The post Collaboration is the Solution to Web3’s Fragmentation Crisis appeared first on Coinpedia Fintech News
Fragmentation in Web3 is an unfortunate fact, with each camp championing its own technology. Blockchains operate in silos, which deepen tribalism instead of encouraging meaningful collaboration. The explosion of L2 solutions on Ethereum has deepened fragmentation, with each blockchain actually competing against Ethereum. Some analysts cite this fact as the reason for ether’s stagnant price.
Others take this view even further – that the price of ether can only go down. They argue that Ethereum’s scalability results in fewer users relying on the L1 blockchain, opting to leverage L2 solutions instead. These solutions pay very low fees, and Ethereum’s revenues are correspondingly lower. The end result could be a divergence between the price of ether, dropping due to lower fees, and Ethereum’s L1 utility (increasing by the number of L2 users).
A third argum
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