Recent changes in Ethereum's transaction fees have sparked discussions about the network's significance. However, experts emphasize that Ethereum's value goes beyond fees.
Ethereum's Role in the Digital Economy
Ethereum plays a crucial role in the digital economy as a store of value. Unlike Bitcoin, Ethereum serves as a yield-bearing asset. Platforms like MakerDAO and Ethena rely on ETH's stability for lending and borrowing, supporting its dominance through active development and Total Value Locked (TVL).
Lower Fees and Layer 2 Scaling
Lower fees indicate successful scaling through Layer 2 solutions, rather than network decline. Standard Chartered's ETH price forecast was slashed due to such outsourcing. However, this overlooks Ethereum's adaptability in supporting new scales and increasing long-term applicability.
Buterin’s Hybrid-Proof Proposal
Vitalik Buterin proposed a hybrid security architecture for Ethereum's rollups. The new system integrates zk-proofs, optimistic rollups, and trusted execution environments to strengthen decentralization and security. A three-prover system is proposed to accelerate state finalization, with a security council able to instantly upgrade logic and alter systems as needed.
Ethereum's evolution shifts the focus from fees to hybrid secure solutions, affirming its significance in the decentralized finance world.
