PANews reported on August 29 that according to Bitcoin.com, Justin Bons, founder and CIO of European cryptocurrency fund Cyber ​​Capital, warned against the growth of Layer 2 (L2) projects, believing that this trend poses a potential threat to the healthy development of the Ethereum ecosystem. Bons pointed out that choosing to expand Ethereum through L2 rather than focusing on the main chain (Layer 1) itself is a misguided decision.

He further elaborated that this decision orientation caused a series of problems: first, it led to insufficient utilization of the Ethereum main chain; second, the destruction fees failed to effectively curb inflation, but instead pushed up ETH's inflation rate because a large amount of activity flowed to L2 projects; third, the liquidity of the L2 ecosystem was dispersed across multiple unconnected islands, exacerbating the fragmentation of the system.

Bons also criticized the shortcomings of L2 chains in value accumulation, pointing out that these chains are not as decentralized and secure as the Ethereum base chain, and there is a risk of being used to steal user funds or censor transactions. He emphasized that since L2 projects have developed independently and accumulated value, it is now almost impossible to solve the expansion problem through the base chain without damaging the existing value of these projects, which will directly affect the interests of users holding related tokens.

Bons bluntly stated: "Scaling ETH will destroy all capital and fees earned by L2 because venture capital (VC) cannot directly profit from the expansion of Layer 1. These projects actually distort the public interest and turn it into a rent-seeking platform on the VC chain." He believes that Ethereum's current situation is due to the centralized decision-making that over-shifts the task of expansion to L2, and concluded: "When we are subject to a centralized decision-making process, such results are inevitable."

Earlier news, Justin Bons stated that the Ethereum L2 network is actually stealing Ethereum users and transaction fees.