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Transactions are one of the most important parts of the cryptocurrency world that most have experienced. For each transaction, a fee is required to be paid. Ethereum Blockchain Network is one of the oldest and most well-known blockchain networks with a very high fee. The Ethereum development team has always been looking to reduce the network’s fees and come up with solutions. This article will introduce one of these solutions called the Optimism network, a sideline of the Ethereum network. Stay with us.

Why is the transfer fee in the Ethereum blockchain network high?

The Ethereum network is a huge network of computers around the world. People called Nodes to connect to the massive Ethereum network, helping with speed and security, Ethereum network transactions, and receiving Ethereum cryptocurrencies in return.

Each Ethereum network node must store and process data passing through the Ethereum network. Due to the limited number of nodes connected to the Ethereum network and the high volume of data in the Ethereum network, the number of data exceeds the number of nodes, which naturally slows down the Ethereum network and increases the fees of this network.

Many believe that with the launch of Optimism, Ethereum will be much better. Some compare this development to Bainance Smart (BSC) because the two networks are very similar in coding and algorithm.

Optimism Network Ethereum Blockchain Savior!

The problem of scalability of the Ethereum network, followed by the high commission of this blockchain network, which has become a hot and important topic in the media over the past few months, will be partially solved thanks to the network of Optimism.

The Optimism network is side-by-side with the Ethereum Network and operates separately from the main Ethereum network. This side-by-side helps the Ethereum network perform calculations. These calculations are performed outside the main Ethereum network; Therefore, a lot of pressure will be removed from the main Ethereum network.

Tests performed so far show that using Optimism side-by-side can reduce Ethereum network fees by 100 times or even more! So using a sidechain is a clever idea that can make the Ethereum network competitive with other existing blockchain networks in terms of speed.

This side-by-side contributes to the scalability and speed of the Ethereum blockchain network. In terms of security and decentralization, side-optimism does not pose a problem for the Ethereum network; Because the results of all transactions performed on the Optimism sidechain are eventually stored in the main Ethereum network.

Fortunately, Optimism supports many wallets, which means that you will not have any problems working with this network. The following wallets are some of the most well-known wallets supported by this sidechain:

• Metamask Wallet
• token
• Rainbow Wallet
• CoinBase Wallet
• Token pocket Wallet

Two Basic Problems of Optimism Network

One of the problems that Optimism side users face is the seven-day lockout period. You should wait about seven days after submitting your withdrawal request to withdraw your assets from this sidechain.

Another problem is that decentralized applications or active Dapps in this sidechain can not interact with active applications on the main Atrium network. Of course, it is said that this problem can be solved and will be solved soon.

Due to increased security, a seven-day lockout period for withdrawal requests has been extended. Since this side-by-side has just started, the developers of this network should be very careful so that there is no problem for the network that users’ trust in it will decrease.

Will the price of each Ethereum unit decrease with the launch of the Optimism network?

As you know, with every transaction in the Ethereum network, a certain amount of commission is received from the performer of the transaction. These commissions are also received by Ethereum, which means that by launching the Optimism sidechain and reducing the number of network fees, a smaller amount of Ethereum will be received from each person. Consequently, the demand for these cryptocurrencies will decrease.

So, should we wait for Ethereum prices to fall? The answer is quite clear; In the short term, the value of each Ethereum unit may decrease slightly, but keep in mind that the Ethereum network has lost a large number of users due to high fees received and low scalability.

Analysts believe that by increasing the scalability of the Ethereum network in this way and reducing fees, many users will return to the Ethereum network. Thus, there is no reduction in demand for Ethereum; Because when the fee is reduced, more users will return to the Ethereum network, and therefore, the activity and volume of transactions in the network will increase.

Accordingly, the high volume of transactions increases the demand for Ethereum. Finally, increasing the volume of transactions increases the demand for Ethereum and decreases the network fees, reducing the demand for Ethereum. Finally, these two parameters cancel each other out.

If the problem of Ethereum scalability and commission is solved, many users will come to this network due to the high features of this blockchain network. Some of the features and characteristics of the Ethereum Network are:

• User-friendly wallets like Dharma and Argent
• Liquidity markets also have much higher annual returns than banks.
• Very popular decentralized exchanges, such as Uniswap allow users to buy and sell their digital currencies.
• Well-known lending platforms such as finance

Ethereum is a very comprehensive financial ecosystem. China’s Bainance Smart Network has shown us the potential for Ethereum Network to grow after declining fees. China Binance Smart addresses have increased from 1 million to 60 million in one week since its launch! Should we expect a similar event for Ethereum?

Concluding remarks

The problem of scalability of the Ethereum network is one of the biggest problems of this blockchain network that has had many consequences. The Ethereum development team has been struggling with this problem for some time. When the Ethereum network is constantly losing users due to poor network performance, blockchain networks such as Bainance Smart China and Solana have come into play, network problems. Solve Ethereum blockchain.

Ethereum is now seeking to modify its blockchain network. An optimism network is one of the most effective solutions. We have to see if Ethereum Blockchain can return to its heyday.