Ethereum (ETH) Hoarded by FOMO Game Again
A smart contract constantly sending transactions resembles previous rounds of a lottery based on fast betting.
The Ethereum (ETH) network carries a greedy smart contract, which burns up above 53% of all gas. The contract, named Fair Win, burned above 53% of all gas late on Monday.
In the past month, the same contract has shown spikes of activity, which resemble the behavior of a FOMO game. Those types of lotteries rely on users buying tickets, assigning the jackpot to the latest winner.
However, there are indications that the game’s organizers have a way of taking over the game, sending constant transactions to clog up the network. In that way, the organizers can actually buy the last ticket and win the jackpot, making analysts note that the game is actually highly unfair:
The activity of the FOMO game has continued to raise fees for all Ethereum users, including both startups with access to the network, and regular users. Other smart contracts have lowered their activity, but some startups still pay higher fees to make sure their transactions are given priority.
The last bout of the new FOMO game arrives at a time when ETH is trying to re-establish itself with higher liquidity and expectations of robust prices. ETH traded at $209.82 on Monday, with relatively high volumes above $7 billion’s equivalent in 24 hours.
Unfortunately, the presence of a FOMO game refutes the observation that the Ethereum network usage is growing because of technology. One of the first signs, taken as a positive development, was the fact that daily Ethereum fees surpassed those on the Bitcoin network. But it turned out those were spam transactions.
The end of a FOMO game may be recognized by anomalous block transaction counts, where the game’s creators buy up entire blocks to include only their transaction. This prevents the last buyers of tickets from claiming the prize.
So far, the Tether minting wallet on Ethereum has remained inactive, possibly waiting out the network congestion. Since Ethereum is the carrier of the USDT coin, as well as other app-based activities, the launch of FOMO games every few months is turning into a big hurdle for other players.