Ethereum Slammed as Cardano Wannabe by Former ETH Advisor

Former Ethereum advisor blasts the project for resorting to copying Cardano.

Steven Nerayoff- former advisor of ETH sitting happy next to his Cardano shrine.
  • Former Ethereum advisor accuses the project of copying Cardano.
  • Steven Nerayoff holds a personal grudge against Ethereum.
  • Technical differences exist between Plasma and Hydra scaling solutions.

As the leading smart contract layer 1 platform, Ethereum has achieved enormous success, though it continues to face security vulnerabilities and scaling limitations. In order to strengthen the network, Ethereum’s developers regularly propose complex new technical improvements, such as Vitalik Buterin’s recent post about off-chain Plasma technology to boost scalability.  

Steven Nerayoff, a former Ethereum advisor, swiftly criticized this proposal. He accused Buterin of copying rival blockchain Cardano (ADA), even labeling the decision to part ways with Charles Hoskinson during the project’s early days as a “major mistake.”

Ethereum Gets Blasted as a Copycat

In his latest tirade against Ethereum and its founders, Nerayoff alleged that the platform is merely copying Cardano’s approach to scaling. According to Nerayoff, Buterin’s “major mistake” was ditching Hoskinson, who later went on to build Cardano. The irony, as Nerayoff asserts, is that Ethereum has been emulating the very person they once dismissed.

“Are the clueless smug @ethereum cultists who got rid of Charles happy now that the boy genius is copying Cardano?” remarked Nerayoff. 

Doubling down on the statement, Nerayoff claimed that the crypto industry would have been better off if Hoskinson and Gavin Wood had remained at Ethereum, and it had instead been Buterin and Joseph Lubin who departed.

While some attribute Nerayoff’s outbursts to his past conflicts with Ethereum, others contend that Ethereum is indeed replicating Cardano’s approach to solving the blockchain trilemma

Cardano Wannabe?

Nerayoff is not alone in accusing Ethereum of replicating Cardano’s technology. Cardano YODA pointed out that Buterin’s Plasma proposal bears a resemblance to Cardano’s Hydra scaling approach. Additionally, Cardano YODA drew parallels between a prior paper authored by Buterin on liquid staking, which is a concept that Cardano implemented during the Shelley era in April 2020.

In response to Buterin’s proposal for Plasma scaling, Hoskinson posted the meme of Kermit the Frog and Christian Bale nodding at one another with no further commentary.

Buterin’s vision for Plasma relates to scaling solutions that allow data and computation to be kept off-chain, opening the door to large scalability gains not bottlenecked by on-chain data availability. Plasma works by tracking asset histories separately and relying on users to exit their assets if issues arise.

Similarly, Hydra is Cardano’s layer 2 scaling solution that facilitates fast, low-cost transactions within “Hydra heads,” or state channels which are considered secure mini ledgers, that can eventually settle back to the Cardano mainchain.

Nonetheless, opinion remains split based on the technical differences between sidechains, off-chain protocols, and state channels.  

On the Flipside

  • Nerayoff has accused Buterin and his father of conspiring to damage his reputation. This accusation stems from Nerayoff’s run-in with authorities regarding extortion charges, which were later dropped.
  • Nerayoff maintains that Ethereum is a fraudulent project that has corrupt ties to federal agencies.
  • Ethereum’s network effect is much greater than Cardano’s with more real-world adoption and a higher number of deployed dApps.

Why This Matters

While time will ultimately reveal whether Cardano’s methodical approach or Ethereum’s first-mover advantage prevails, Nerayoff’s persistent accusations of fraud against Ethereum refuse to fade away. In an industry notorious for deception, these claims resonate deeply, casting a shadow of uncertainty over Ethereum, especially in light of the FTX scandal.

Learn more about Ethereum’s scaling woes as fees surge amid crypto rally:
Ethereum Fees Surge to Four-Month High Following Price Rally

Find out the latest on Poloniex resuming normal operations following its recent hack here:
Poloniex Close to Restoring Full Operations After $125M Hack

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Samuel Wan

Samuel Wan is a finance professional turned crypto journalist, known for his insightful reporting on market trends, regulatory changes, and technological developments within the digital asset industry. His ability to simplify complex concepts and report the facts has made him a trusted source in the crypto community. Beyond his writing, Samuel is an active mountain biker and gamer.