The Battle for Core Infrastructure: Ethereum vs. Non-EVM Layer 1s
The development of core infrastructure during the 2018-19 bear market paved the way for the DeFi and NFT boom in 2021. Now, two competing visions are emerging as potential core infrastructure for the next cycle.
EVM Layer 2s: Scaling The Incumbent
Ethereum’s EVM is currently the dominant platform in Web3, but its success has led to congestion and high transaction fees. The solution: Layer 2 scaling networks. These separate networks offer their own ledger, tokens, and dApps while leveraging the security of Ethereum. However, there are concerns about security and user experience with the EVM, as well as issues with scalability and compatibility between networks.
Non-EVM L1s: The Challengers
Instead of iterating on the EVM, a new wave of Layer 1s is charting their own path with custom stacks. These platforms aim to improve developer experience and address security issues through innovative approaches like turning smart contracts into physical objects and natively governing assets. They also promise linear scalability without compromising composability through techniques like intra-validator sharding.
The Fight Ahead
While the latest L1s offer technical advantages, the EVM and its L2s have a significant lead in public awareness, developer community, and infrastructure. However, with DeFi and Web3 still representing a small fraction of global financial assets, internet users, and developers, there is ample opportunity for newer platforms to capture a larger market share.
About the Author
Piers Ridyard is the CEO of RDX Works, a public protocol and ledger for DeFi. With a background in crypto since 2015, Piers has deep knowledge and experience in the industry. He is passionate about building decentralized solutions and has led the team at RDX Works to develop innovative technologies for the space.
Owen Patter is a distinguished crypto analyst, accomplished researcher, and skilled editor, leaving a notable imprint on the cryptocurrency landscape. As a proficient crypto analyst and researcher, Owen delves into the intricate realms of digital assets, offering insights that resonate with a diverse audience. His analytical acuity is harmoniously paired with adept editorial skills, allowing him to transform complex crypto information into easily comprehensible content.