Vitalik Buterin, the co-founder of Ethereum, has outlined a plan to simplify Ethereum's complex protocol, inspired by Bitcoin's simplicity. This initiative could change Ethereum's development direction.
Buterin's Proposal: Simplicity as a Strategic Shift
In his article 'Simplifying the L1', Buterin emphasized that Ethereum's complexity has been a fundamental drawback, contrasting it with Bitcoin's notably simpler protocol design. He outlined a plan to restructure Ethereum to mirror Bitcoin's simplicity within five years. This philosophical shift is expected to reduce development costs and enhance security. 'Ethereum has historically struggled with maintaining simplicity... leading to excessive development costs and security vulnerabilities.'
Ethereum’s Path Forward: Market Reactions and Expert Insights
As of May 3, 2025, Ethereum's market cap is $220.79 billion with a price of $1,828.73, according to CoinMarketCap data. ETH's 24-hour trading volume stands at $12.16 billion, reflecting a 24.44% decrease. Analysts attribute recent interest to Buterin's roadmap, while a 90-day price drop of 41.06% is noted. 'Ethereum's design complexity has historically hindered its scalability and adoption, contrasting sharply with Bitcoin's simpler protocol.'
Ethereum’s Future: Long-term Predictions
The Coincu research team anticipates long-term technological enhancements due to Buterin's proposal, predicting increased developer engagement and accelerated decentralized application growth. Improved execution efficiency could lead to economic and network stability, indirectly expanding Ethereum's utility.
Vitalik Buterin's plan to simplify Ethereum could significantly reshape the development approach and enhance security, which may, in turn, improve Ethereum's market position.
