The Ethereum platform is known for being the primary ruler over the initial coin offering (ICO) section of the cryptocurrency world, but nothing lasts forever. Ethereum might have the speed and scalability that are easy build upon, but the constant issues with clogging the network has caused some projects to abandon Ethereum in lieu of other platforms.
With any ICO team, the options are plentiful, with EOS, NEO, VeChain, Stellar, and others offering up their services as well. Right now, it looks as though many new projects are flocking to Stellar Lumens.
Kin is a perfect example of this switch. Kin is a cryptocurrency that was launched by the creators of Kik Messenger, a home to 300 million monthly users. At the beginning of the ICO hype, this project was originally launched on Ethereum, but a recent announcement on Wednesday showed that the Kin was closing their Ethereum-based atomic swap. They also told users that they would be launching a tool that would help users get their kin holdings from the former platform.
Stellar has a user-friendly issuance system that is both permissionless and widely accessible. However, the built-in token capability makes it possible for these ICOs to support multi-signature authorizations, limit token holdings, and even create dividends. The decentralized exchange that Stellar offers even makes it possible for any token to be traded, eliminating the need or a middleman. Even a brand-new token can be traded on the same day it is received, and with better processing times and fees.
With all of these benefits, is Ethereum on shaky ground? In January, Stellar showed its value when Mobius used the platform for their startup’s ICO, bringing in $39 million. The fact that it was the most extensive ICO was worthy enough of attention, but the fact that it was done without Ethereum seemed to be even bigger news.
Ethereum used to be the go-to platform to create a blockchain project and even to offer an ICO. Their infrastructure basically makes it possible for users to develop their own blockchain, and the ERC20 is so well-known that it is basically a unified standard at this point, offering support for tokens.
However, Ethereum cannot just ride the wave of being the “only” option anymore. Thirteen blockchains have been involved in the successful completion of an ICO, including Stellar. Some of the other platforms with these success stories include VeChain, EOS, Tron, NEM, QTUM, BitShares, Lisk, and Waves. It would not be a long shot to say that the future will bring in ICOs that have been enabled by well-known blockchain projects too.
The most pressing issue that should be on Ethereum’s mind is the scaling concerns. Right now, there is a transition from proof-of-work to proof-of-stake, which will ultimately determine what Ethereum can do in the future. However, if they fail, Stellar may rise to the top.