Testnet of Facebook’s Much Vaunted Stablecoin Only Executes 6 Transactions per Second

Spread the love

The Facebook fronted stablecoin, Diem (formerly Libra)’s dismal testnet results undercut the assertion that the digital currency is a threat to global financial stability. This is the conclusion that can be deduced from a Diem blockchain explorer update which shows the network only processes an average of six transactions per second (tps), with the highest reported figure of 24 tps. The testnet for Diem has been live for more than 43 days at the time of writing.

The stablecoin performance suggests more still needs to be done before the expected launch in 2021, if the coin’s promoters still hope to upstage existing networks. According to a report, the Bitcoin (BTC) and Ethereum (ETH) networks already “execute close to four and 13 TPS, respectively.” The stablecoin’s initial figures-which if not improved on-undercuts Diem’s perceived appeal and the unsubstantiated claims that it poses a threat to the global financial system.

Testnet of Facebook's Much Vaunted Diem (Formerly Libra) Only Executes 6 Transactions per Second

Many central banks and governments around the world expressed alarm when Facebook and its partners announced the impending launch of Libra in 2019. Since then, some central banks immediately began exploring the possibility of launching their own central bank digital currencies to forestall Libra. Since then, the company changed the stablecoin’s name and branding from Libra to the “Diem dollar.”

RECOMMENDED READ:  Republic Cuts Through SEC Red Tape to Raise $16M via Security Token Sale

 

Yet based on these testnet results, Diem compares poorly against the payments giant, Visa which can execute “1,700 transactions each second.” Visa’s transaction throughput, which is 70x more than Diem’s highest reported tps, exposes the baseless fearmongering that followed Libra’s announcement.

Despite the many challenges, the determined Diem Association says it plans to “roll the testnet out and into the hands of potential users, potential customers, and potential companies.”

 232 Interactions,  2 today

READ ALSO:
Romanian university intends to consider cryptocurrency payments for admissions fees.

The academic college, which has about 11,000 students, stated that the inclusion of crypto payments was part of a campaign Read more

Bitcoin Price Movement Analysis for 11th April, 2021

Is Bitcoin nearing its peak? It's unlikely. Many on-chain measurements revealed that, although Bitcoin was highly bullish, it had not Read more

How arrests for attempting to obtain a hitman and a nuclear bomb demonstrate that the dark web is not always anonymous.

Paying with cryptocurrency does not guarantee your safety. Most of the criticisms levelled at cryptocurrencies is that its difficult-to-trace existence Read more

Bitcoin, BTT, Dogecoin Price Movement Analysis for 7th April, 2021

Bitcoin was expected to remain above the $55,800-support, a level that coincided with its 200-SMA. BitTorrent Token was projected to Read more

The cryptocurrency market cap has surpassed $2 trillion, making it as valuable as Apple.

For the first time, the total market value of all cryptocurrencies exceeds $2 trillion. According to Goingecko numbers, the total Read more

Why crypto analyst Ben Armstrong says, ‘He Very Confident Bitcoin Will Reach $300K This Year.’

Recently, blockchain expert and influencer Ben Armstrong mentioned Bitcoin in a video posted to his highly popular YouTube channel “BitBoy Read more

Tron Price Movement Analysis for 4th April, 2021

In the cryptocurrency industry, excessive uncertainty has had a long-term effect on the price of the digital commodity. This uncertainty Read more

Ethereum Price Movement Analysis for 4th April, 2021

Ethereum, the second-largest cryptocurrency, has entered a volatile zone, which could drive the digital asset's price even higher. In the Read more

Chainlink, DigiByte, Enjin Coin Price Movement Analysis for 4th April, 2021

Bitcoin faced some selling pressure just above the $59k mark, leading it to slip to $56,600. The majority of the Read more

Bitcoin fell by more than 4%, causing many other cryptocurrencies to plummet drastically.

The world's most expensive cryptocurrency fell 4.1 percent, bringing several other coins down with it, sending the economy into the Read more

Leave a Reply

Contact Us