their investments.

This generated a great wave of chaos within the internet that lasted about a day. Fortunately it was solved quickly and efficiently. However it left a very bad experience within the different ETH users. This is also due to the fact that multiple hackers try to hack the Blockchain system and buy many ETHs at real low prices to sell them more expensive when they raise the ETH price again.

The incident occurred this month in June and ETH programmers have given a clear message that Hackers will not be allowed to remain inside its Blockchain network, which is why it will implement more security measures within its Blockchain network so that People continue to buy and sell ETH with total normality.