[_xrp0]

ETH has the same problem as the current financial industry: too much momentum. It's crazy that even in the world of crypto, history just repeats itself.

Ethereum is a flawed chain, and just not suitable for global scale DeFi. But people continue building on it.

Even many Solidity devs refuse to move on to other chains. Maybe it's the sunk cost fallacy.

[moralestapia]

>Maybe it's the sunk cost fallacy.

It is 100% a sunk cost fallacy. Can't blame them, though, if you had 10-100M in virtual money, gimmick or not, would you let it go? Of course, not.

[ALittleLight]

I wouldn't "let it go" but I would convert it into fiat as quickly as possible.

[cryptopunk1]

maybe people have such gains on ETH that they don't care the price of gas

[solveit]

It's not difficult to cash out 8~9 digit sums though.

[rvz]

> Maybe it's the sunk cost fallacy.

Indeed it is. It is precisely a sunken cost fallacy for Ethereum holders and the chain itself to be useful for anything if one has to spend $150k in fees just to send $300, which is hilariously inefficient and has been so for years after promising for a reduction in fees since the problems first surfaced.

Like the creators of CryptoKittes which is one of the first NFT projects on Ethereum have complained about this and built their own blockchain, now the creators of Bored Ape Yacht Club (BAYC) has also realised that Ethereum cannot globally scale and are considering building their own blockchain.

Ethereum after all these years hasn't improved, and is still unsuitable for even for basic payments. Everyone was hyping for 'The Merge' to happen next month or so, but was delayed again.

Why would anyone tell businesses, clients and partners to 'Wait 7+ years for the bugs to be fixed and optimised first' only for it to be delayed again? They'll just give up and look elsewhere.

[rchaud]

The current financial industry's momentum is just fine, because people make use of it every single day.

Crypto momentum OTOH seems crazy, not least because people appear to be cheerleading extortionate gas fees as the solution to avaricious banks charging $7/mo for a checking account.

[michaelmarkell]

As a dev, you build on mainnet because that’s where the liquidity is. Your project will get less trade volume on any other chain (even compared to an EVM compatible chain like polygon, where transaction times are faster and gas fees are lower.)

The story may be different on Solana but it’s not really my area of expertise. My guess is many ethereum devs haven’t moved to solana because of its lesser decentralization.

Anecdotally I know a lot of ethereum devs are excited about building on layer 2s like zksync / arbitrum but there’s a learning curve and relatively little liquidity there too

[_xrp0]

Who cares about the liquidity if most users in the world can't even afford it? And it's unsuitable for a large array of applications?

L2s are like a last-ditch effort. If they are the main scaling mechanism, the chain is done.

[vagab0nd]

In the context of the tweet, it's not like we have a better alternative for "global scale DeFi" and not using it.

Looking at the top L1s, you either have centralized chain and thus no integrity (e.g. Solana), or chains that are cheap now just because of lower usage and lower token price (e.g. Fantom).

[_xrp0]

Algorand is promising and can scale.

And also, decentralization is not achieved by technology. It's achieved by adoption.

You're never gonna find a new chain with strong decentralization. You have the wrong premise. Strong decentralization is the goal of DLTs, and we should select DLTs that have the best conditions to get us to that point.

It helps if the backing organization has integrity, which the Algorand foundation has shown many times.

[unmole]

> ETH has the same problem as the current financial industry: too much momentum.

Please explain what momentum in the current financial industry is and why it's a problem.