Research: Ethereum Blockchain Ponzi is Grinding Network To a Halt and Hiking Fees

Thousands of transactions are being pinged all across the network—all leading to a single address, which now holds $5.3 million worth of Paxos Standard (PAX) tokens. This network congestion might have been the reason why Coinbase’s ETH and ERC20 transactions were temporarily halted a couple of days ago.

As Coinbase notified its users on May 9: Coinbase had resolved the problem by the next day, but briefly, Ethereum and a host of ERC20 tokens were blocked up, including 0x, Basic Attention Token, USD Coin, Augur REP, DAI, Chainlink, Orchid, and Kyber Network. The same data also shows that Ethereum transactions have more than doubled since January alone—climbing to nearly 900,000 per day, from 428,000 at the turn of the year.

Timeline of 0x, Augur, Basic-attention-token, Chainlink, Ethereum, Kyber-network, Usd-coin, Paxos-standard-token