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May I ask what do you mean by having a burden of ICO's on it's back? ICO's leveraging Ethereum proves the utility of the token and project, no?

I mean that EOS is scalable, because it uses DPOS.

By contrast, Ethereum uses Proof of Work, and cryptokitties ground it to a standstill.

In order to compete with EOS, Vitalik wants to introduce sharding, whereby the blockchain is divided into pieces, and each node only deals with one subset of the pieces, thus reducing the pressure on each node and scaling the blockchain.

What I am saying is that the ERC20 tokens running on Ethereum need to keep running, so there's little opportunity for Vitalik to carry out sharding tests on the network without massively disrupting the ICO ERC20 tokens currently running.

Thus the ICOs are an obstacle to Ethereum scaling up and being able to compete with EOS, which is already scalable by design.

It looks like you are having quite a few misconceptions. For example:

What I am saying is that the ERC20 tokens running on Ethereum need to keep running, so there's little opportunity for Vitalik to carry out sharding tests on the network without massively disrupting the ICO ERC20 tokens currently running.

You know that there are test nets, right? Experiments are not ran on the main network.

Thus the ICOs are an obstacle to Ethereum scaling up and being able to compete with EOS, which is already scalable by design.

ICOs are merely a smart contract, they don't really bloat much. They are not a burden really.