Bitcoin still remains the top crypto project in space. It is no secret, however, that Ethereum is involved in rapidly advancing cryptocurrencies. The use of Ethereum’s decentralized finance (DFI) is a major contributor behind this space as investors come to the blockchain to earn a return on their crypto holdings. This gave birth to the popular Layer 2 solution like Polygon.
Recently, Polygon’s co-founder and COO Sandeep Nailwal was at Cointelegraph to talk about the future of the main smart contract blockchain. Ethereum is the number 2 level 1 blockchain, just behind Bitcoin. And Neilwall believes it’s only a matter of time before blockchain takes over as the top layer 1 protocol. He credits it for the various reasons and differences between the two blockchains.
Related Reading | More than $ 5 billion in bitcoin and etherium has been removed from the cold wallet in China’s crackdown
Defy space is moving fast
During an exclusive interview with Cointelegraph, the COO explained the reasons for adopting Etherium from Bitcoin as the leading Level 1 protocol. Neilwal cited the increase in DFI space as a major push for this acquisition. This is because most of the decentralized financial activities were conducted in the etherium, which made it the “final settlement level”.
Its popularity has pushed ETH to become more valuable as a blockchain which puts it in a position to directly surpass the top cryptocurrencies. “Sooner or later, ETH will surpass Bitcoin and become a global standard,” the COO said. Nialwall noted that scalability will play a big role in the long-term success of the polygon blockchain with the solutions it provides.
Related Reading | Crypto analysts say the Ethereum market is a “ticking time bomb”, here’s why
More than beating Bitcoin to the top, the co-founder revealed that the blockchain couldn’t actually exist 10 years from now. This is in case of limited use and the COO believes that if Bitcoin is to survive in the future, it needs to provide more functionality than being a medium of exchange and investment.
Etherium filtering out noise
Over time, several projects have emerged from woodworking that compete with Ethereum for DFI attention. Referred to as “ETH killers”, these blockchains have risen to take market share from top DFI platforms. Solana is at the forefront of this competitive movement and has grown exponentially as it moves against Ethereum.
ETH price rebounds above $3,200 | Source: ETHUSD on TradingView.com
Despite the growing popularity of other Layer 1 solutions, the co-founder of Polygon does not believe that there is a blockchain that can occupy Ethereum. Layer 1 Solutions has retained most of the market share despite the rise of its competitors.
Etherium will likely retain the top spot in the market for the foreseeable future. And with evidence of a partnership set to come to the blockchain next year, ETH will dominate both DFI and crypto space.
Chart from TradingView.com