The Ethereum-based project was forced to suspend development due to soaring gasoline prices as the cost of implementing the blockchain continues to climb to new heights.
The official Twitter account of the Unite Social Media Token project announced on February 10 that the project was no longer under active development, adding that the initial project idea had become impossible due to recent gasoline prices. The average cost of using Ethereum has increased 35,600% since January 2020:
Unfortunately, we are no longer actively developing Unite. Gas prices mean that the original idea for Unite was not possible, and after months of work and a lot of talk, we decided to create a social token platform on L2. thanks for the support!”
Ethereum transaction costs reached a new high of $ 25.10 on Feb 5th and returned to $ 16.40 two days later. But the progress, which has seen the number of Ether (ETH) transactions more than triple during 2020 (from 418,000 to 1.26 million), has continued over the past 48 hours, at an average cost, according to Bitinfocharts.com. Transactions crossed $ 24 again.
Unite aims to enable social media users on sites like Twitter and Discord to distribute Ethereum ERC-20 tokens to audiences and communities. The project states that it will not rely on a Tier 2 solution that cites projects built on Ethereum side chains, which often use radically different transaction mechanisms and fees.
While some have benefited from the growing popularity of Ethereum, the need for a blockchain ecosystem that does not collapse under the weight of its own success has not gone unnoticed by developers. Ethereum 2.0, the next major update in Ethereum’s evolution, will seek to expand the blockchain of many orders of magnitude above current capacity, while the anticipated improvement proposal aims to restructure how ETH gasoline prices are calculated.