Source: Dao Talk Blockchain
I have expressed my regret more than once about the performance of Ethereum in this recent market cycle. However, my disappointment does not primarily stem from the price. Since I have a long-term positive outlook on Ethereum, I actually prefer lower prices, ideally staying below my predetermined investment threshold.
What truly disappoints me is that Ethereum’s ecosystem has not seen the explosive innovation and applications that characterized the previous bull market. Taking advantage of the Dragon Boat Festival holiday these past few days, I carefully read Vitalik’s articles from last year and this year on second-layer scaling solutions.
From his writings, I seem to glimpse the future. Vitalik has made it clear in his articles on Ethereum’s second-layer scaling that he hopes most applications will eventually migrate to these solutions. His perspective on Ethereum’s second-layer scaling is not just about enhancing performance, but about allowing these solutions to develop as independent blockchain “nations” with their own cultures, personalities, features, applications, and ecosystems under Ethereum’s overarching authority.
From this viewpoint, I have reconsidered my previous stance. While I used to think there were too many second-layer solutions and questioned the significance of these seemingly repetitive extensions, I now see that despite the technical similarities, they have distinct cultural and individual characteristics. For instance, Base hosts social (MEME) applications, Arbitrum supports a wide range of applications with some quality assurance, and Optimism is more institutionally supported. In the future, platforms like Treasure and Redstone may cater to gaming applications.
As these extensions continue to develop their unique traits, they will attract more similar applications, strengthening their individual features. In the future, Ethereum could potentially host countless communities and groups in the form of second-layer extensions, each with its own culture, values, and community atmosphere.
The current trend of constant chain launches (NFT, MEME) could evolve into a future where new chains (second-layer extensions) are continually introduced. Ethereum’s ecosystem could transform into a federation of blockchain-based nations, with Ethereum serving as the ultimate governing body. This governing body would ensure transaction finality and execution, while its federated states would grow freely and innovatively.
This freedom and growth provide fertile soil for innovation and disruption. In the previous bull market, we marveled at various applications within the Ethereum ecosystem, such as DeFi, NFTs, and gaming. However, all these innovations emerged from the Ethereum ecosystem.
I speculate that the next wave of innovation in Ethereum’s ecosystem will arise from numerous sub-chains based on second-layer extensions. This explosion will not be limited to individual applications but will encompass an entire chain-based ecosystem resonating around a specific theme or culture.
The eruption of a chain-based ecosystem will lead to a collective surge in all applications on that chain, including DeFi and NFTs. The specific culture or theme that triggers this surge is currently hard to predict, as it requires time to evolve and mature. Perhaps this is why we have not seen new applications or scenarios emerge in this current market cycle.
The gradual growth of culture and atmosphere within Ethereum’s second-layer extensions is likely laying the groundwork and building momentum for the next Ethereum explosion.
