Grayscale is on fire and moving in the right direction!

This is a VERY similar view to the one I expressed in my article a week ago. 👏👏👏

Thanks to @jdiegooliva for being there at the very beginning and good luck to @strjd87 -- it's going to be a very challenging, but hopefully rewarding

Layer-2 networks are not important anymore, so what's next? Just a few years ago, if you were a crypto or blockchain builder with your home in the Ethereum ecosystem, you were in big trouble - gas became prohibitively expensive, on-chain activity was only possible for high-volume transactions, and a congested network put any real product use to a halt. We've made our first transition from "Ethereum is for a few" to "Ethereum is for the masses", and with the network that was majorly not ready for that transition and ecosystem mentality of "We need to prepare for the next billion of users" we all desperately prayed for a solution that could enable the next wave of innovation and new products development. And our prayers were answered - first with the optimistic and naive scaling solutions, but soon after that - rock-solid, trustless, mathematically proven solutions - SNARKs and STARKs and general Zero-Knowledge based scaling solutions - and at that moment, the epoch of Layer-2 networks started. Layer-2, especially ZK-Proofs based Layer-2 were the answer to all our problems - price of gas, speed of execution and security. The coined term "Layer-2" was, without understatement, the most genius marketing term ever created in the crypto and blockchain industry. At the time when Ethereum desperately needed scaling, we already had a variety of other networks (colloquially called - Layer-1 networks). Still, in order to gain users' trust and speed up the adoption of scaling for Etherium, we had to distinguish 'other' networks and 'ethereum-based' networks, so the term "Layer-2" and narrative of "inherited security of Etherium" massively helped on both fronts. Any network that can execute smart contracts internally, even if it keeps the network's state in sync with Ethereum, is just a side network. We say "Layer-2" networks sit on top of Ethereum and this architecture makes them, by proxy, an extension of Ethereum itself. But in principle, because you can't enforce an escape hatch on the product level of any protocol running on Layer-2, it is the same as any other Layer-1 network connected to Ethereum with a bridge - a side chain. And normally, if this architecture (Ethereum <> Layer-2) continues to prevail, it will eventually become a problem simply because you can't inherit Ethereum security to every part of a side chain (or Layer-2). However I believe Layer-2 networks are not important anymore. Hence, the relation between Ethereum and its scaling solution doesn't matter either. Why so? Three years ago, @HaymanLiron told me, "@Starknet makes Ethereum better." This was true, and it empowered dozens of creators, builders, and developers to have that next wave of innovation that would not have been possible on Ethereum at the time. But it's not about making Ethereum better anymore. Every single change the community made in the Ethereum core in the last couple of years made it future-proof without any scaling solutions, but only from the technical perspective. We all believe that the crypto ecosystem lives in cycles - we've seen many crypto-winters and crypto-springs and even some crypto-summers. But every new cycle is based on demand, and users come to the crypto and blockchain because they see something exciting or beneficial to them. We are past the novelty of crypto, we are past 'get rich fast' stage, and if we want to see crypto booming again, even on a larger scale, with more users and more funds, we need to have real products that make users come and use these products not because there is FUD or greed, but because users genuinely benefit by using these products. The next crypto cycle won't start otherwise - we need to have retail users coming to the industry, but they need to have a solid reason to come. And this reason is not technical innovation, not multi-million-dollar-worth-GIFs or meme coins, but actual working products. I believe the future of @Starknet (and other "Layer-2s") is not about making Ethereum better anymore, it's about making finance and the internet better. Right now, all L1s are L2 are commoditised - you can build a very limited product that functions within the network's boundaries and bridges. Apart from the userbase and reach of the said network there is no difference in where you build. But that's not enough to build new valuable products, and it's limited to the original principles of crypto that have mostly stayed the same in the last decade. Imagine how unique and powerful a network can be if it provides the building blocks, out of the box, to build cross-border native swift integration, instant and direct bank payments and settlements, currency conversions, frameworks for different legislations, KYCs and KYBs plugins, access to real-world yields, funds, traditional and innovative financial products, access to real-world assets, and standardised tokenisation. It means any entrepreneur or builder with an idea for the product can come to this network, pick and mix underlying functions and focus on building a product for the users they know, focusing on the product, interfaces and user acquisition, retention and satisfaction, returns and profits. Right now, we have networks facilitating transactions; we need a network facilitating product creation and innovation. I believe these changes will come, and Starknet is perfectly positioned to be the foundation of the new wave of fintech products, not the layer on top of Ethereum. After all, Layer-2 networks are not important anymore. 🚀

Let's go!!!

Up and onwards!!! 🚀🚀🚀

Super proud to be part of @zkxprotocol and kudos to @Starknet for supporting us!

It's interesting how the approach to using technology changes over time. When @zkxprotocol started, the multi-layered cake approach, where we used L1 to rely on Ethereum's fundamental security, L2 to benefit from low gas costs, and our own ZKX Appchain to have gas-less transactions and a third of a second block time for the speed of trading and execution - all that was very rare and very unusual. Almost 3 years later, this approach is the industry standard - only DeFi projects with complex and nuanced architecture can survive the arms race. All of that makes me believe that every strategic decision we take at every turn of ZKX's journey is correct, and every big project in DeFi turning into a multi-layered approach pioneered by ZKX is proof of that.

Shout out to @StarknetFndn for the amazing work they are doing! Up & Onwards!!! 🚀🚀🚀 ZKX and Starknet to the moon!

Three major benefits of "DEXes" right now: 1. "Decentralisation" - Users from your country can't access this service 2. "Privacy" - Please complete your verification, live stream your face while doing 360 rotation of your head while holding your passport 3. "Security" - Your account is blocked. Don't be like that - it's not a DEX if it's not permissionless!

Transparency, decentralisation, permissionless - all the principles @zkxprotocol was, is, and will be standing for.

Join @StarknetFndn for StarkCity - day filled with STARKs, talks, old friends and new projects! Also - anything @zkxprotocol or ZKX appchain related - come and talk to me!