Topic: The Ethereum killer storyline part 2 might be beginning (Read 1384 times)

This might stop the Ethereum killer storyline for this season hehehehe. It is beginning to be speculated that the market of memecoins have become part of the moneylaundering operations of different criminal groups. Moneylaunderers receive dirty money, trade them in memecoins then receive clean money. There is not a need for them to use mixers anymore. However, these big inflows from moneylaunderers might stop because Chainalysis will expand their coverage in Solana.



Blockchain analytics provider Chainalysis has expanded its coverage of Solana tokens to include memecoins created on Pump.fun, a company representative said.

"Today Chainalysis extended our Solana coverage to include every Solana token in KYT and Reactor," the company's director of product, Matthew Wilson, said in a post on LinkedIn. "From the moment a SPL contract is deployed, Chainalysis offers complete alerting, exposure and tracing."

Know Your Transaction and Reactor are compliance tools offered by Chainalysis. SPL refers to the Solana Program Library.

Read in full https://www.theblock.co/post/330697/chainalysis-expands-solana-coverage-to-include-pump-fun-memecoins

Gold is a store of value because people trust Gold and the same goes with bitcoin. People believe in bitcoin which is why it is still on the number one spot.
On the other hand, it is obvious that Ethereum will lose it's spot if the TVL, active developers and daily transactions drop below any other coin's stats.
It might retain the spot for some time but eventually the other coin will take the spot.
Meme coins are a separate thing all together and I think coins like ETH should never be compared to them after being on the second rank for so long.

I will not talk about bitcoin because it has always been the king of all the cryptocoins. This is a store of value similar to gold. This is not a cryptocoin that is claiming itself to be the world computer.

However, if Ethereum will continue to be more higher in market capitalization but the total value locked, daily transactions and active developers are decreasing and become lower than Solana, would you consider Ethereum's market capitalization is the correct value for this blockchain? This would be headshaking because it would appear very much similar to a memecoin that has a groundless high value.

Isn't that the same story with Bitcoin? Core developer Mike Hearn left the project because it was a "failed experiment". Yet, BTC is more valuable and stronger than it was before. The same will happen with Ethereum. Some developers will jump ship to other crypto projects, but nothing will stop ETH from getting bigger and stronger in the long run.

Like I've stated before, Ethereum has first-mover advantage. Even if the competition provides greater benefits to the end user. The original project simply can't be beat. Not today, nor tomorrow, nor in another century. It's like saying ETH will beat BTC because it has lower fees, faster confirmation times, and smart contract capabilities. Solana and others will stay below ETH for as long as they live.

Why focus on "killing" Ethereum? Can't developers from different projects work together to make crypto/Blockchain land a better place? With cooperation from each side, crypto/Blockchain tech can improve until it beats the banking system for good. Wasn't that Satoshi's dream in the first place?

@Abiky, @pawanjain. I reckon that there will be another bull market where another blockchain will become higher than Ethereum in market capitalization, higher in total value locked and a higher amount of daily transaction value. This is when everyone will declare that Ethereum's position in the cryptospace has been killed.

Everyone has begun to speculate on this already on 2020 because Ethereum's high fees and low capacity was beginning to be very annoying.

In any case, another important developer has left Ethereum and he has declared that he will support Solana.



The dynamic was further punctuated Monday with news that longtime Ethereum ecosystem developer Max Resnick was moving into Solana's orbit, abandoning his job at the developer studio Consensys.

Read in full https://www.coindesk.com/tech/2024/12/09/ethereum-dev-max-resnick-defects-to-solana-citing-frustration

Don't forget about TON. It's rising in TVL, too. Oftentimes, the project has been neck-and-neck with Solana. Despite both networks being superior to Ethereum in terms of performance and cost-efficiency, they lack one thing. And that's first-mover advantage. Since ETH is the pioneer of smart contracts (Web 3.0), it has enjoyed strong market dominance for years. Almost impossible to beat it. Just like Bitcoin.

I know people will use the coin that's most convenient for them (especially centralized "shitcoins"). But Ethereum will still survive because it has a loyal userbase still backing it every step of the way. Security/reliability comes first in ETH. Unlike the competition (eg: Solana) which often faces network stability and centralization issues. Ultimately, the market will decide which coin stays afloat and which ones will go all the way down the drain in an instant. I think we all know the answer to this.

Thanks for letting me know about firedancer. I didn't know about and it's good to hear that blockchain outages are not happening currently.
Solana is a  tough competitor for ethereum but is still far away from taking it's spot.
TVL might be on the rise but ETH ecosystem is still having a large number of regular users.
May be by the end of this bull cycle, we will get a clear picture of who is actually growing stronger.

@d5000. Thank you very much for sharing this. I am not very much excited on the developments of layer 2 on bitcoin, however, if the tokens for these projects might pump, I will certainly buy hehehehe.

