More and more people are talking about Ethereum’s growing problems. Mainly the fact that it’s unusable for most applications (unless you’re rich).
In this video I talk about the issue that Ethereum is currently facing with high transaction fees. I look at current layer 2 solutions, which are further away from being “consumer ready” than I thought, as well as the potential that other chains like Solana, Tezos, Cardano, And AVAX have given this opportunity.
Specifically I look at this from the lens of NFTs (Bored Ape Yacht Club, Cryptopunks, Cool Cats, etc.). I have strong conviction that over the next 12-24 months we’re going to see a huge influx of new users as a result of brands, games, and other top creators releasing compelling NFTs. And as of right now, they’re not going to accept the fees on base ETH, so we have to start thinking about what the second order effects are of that.
I finish with three scenarios for how this might play out in the near term.
FYI – this is a critical video of Ethereum but it continues to be my largest holding, and 90% of my content revolves around ETH products, so I’m not biased against it, just trying to take an honest look from a consumer perspective.
0:00 intro
0:58 “ETH has abandoned it’s users”
2:34 the trilemma
3:43 fees are holding back NFTs and DAOs
4:50 The Great Onboarding
5:50 the two alternatives to base ETH
6:17 layer 2 and IMX (this was surprising)
9:35 other layer 1 blockchains
10:53 the drawbacks with Solana/Tezos/Cardano etc
11:54 Scenario 1
12:50 Scenario 2
13:39 Scenario 3