Paradigm data researcher Storm stated on X that Ethereum is a Trojan horse. When institutions adopt Ethereum, they inadvertently hegemonize its core principles of decentralization, transparency, and open-source software.
In response, Ethereum core developer Tim Beiko stated: 'If we want things to unfold this way, it would be a good thing to provide functionality equivalent to L2 'stages' or zkEVM 'types' for applications built on Ethereum. We should define Schelling Points for different levels of trustlessness to encourage benevolent institutions to converge towards them. (Note: Schelling Points are the tendencies for people to make choices in game theory without communication, and this choice may be made because it seems natural, special, or related to the chooser.)
More specifically, when 'putting something on-chain', the scope is broad, ranging from 'regularly publishing hashes' to 'everything being fully verifiable, with rights enforced by smart contracts'. Different users will need different setups, but we can define what a good version of each setup looks like.
Assuming this technology is adopted, it becomes easier to communicate to end users that they hold 'Type 3 RWA' or that their 'decentralized social application' is designed as a 'Stage 4 on-chain application', etc.