What is very exciting is the development of new hardware, fiber optics network and cables to create a faster internet. It appears that if blockchains presently cannot scale because of limitations of the internet, it appears these developers are telling everyone the solution is to create a new faster internet heheheheh.



Solana Foundation’s head of strategy Austin Federa announced he would be departing the nonprofit to found DoubleZero, a network of fiber and subsea cables meant to establish a faster and more performant “new internet.”

Federa had been at Solana Labs and Foundation for nearly four years, becoming one of Solana’s more recognizable public figures. He’s now founding DoubleZero — which will start by supporting Solana — alongside cofounders Mateo Ward and Andrew McConnell. Jito CEO Lucas Bruder called the startup “the most interesting experiment in crypto.”

Read in full https://blockworks.co/news/solana-exec-founds-internet-depin

I have actually opened a whole thread dedicated to that topic: the Sidechain Observer (don't know if I already linked to it here in this thread, but seems in the last post I didn't).

Most of the so called L2 projects however are very dubious. For example, there's a site called l2.watch tracking a lot of them, but many aren't really L2s, or are completely centralized so it's not better to transact on their chain than with something like Coinbase's payment app. A site which reviews several L2s is BitcoinLayers.

Projects I think are relatively seriously managed and thus worth a look besides Nomic are: Stacks, Botanix (Spiderchain), Rootstock (RSK), tBTC (active on several chains) and potentially a new generation of Layer2-s based on BitVM technology, which may be even more decentralized but is however quite new, so it may take months or even years until we see a mainnet.

Nomic and Threshold tBTC are the only ones which are already live and active from those I mentioned. Nomic has the problem that its token is currently not listed anywhere and can thus only be obtained via staking, which seems to be on purpose because the tech is still experimental. So Threshold's tBTC seems to be the most mature at this moment. Stacks sBTC is going live still in December according to their X account (see here).

It's been a long time since Solana became a victim of network outages. Maybe developers fixed it? With the Firedancer node software already in motion, Solana is bound to become a reliable and secure Blockchain for everyone. The competition is getting fierce these days. If ETH fails to gather the attention of investors, SOL will "eat its cake". As simple as that.

Actually, Solana's TVL is on the rise. But the opposite is happening with ETH. Developers need to come up with something new and exciting if they want ETH to remain the leading force of the market. Who knows what will happen in the future?

Solana has everything to flip Ethereum but the network outages it suffers from cannot be ignored.
We have seen the blockage frequently and to be honest, it's not good for a blockchain to take a halt.
Besides that, most of the SOL are being held by VCs and that is something to concern.

You already said it loud and clear haha

The way people said etherum killer it just said like Im building the Bitcoin killer, but really Bitcoin is pave the way of crypto currency and the Etherum pave the way of the Decentralized App and Smart Contract this is it the other pretty much just copy cat with the advantage of 1 and two things.

Solana is of course not a bad chain is fast and cheap chain but solana is not different with the ETH that created the first idea. For now Solana is just eth chain only fast and cheap. ETH has ton of ecocsytem on it that already up and running and cheap and fast already handle by their Layer 2 of etherum that pretty much is everywhere right now.

@d5000. There have been much speculations that there might be a season of pumps for layer 2 that are being created on bitcoin. You have mentioned Nomic as having a good technology, can you share more of these bitcoin layer 2 projects? There might be a good argument for investing in these project's tokens because if bitcoin pumps to more than $500k, there will be much disposable funding available.

Also, other projects on other blockchains might begin speculating on bitcoin and in the layer2 hehehehe.



With bitcoin dominance reaching multiyear highs of over 60% during the current bull market, projects built on other networks have been looking for ways to get a slice of the pie. Now the AI bots are giving it a go.

Artificial intelligence-focused Ethereum layer-2 blockchain Mode is the latest to bridge to Bitcoin in an attempt to access the deep wells of liquidity held in BTC.

Read in full https://www.coindesk.com/tech/2024/12/05/everyone-wants-a-piece-of-the-bitcoin-pie-now-the-ai-bots-are-coming-for-it-too

Probably at least we'll see again an increase of marketing tactics of "Ethereum killers" trying to sell themselves as "the best technology". But the past has shown that not always the best technology wins. In the crypto sector, there are interesting projects technologically which do not get much attention of the market, like Nomic (a Bitcoin L2).

Technology will be somewhat important but not really as crucial as most think. As I wrote in the last post, Ethereum killers have similar consensus algorithms, and thus they tend to work in a very similar fashion. Of course there's the issue we've already discussed: high-throughput "monolithic" L1 (SOL) vs. L2-based "modular" platform (Ethereum, partly also XRP which is implementing smart contracts on a sidechain). And with the emergence of Solana and now also Sui also different smart contract languages are competing against each other, while previously everybody tried to be compatible to EVM/Solidity.

