Ethereum Economic Zone aligns L2 incentives
The bull case argued for Ethereum is that the proposed Ethereum Economic Zone (EEZ) standard aligns the economic incentives of layer-2 networks back with the layer-1 mainnet.
The argument
The guests argued that current L2s create relatively little L1 demand because they settle infrequently. Under the EEZ framework, L2 transactions will regularly access L1 state and liquidity, driving transaction fees and MEV back to L1 block builders and validators.
The thesis, stress-tested
✓ What validates it
- ✓Adoption of the EEZ standard by major block builders like Titan, BeaverBuild, and Flashbots
- ✓Implementation of single-slot finality on Ethereum to eliminate reorg risks
▸ Risks discussed
- ▸Requires L2 chains to accept the authority of Ethereum as the canonical source of truth
- ▸L2 chains must agree to reorg if Ethereum reorgs, adding developer complexity
Hear it yourself
"And so it's not it sounds like it's not really like a binary, but it's like, if we can get all networks, all of Ethereum networks, layer twos, to update the state of its knowledge of other layer twos inside of one single Ethereum block, then we produce this thing called the EEZ."
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