It should be noted that Three Arrows Capital, also known as 3AC, is a popular member of the cryptocurrency community. It has invested in many blockchain projects and is still supporting them today.

All in all, there is a rather amusing situation here. For many aspiring investors, having 3AC on the list of financiers of a new project is a strong reason to connect with him. That said, if a particular coin collapses, many assume that it is Three Arrows Capital that is getting rid of its assets.

In reality, though, 3AC's cryptocurrency wallets are already known. For example, the day before, representatives of the fund transferred the equivalent of $155 million worth of ethers to the FTX cryptocurrency exchange, as confirmed by various bots.

Transferring tens of thousands of 3AC ethers to the exchange

Be that as it may, Etherium really got a kick out of Soo Joo. Here’s what it was like.

What’s wrong with Etherium?

Here’s a translation of the first post, in which Soo shared his own stance and essentially voiced an important statement regarding his attitude towards the cryptocurrency project. The investor’s remarks are cited by Cointelegraph.

Yes, I left Etherium despite having supported the coin in the past. Yes, Etherium has abandoned its users despite supporting them in the past. The idea of sitting back and watching coins burn while solving useless tests makes no sense until newcomers can afford to use the blockchain.

That is, above all, Su is unhappy with the level of fees inside the blockchain that prevent novice investors from using it. And there is indeed logic here, as a regular ether transfer will now cost users $7.4, while sending ERC20 tokens costs almost $23.

Commissions on the Etherium network right now

To be clear, we need to think back to the Solana blockchain. There, the average cost of sending an SOL is many times less than one cent.

The average value of commissions in the Solana network

And here is Su’s second post, in which he shared an explanation of the situation.

I want to soften my statement a bit, “left” is not quite the right word. I was on a roll at the time of posting, sorry. There are great teams working on solutions to scale Etherium Level 2. But I would have preferred to see a development plan for the cryptocurrency itself. I would also like to focus on ordinary users rather than the wealth of the old holders.

3AC founder Su Zhu

Tier 2 solutions are decentralised projects that allow for decentralised applications based on Ether with low fees. Essentially, developers create additional add-ons on top of Ethereum, within which fast, low-cost transactions take place. An example of a second-tier solution in the Bitcoin context is the already familiar Lightning Network.

As already generally understood, it’s the fees that have caused such anger among Zhu – using ETH is indeed quite expensive these days.

According to BitInfoCharts, the average fee for interacting with the Etherium network is currently as high as $50. This not only takes into account regular transfers, but also exchanges on platforms like Uniswap and the creation of NFT tokens, which are even more expensive. We have already written about why the fees are so high in a separate article.

The evolution of the average commission on the Etherium network over the last 3 months

The interesting thing is that Etherium is the basis for most of its decentralized protocols, which, in theory, should be a convenient financial tool for those who do not have access to traditional banking services. The irony is that Etherium’s creator Vitalik Buterin himself criticised Bitcoin back in 2014 for charging 5 cents. Now that it costs tens of dollars to transfer ETH, the cryptocurrency is simply unsuitable for people with little capital.


We believe that Etherium is unlikely to lose its position because the fees are too high, as they have been for quite some time. The problems will most likely be solved when the network moves to version 2.0, which will increase the blockchain's bandwidth and allow it to handle a much larger number of transactions. In the meantime, blockchains with low fees and a good level of decentralisation are taking advantage of this situation. Solana, Fantom and Avalanche have already been mentioned.


What do you think about it? Share your opinion in our millionaires cryptochat. We will discuss other news from the world of decentralisation there as well.