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Why Ethereum Layer-2 Tariffs are Dangerous for the Network's Future?

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by Giorgi Kostiuk

a day ago


Scroll co-founder Ye Zhang has raised concerns about the proposal to introduce tariffs to increase revenue on the Ethereum mainnet. He believes this policy could harm the long-term development of the Ethereum ecosystem.

Arguments Against Ethereum Layer-2 Tariffs

Zhang argues that imposing tariffs on Layer-2 networks threatens long-term scalability and ecosystem growth. He emphasized that such a strategy is more suited to centralized organizations than to a decentralized platform like Ethereum.

Tariffing L2s is one of the most toxic ideas for Ethereum’s future. It trades long-term scalability and ecosystem growth for short-term revenue — a strategy fit for centralized corps, not credibly neutral platforms.

Ethereum Ecosystem Debate

Many in the Ethereum community express concerns over the decline in activity and fees on the mainnet compared to Layer-2 networks. However, actions such as imposing tariffs could worsen the situation, experts believe.

Ethereum's Future as a Value Store

Zhang believes Ethereum should not be judged by its revenue and activity because it is not meant to accrue all of the value. Instead, it should serve as a hub asset for multiple ecosystems.

Measuring ETH’s value by Ethereum’s revenue misses the point. ETH’s real strength isn’t in protocol fees — it’s in becoming the hub asset across thousands of roll-up ecosystems. That’s the future.

Zhang envisions Ethereum's long-term development as a value store and central hub for the Layer-2 networks. Imposing tariffs on Ethereum Layer-2 could undermine this strategy and hinder the network's growth.

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