What I guess is also that some of the Ethereum projects will fall behind again after a market shakeout eventually. There will be perhaps 4 to 8 leaders which can grow further, and the others will tend to stagnate. This is due to the fact that human attention is limited, and thus too many "brands" will also clutter the space. This doesn't mean that the smaller projects can't be successful, only that even in a bullish market for smart contracts, and despite of the "levelling out" I described, some platforms will have more success than others, there won't be 10 or more platforms with a similar marketcap.

Also much depends if a "killer app" for smart contracts can be found which is relevant for everyday people and not only for traders. If this happens, then I think the market will be much larger, and more blockchains will be successful.

@d5000. I very much agree and I have also argued that the people in the cryptospace will witness new inflows of funding from venture capitalists that will be invested in this new ICO season. This will also reduce netflows being invested in memecoins and go to the new ICOs.

On ETH, SOL, XRP, ADA, AVAX and TRON, TONcoin and SUI being close in market capitalization, will it not also make technology matter? Will this be the season in this bull market where the people will try to find better investments in what appears to be better technology?

I guess it has to do with the expectation that regulation for tokens will be less restrictive. All those coins are primarily token/DeFi platforms. So we'll probably see a wave of new ICOs and new DeFi stuff, often of dubious nature, from 2025 on. Of course with this expectation of the market becoming bigger, attention might be switching from the more established ETH and SOL to their slightly smaller compatitors.

It is not unlikely that in the end, ETH, SOL, XRP, ADA, AVAX and TRON, perhaps also TONcoin and SUI, will become closer regarding market cap, they're competing mainly via transaction fees to create an ecosystem. But as fees depend also on usage, the coin with most usage will also in the mid-term see the highest fees. That's the chance of the other "Ethereum killers". As all coins of this group are basically PoS coins with BFT-style algorithms, they can adopt innovations from other chains.

It's of course also possible that SOL can reaffirm its leadership as "No. 2" behind Ethereum in this sector, and the other coins of this group falling behind again. This depends also on who wins the competition for the attention economy, and there SOL has currently an advantage.

In the case of Ripple, obviously the main driver is that Gensler resigned, and that this would stop the SEC legal action against them. In addition there's a XRP ETF filing, and it has better chances to be approved under Trump than under Biden/Gensler. Add to that the rumours about XRP folks as Trump advisers I already mentioned.

@d5000. What would you speculate might be the real causes of these pumps on these cryptocoins that were created and issued before 2020? Is this their past pump before they become dead fossils or is there a development that the promises that they have made might presently become real?

Is the American government speculated to start giving favorable regulatory conditions for Ripple, Cardano and Avalanche under the Donald Trump's administration?

Let's see how the season(s) is/are going. Showing the price evolution of the top "Ethereum killers " in ETH (violet). We see that almost all have grown versus ETH, but some did more so than others.

In addition, let's see the percentage of the ETH market cap of each "killer" coin (ETH has currently 439 billion.)

ADA


Made a nice jump, but if we look at the price earlier in 2024 and earlier (in 2021, it was at $3), the jump only made it recover from a long bearish phase.
Market cap: 46 billion (10% of ETH's)

AVAX


Has grown in the last weeks, but proportionally is one of the weakest "Ethereum killers" in 2024.
Market cap: 21 billion (5% of ETH's)

SOL


Registered a new ATH, but then fell again a bit.
Market cap: 108 billion (25% of ETH's)

Tron

Had its heyday in the mid-year sideways market and didn't profit that much from the November pump.
Market cap: 19 billion (<5% of ETH's)

XRP

And we have a winner. Made a straight x5, probably fueled also by rumours that the XRP team could advise Trump. But is that pump sustainable? Looks almost like a memecoin ...
XRP is currently also implementing smart contracts so it may indeed be now considered an "Ethereum killer".
Market cap: 155 billion (35% of ETH's).

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little SCNR:
So you're so desperate you have to off topic spam this thread ?

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People often share and joke about a photo of Vitalik Buterin on the internet.   To tap into the strongest consensus that people share about this image , I created a "V God" NFT with the theme "Bigger Stronger”.

Ethereum's market cap has caused participants in the ETH ecosystem to lose patience and faith, hope that Ethereum's market value will break through its previous high as soon as possible.

The profits from the NFT will be used to create an on-chain AI immortal virtual human of Vitalik Buterin and gift it to him.

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Official website: https://www.vgod-not-vdog.com/

X: https://x.com/vgod_not_vdog

Contract address: https://etherscan.io/address/0x6f4Ec68f61F5EC04A83a409DbB5496e5F70D434b

@Zanab247. It appears that presently you have the correct argument. It also appears that no one has noticed that Ripple XRP has over taken Solana in market capitalization heheheheh. The people who have noticed are very much shocked on this comedy occurrence. However, if this is a shocking comedy occurrence for the Solana community, I reckon wait if Ethereum will pump higher than Bitcoin's market capitalization hehehehehe.