Victor Ugochukwu · Oct 20, 2020 . 6min read
No More Free ETH Transfer, Crypto Wallet Argent Reneges on Earlier Promise
Capitalizing on events like rising gas cost, Argent deems it necessary to end support for free transactions on its wallet.
By Victor Ugochukwu · Aug 14, 2020 . 6min read
It looks like the DeFi boom which is supposed to be a good indicator for startups building with blockchain technology is now taking a toll on some with basically a “No more free transfer” update from a crypto wallet called Argent to its users.
In a recent update posted on its blog, Argent tagged it “Minimizing the impact of gas on our users”. In fact, it means “No more free transfers on our wallet as we earlier promised”.
Apparently, it rolled out its non-custodial wallet for the cryptocurrency ecosystem, touting it as one of the best things to ever happen to crypto. Argent wallet users on roll-out allow users to recover their accounts without the pain of remembering seed phrases. Additionally, it also possesses other exciting features like no cryptic address, biometric and encryption. All of these present in a non-custodial wallet. But perhaps its unique selling proposition bothers around the “No transaction fees”.
So primarily, with this update, it will no longer support one of its most exciting features. Citing some of the extreme happenings and the perpetual rise in gas cost on Ethereum, the team complains of having to spend on subsiding thousands of dollars a day due to transfers, security-related actions, wallet creations and more. Obviously, activities on Ethereum fuelled by DeFi have caused daily transaction fees to surpass block rewards for the first time.
Argent’s new “No free transaction” policy could be faulted on weak market research before product launch.
Capitalizing on these turn of events, Argent deem it fit to end support for free transactions on its wallet. The next logical question to ask would then be: Did Argent really do its research before product development? Is it also one of the cryptocurrency focussed startups that promise heaven and earth but deliver little to nothing? Its actual gas cost has been on the rise for months now. But this is not new. Ethereum faced this same extreme conditions during January 2018 was we can see from the chart below.
Evidently from the chart above, the average cost per transaction was $2.92 in 2018. Fast forward to August 2020 and the same fee is what the network experiences today. Argent as a company started operations after the 2018 ICO boom period.
Although, Argent claims that its researching on layer 2 solutions to help with ease and continued service to its customers, should the latter really take their word for it? Judging by their action, one could easily dismiss their words as an attempt to pander users softly while trying to hide from their failures and not owning up to it.
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Victor Ugochukwu · Oct 20, 2020 . 5min read