Vitaly Dmitriyevich "Vitalik" Buterin
Vitalik" Buterin is a Russian-Canadian programmer and writer who is best known as one of the co-founders of Ethereum. Recently he was quoted as saying the future of Ethereum is going to be more and more as a settlement layer, and in the future the majority of transactions were going to occur on so called second layer solutions utilizing plasma, roll ups and other similar ideas.
While his explanations are filled with technical details, which cause many non-developer eyes to tear up and brains to fail to follow. There were clear indications of the new directions of the Ethereum ecosystem, which May aide your investment efforts.
Concepts important to understand.
Ethereum does around 40 transactions per second or 40 TPS. (I may be off as it could be 50)
Second layer solution Matic does 70,000 TPS, and Polkadot or Solana are next closest in speed at 20,000 TPS.
Ethereum POS 2.0 May change Ethereum TPS 64x,
and while over a change to 2400 TPS is impressive, it’s not fast enough.
Vitally Buterin was a member/creator of the first second layer solution plasma strategy team, which is Matic.
Plasma emerged as the first functional second layer solution for Ethereum, and currently leads the ecosystem in being the platform of choice for developers to build their applications on.
Matic developers are from an Ethereum blockchains and DeFi origin. They are complimentarians not competitors. And they have taken great pains to provide security which relies on Ethereum s security features.
Vitally Buterin himself has said that the volume of DeFi transactions was growing so fast that Ethereum 2.0 was evolving into more of a settlement layer. And that second layer solutions that functioned in a complimentary fashion were where the majority of transactional volume would occur.
Second layer solution winners are being chosen now
It is interesting to read all the articles about the various secondary solutions out there. But only one was developed to be a complimentary chain to ethereum, using plasma, the strategy favored by Vitalic Buterin, and has become the home of hundreds of functioning decentralized applications, and has accumulated 4.7 billion dollars in total value locked in smart contracts. Matic, now Polygon.
Composibility and project specific solutions
Only one second layer solution has evolved away from offering one strategy and forcing developers to use it, and instead has presented developers with flexibility of application specific characteristic solutions, which provide the developers a choice of which secondary solution components they use focusing on alternative solutions to speed, security and other characteristics. The result has been an extraordinary amount of developer activity on one platform. Matic, now Polygon.
I suggest you research this area carefully, as most DeFi predictions suggest that is enough volume in the DeFi space to support Ethereum, Binance Smart Chain, Polygon, Polkadot and others. But one project is a few years ahead of all the others, and has the largest number of projects by far in the Ethereum second layer solutions community.
The rabbit hole of second layer solutions
This rabbit hole is quite deep and very winding. The more you learn, the more questions you have, and the answers to those questions bring more questions still.
It’s an exciting time to be excited about cryptocurrency, the blockchains, and the life changing, civilization changing application category may indeed turn out to be DeFi.
Shortsegments is a writer focused on cryptocurrency, the blockchain, non-fungible digital tokens or NFTs, and decentralized finance.
Read more of shortsegments articles here: https://leofinance.io/@shortsegments
References:
https://leofinance.io/@cryptowendyo/1400-returns-on-polygon-yield-farm
https://blog.matic.network/plasmatic-education-series-part-i/
https://blog.matic.network/plasmatic-education-series-part-ii/
https://labs.leofinance.io/@trulydivinehl/the-importance-of...
https://leofinance.io/trending/polygon
https://leofinance.io/@aco5/polygon-matic-network
https://www.proofofbrain.io/hive-167922/@shortsegments/polygon-network-ethereum-savior
https://www.proofofbrain.io/hive-167922/@knowhow92/farming-on-polygon-with-polydragon-finance
https://leofinance.io/@gadrian/tutorial-for-first-steps-on-polygon-matic-from-binance-smart-chain
https://leofinance.io/@jeffjagoe/qt8tbb2qgf4cz4jabf8xs6
https://www.benzinga.com/markets/cryptocurrency/21/05/21292636/polygon-matic-launches-kit-for-quick-ethereum-connected-chain-deployment-price-grows-20
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Thanks for this content, I look forward to reading the references. If I may make one recommendation: using links with titles in your references rather than full URLs will make the post look cleaner. At the same time, I'll think about how to display URLs without them expanding to the right of the screen like it does now:
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You are welcome, I am glad you liked it. I am very impressed so far with the project.
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This is very interesting information. This Polygon is huge, you can find out about it on DappRadar, it’s huge!
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Great article! I have never heard of Polygon, but it looks like a giant developing quietly.
One coinmarketcap it grew more then 1400% this year and it’s still affordable!
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At this point I wonder if there is going to be a third layer at some point. With everything happening on the second layer, I am expecting some things to build on top of that layer and not wanting to mess with anything underneath.
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It will happen iul than Hive and leofinance.
Although Leo can overcome hive, the truth is that they are still the same and leo cannot be separated from hive.
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Thanks for your comment. I understand, Leo is a 2nd layer Hive token.
One day the Leo team may leave Hive engine for their own side chain, but thats a long way off.
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