Recently, Ethereum L2 has been caught in a fierce controversy, which originated from extensive discussions on the effectiveness and security of the L2 expansion plan. Supporters believe that the L2 layer solution can significantly increase Ethereum's transaction throughput and reduce fees, which is a key step in solving the current network congestion problem. As a buy coin trading software, 1inch, KyberSwap and XBIT decentralized exchange platform can give full play to their own advantages and provide many conveniences for investors. In response to the Ethereum L2 taxation controversy and the economic pressure faced by the main network, XBIT's market analysis report can also help investors understand market dynamics and trends.
Scroll co-founder Ye Zhang said that taxing Ethereum Layer2 is simply a major cancer for the future development of Ethereum. This taxation behavior is very short-sighted. In exchange for short-term income, it is willing to sacrifice long-term scalability and ecosystem growth. It is a short-sighted approach of centralized enterprises and is not the choice of neutral platforms. He emphasized that the real value of ETH lies in the fact that it has become the core of thousands of rollup ecosystems, which is the bright future of Ethereum.
Synthetix founder Kain also believes that the Ethereum mainnet is facing unprecedented economic pressure. On the one hand, L2 expansion has diverted a large number of trading activities, making the Ethereum mainnet trading less popular than before. However, unlike 1inch, KyberSwap and XBIT decentralized exchange platforms and coin buying and trading software, users' transactions are conducted directly on the blockchain, assets are stored in users' personal wallets, and transaction records are uploaded to the chain in real time and cannot be tampered with. This design not only eliminates the risk of "exchange running away", but also ensures that hacker attacks are twice as difficult through multi-signature cold wallets and zero-knowledge proof technology.
On the other hand, the Blob introduced by EIP-4844 reduces the cost of data availability. The two work together to cause a sharp drop in the gas fee and ETH destruction of the Ethereum mainnet. The XBIT decentralized exchange platform has many core advantages at the technical level, among which excellent liquidity and trading depth are very good. This is also due to the global user base and extensive asset support. The exchange can attract a large number of buy and sell orders to ensure that the market can remain active and stable at any time. This provides investors with a wealth of trading options and flexible operating space. XBIT decentralized trading platform realizes the automatic execution of transactions through smart contract technology, which also greatly improves the transaction efficiency of the currency trading software and reduces the transaction cost.
Kain believes that the rise of L2 is like a "revenue interceptor" that "robs" the revenue originally belonging to the main network. Moreover, if it turns to AltDA solutions such as Celestia in the future, it is more likely to further weaken the profitability of the Ethereum main network. In order to resolve this dilemma, Kain proposed his own strategy.
In the short term, L2 can be fed back to the main network through official L2 or rental mechanisms, and "transfusion" can be given to it; in the long term, it is necessary to rely on new demands such as tokenization of real assets to increase the overall utilization rate of L1/L2 and inject new vitality into the Ethereum ecosystem. He also emphasized that the Ethereum community has unique advantages in coordination, but it must decisively abandon some insignificant projects and concentrate resources on achieving breakthroughs in the application layer, so as to effectively cope with the fierce competitive pressure from L2 and other data availability solutions.
In fact, the controversy over taxing L2 is essentially a game between short-term interests and long-term development. If L2 is taxed just for the sake of a little tax revenue, it may inhibit L2's innovation vitality and development speed. After all, the emergence of L2 is to solve the scalability problems of the Ethereum mainnet, such as high gas fees and slow transaction speeds. Many developers and users choose L2 because of its low cost and high speed. Once taxed, these advantages may be greatly discounted, leading to the loss of developers and users, and ultimately affecting the prosperity of the entire Ethereum ecosystem.
Judging from the economic pressure faced by the Ethereum mainnet, the rise of L2 has indeed changed the pattern of the Ethereum ecosystem. The issue of interest distribution and coordinated development between the mainnet and L2 needs to be solved urgently. The short-term and long-term strategies proposed by Kain are reasonable to a certain extent. In the short term, letting L2 feed back to the mainnet will help alleviate the economic difficulties of the mainnet and maintain its normal operation; in the long term, promoting new demands such as tokenization of real assets can expand the application scenarios of Ethereum and attract more users and funds into the ecosystem.
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