Ethereum's Strategic Positioning: From "World Computer" to "World Ledger"

Many people believe that Vitalik Buterin's recent emphasis on Ethereum as the "world ledger" represents a brand new strategic shift, but in reality, this transformation began with the implementation of EIP-1559. Stablecoins account for 50% of the market share on Ethereum, further solidifying its position as a financial settlement layer. Let's analyze this transition in detail:

1. The core value of EIP-1559

The main purpose of EIP-1559 is not to reduce Gas fees, but to redefine the value capture mechanism of the Ethereum mainnet. It marks that Ethereum no longer relies on the gas consumption brought by an increase in transaction volume to capture value.

Before EIP-1559, all transactions were concentrated on the mainnet, leading to huge ETH Gas consumption, with daily average Burns of ETH nearing several thousand in 2021. The mainnet was severely congested, and Layer 2 had to participate in Gas competition when submitting batch data for verification, resulting in high and unpredictable costs.

EIP-1559 introduced a predictable Base fee mechanism, making the batch submission costs of Layer 2 on the mainnet stable and controllable. This not only lowers the operational threshold for Layer 2 but also allows more Layer 2 solutions to rely solely on Ethereum for final settlement.

This change has profoundly transformed the value capture logic of Ethereum: shifting from a "consumption-based growth" reliant on high-frequency trading on the mainnet to a "tax-based growth" reliant on Layer 2 settlement demand.

This model is similar to how banks handle daily operations in various regions, but large interbank settlements must be confirmed through the central bank system. The central bank does not directly serve ordinary users, but all banks need to "pay taxes" to the central bank and accept regulation.

This is exactly the typical characteristic of the "world ledger" positioning.

2. The Importance of Stablecoins

The current total market value of stablecoins globally exceeds $250 billion, with Ethereum accounting for 50% of the share. This ratio has actually increased since the implementation of EIP-1559. The reason Ethereum can attract so much capital is primarily due to its irreplaceable security premium.

Specifically, USDT has settled $62.99 billion on Ethereum, while USDC has $38.15 billion. In comparison, the total amount of stablecoins on other public chains is insignificant.

The stablecoin issuer chooses Ethereum not for its transaction speed or cost, but for the unparalleled economic security provided by nearly a hundred billion dollars worth of staked ETH. This is a crucial consideration for institutions managing large assets.

The massive accumulation of stablecoin funds has formed a self-reinforcing growth flywheel for the Ethereum ecosystem: the more stablecoins there are, the deeper the liquidity, attracting more DeFi protocols to choose Ethereum, which in turn generates more stablecoin demand and attracts more capital inflow.

From this perspective, the large-scale aggregation of stablecoins on Ethereum is, in fact, a recognition of its "world ledger" positioning by global liquidity in action.

3. Ecological Division of Labor and Future Development

As the Ethereum mainnet focuses on becoming a "central bank" level settlement layer, the strategic positioning of the entire Ethereum ecosystem has become clearer: Layer 2 is responsible for high-frequency trading, while the Ethereum mainnet concentrates on final settlement, with clear and efficient division of labor. Each settlement returning from Layer 2 to the mainnet will continue to burn ETH, accelerating the deflationary effect.

However, real-world data shows that the prosperity of Layer 2 has not brought the expected deflationary contribution to the Ethereum mainnet. The daily average burn amount on the mainnet has significantly decreased, sometimes even falling below a few hundred ETH. Meanwhile, trading volumes on major Layer 2 platforms have surged, resulting in substantial profits.

This phenomenon has raised some concerns: users are migrating en masse to Layer 2, and the mainnet seems to have become a "ghost town". Layer 2 collects a large amount of fees every day, but the "protection fee" to the mainnet is relatively small.

Nevertheless, this issue is not enough to shake Ethereum's position as the world's ledger. The massive accumulation of stablecoins, nearly 100 billion dollars in security guarantees (28% of the supply staked), and the largest DeFi ecosystem globally all prove that capital chooses Ethereum's settlement authority rather than the trading prosperity of the Layer 2 ecosystem.

Recently, the founder of Ethereum seems to have realized this issue and is trying to improve the performance of the mainnet to avoid Layer 2 becoming a hindrance to the overall positioning of Ethereum as the "world ledger."

But in the end, the success or failure of Layer 2 is not directly related to the positioning of Ethereum as a "world ledger." The current emphasis on the "world ledger" is more like an official confirmation of an established fact. EIP-1559 is the historic turning point that marks Ethereum's transition from a "world computer" to a "world central bank."

If we believe that the future dividends of cryptocurrency lie in the integration of on-chain DeFi infrastructure with traditional finance, then Ethereum's positioning as a "world central bank" is sufficient to solidify its status, and the prosperity of the Layer 2 ecosystem is not the key factor.