Uniswap now
It is an ETH dApp that generates $500 million in fees annually.
It currently creates its own L2 and from there, these fees that go to Eth are reduced.
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The reason why Ethereum has such a high market value is its fees.
At the time of writing this post, it costs over $10 for a simple swap.
ETH Project Users are abandoning this expensive network.
Do you use Eth network to send transactions?
You find that many people tell you that it is expensive. Give me a less expensive network address and return to
BNB, SOL
Vitalik and his team.
Vitalik is the founder of Eth
They decide to scale Ethereum via L2s, but they lose their users in the process.
It's a bit ironic that L2s was intended to solve ETH's scaling problem.
As L2s proliferate and users exit, Ethereum faces a bigger problem.
Who will pay for Ethereum's security?
A quick look at Vitalik's feed shows that his interest in the pair varies. There is no easy solution, but the clock is ticking, and I don't think it works in ETH's favor.
What's worse is that Vitalik didn't expect such a thing to happen.
In 2022, Vitalik said that Unichain didn't make sense when others pointed to its "inevitability."
The market has decided.
You know what the market might decide next?
Ethereum is losing its edge as decentralized applications move to their own chains. L2s today, L1s tomorrow.
This means that users only interact with dApps (like Uniswap) and don't even know what chains are being used in the backend.
Solana has basically proven that users don't care about technical stuff.
The future will be about decentralized applications, not chains.
One click and the app takes care of the drawings, bridges and movements between strings.
Networks that charge to use Ethereum don't stand a chance. Why?
Because decentralized applications like Uniswap will no longer use it.
- The app will now use its chain and pay users for it.
Multiply that with all the decentralized applications in DeFi and you'll see where this is headed.
Ethereum users will not be found anywhere because ETH is not within the applications.
Ethereum is... infrastructure.
old outdated infrastructure
While Vitalik focuses on infrastructure, the market has moved forward.
It's all about fast and cheap chains that can now enable one-click apps for anything in a seamless user interface.
What's next?
We are entering a new era. A place where apps and memes will dominate.
Mass adoption doesn't care about technical terms, L1s, L2s, errors, or the like.
Users want stylish apps to bet on currencies, that's all.
Ideally with zero fees.
Next is important.
Bitcoin is not infrastructure. It is basic money.
It also doesn't compete with other dApps or chains and doesn't have the problem of Ethereum.
Waldalil etf.
While BTC has seen billions in inflows, ETH is in the negative.
L2s pays almost nothing per month to use ETH as a settlement layer.
See below what its costs have been in the last 30 days. Do you think $100k a month will offset the $500m in fees Uniswap users pay on Ethereum? Where will the ETH price go with that?
