The cryptographic landscape used to be dominated by protocols developed atop of major blockchains like Ethereum. More recently, however, we’ve seen multiple novel blockchains appear, among them even so-called layer-2 networks that are structured atop Ethereum itself. A recent illustration of this shift is the launch of the Sei network, which boasts an impressive optimization for speed, and to suit trading applications. Alongside it, the meme-obsessed Shiba Inu crypto community has rolled out its own new blockchain, Shibarium. Despite the air of excitement, these launching endeavors don’t always go down without a hitch.
Look at the case of EigenLayer, a trailblazing protocol tipped to spark a significant technological occurrence with “restaking” – a new way to ensure security in blockchain projects. The advantages seem clear: the ability to effortlessly utilize Ethereum’s security apparatus. However, concerns exist that this practice could set off unsolicited side effects. Even Ethereum’s co-founder, Vitalik Buterin, has cautioned about potential systemic risks.
Then we have the new kid on the block: Sei. Fresh out the gates, its native SEI token achieved over $1 billion in trading volume in record time after listing on exchanges like Binance and Gate.io. But its reception wasn’t all rainbows and sunshine. Early adopters were expecting an immediate airdrop of reward tokens and were left questioning and complaining when these rewards were not immediately forthcoming.
As an antidote to transaction fees, the Shiba Inu blockchain community has launched its new layer-2 blockchain, Shibarium, structured atop Ethereum. In theory, SHIB token’s price should get a boost from this, but the launch did not go smoothly. Several users reported issues with asset bridging, and transactions on the new network stalled for at least five hours, deflating some of the grandeur around the event.
Finally, there is the crypto exchange behemoth, Binance. Despite being the largest crypto trading platform in the world, it decided to shut down its payment service, Binance Connect, after only a year of operation. A response to changing market conditions and user needs, the firm says. Just goes to show, even the giants of the crypto world face upheavals and adjustments.
The takeaway? As exciting as the blockchain future is, it’s also a field filled with potential hitches and bumps along the road. To thrive in this arena, one needs to be prepared to continuously adapt and reassess strategies, while remaining open to shifts and turns, both anticipated and unforeseen. Investing in these technologies and markets requires a pragmatic yet also resilient approach, particularly in these early and volatile days.
Source: Coindesk
