Ethereum co-founder Joe Lubin on the future of Ethereum — DAS

Ethereum co-founder Joe Lubin discussed the aboriginal of the astute declaration web astatine the Digital Asset Summit and said layer-2 (L2) scaling networks would proceed to beryllium cardinal to the Ethereum ecosystem.

In an exclusive interrogation with Cointelegraph’s Turner Wright, Lubin said applications volition necessitate next-generation databases powered by high-throughput blockchain technologies. The Ethereum co-founder added:

“The Ethereum ecosystem is truthful large and truthful mature that it volition beryllium champion for caller kinds of databases — caller kinds of furniture 2 networks — to acceptable up shop, arsenic furniture 2s of Ethereum. We person our ain that has immoderate large characteristics called Linea.”

“Another large application, oregon large furniture 2, that’s emerging soon is called MegaETH,” Lubin continued.

The Ethereum co-founder yet concluded that newer layer-1 chains volition person a pugnacious clip competing with the Ethereum network, which already features robust architecture and information guarantees.

Joe Lubin speaking astatine the Digital Asset Summit. Source: Digital Asset Summit

Related: Ethereum pushes backmost Pectra upgrade to behaviour 3rd testnet ‘Hoodi’

Investors person doubts astir layer-2 approach

According to L2Beat, determination are presently implicit 140 unsocial scaling solutions for Ethereum, including 60 rollup networks.

Investors person criticized Ethereum’s layer-2 networks arsenic parasitic elements that drain the layer-1 web of revenues portion lone contributing minimal economical worth to the basal layer.

Ethereum's mean state interest dropped by 95% pursuing the Dencun upgrade successful March 2024, which dramatically lowered transaction fees for layer-2 networks.

This simplification successful transaction fees caused a 99% illness successful revenue connected the Ethereum basal furniture by September 2024.

Network fees connected the Ethereum layer-1 flatline pursuing the Dencun upgrade. Source: The TIE Terminal

Since that time, the terms of Ether (ETH) has mostly been successful decline, plummeting to a caller debased of astir $1,759 connected March 11 and starring galore analysts to foretell a further terms decline successful 2025.

Data from Farside Investors shows outflows from Ether exchange-traded funds (ETFs) person continued for 11 consecutive days amid a broader downturn successful the crypto markets.

The astir important time of outflows occurred connected March 13, erstwhile investors pulled a corporate $73.6 cardinal from ETH ETFs arsenic they dumped risk-on assets for little volatile alternatives specified arsenic cash, authorities securities and dollar-pegged stablecoins.

Magazine: MegaETH motorboat could prevention Ethereum… but astatine what cost?