Synthetix founder warns: BSC and Solana sound the alarm for the Ethereum community
Synthetix founder Kain Warwick expressed concerns about Ethereum's development after interacting with the BSC and Solana communities, stating that Ethereum should not be complacent due to its decentralized architecture and needs to make progress on scalability.This article is sourced from ChainNews, authored by Kain Warwick, the founder of Synthetix, and compiled by Perry Wang.
- Considering my recent interactions with the BSC and Solana communities, I have some concerns about Ethereum, as these two projects seem to be gaining organic traction. They are performing better than EOS or Tron did in the last cycle. I have some thoughts on this.
First of all, Solana is clearly an upgrade over the so-called previous generation "ETH killers." This is mainly because they have managed to hide the trade-offs made for scalability more effectively from users.
Many people, including Vitalik, predicted long ago that EOS would evolve into a rich person's game, but clearly, the reality is worse than most, including myself, expected. It is easy to point out their abandonment of decentralization.
BSC serves as a natural experiment to seek answers to the question of whether end users care about decentralization. The answer seems to be: to some extent, they do care. I have always believed that the push for decentralization comes from developer demand rather than user demand.
However, in BSC, we see many forks and clones of ETH projects that effectively cater to developer needs. If they are EVM-compatible, not many developers are needed. Given the high user demand for low fees, the market is stepping in to meet this demand.
The real question is whether BSC/Solana will still have enough momentum to maintain a meaningful percentage of decentralized finance (DeFi) activity once we have multiple Ethereum scaling solutions in production. In the past, I would have said there was no chance, but now I am not so sure.
One of the main reasons is that I am concerned that BSC and SOL are now generating a powerful wealth effect internally, which will create highly engaged communities that align closely with the success of these networks. I see people like @TheCryptoDog starting to stir.
Many people are economically and ideologically tied to Ethereum, but the recent surge of so-called ETH killer tokens has somewhat shaken that financial tie to Ethereum.
Although ETH increased tenfold last year, for most DeFi veterans, ETH has historically increased by 100-200 times. Some of these ETH killers surged significantly last year, even surpassing ETH's gains, and while we may not like discussing prices in the ETH community, ignoring this trend is dangerous.
This is why I believe that second-layer (L2) tokens like Matic, which will launch later this year, are crucial; we need a way for new market participants to fully enjoy Ethereum's upside potential while remaining closely tied to the larger ETH ecosystem, or else participants will inevitably look elsewhere.
Yes, people can stay on Ethereum and continue to buy in, but buying 1 ETH requires $2,500, which is too high a psychological barrier for many newcomers to the crypto space. Even if they trick people into making wrong decisions, it still leaves us with insights.
I don't think the Ethereum community needs to be overly worried right now, but this trend is evidently much more serious than I personally expected. Mainly because our actions may be somewhat lagging, I hope we can make progress on scaling by mid-year.
The source link: twitter.com
