Short comment: Why is the price of layer2 project long-term weak?

This article does not constitute any investment advice, investment is risky, and you need to be cautious when entering the market!

I saw many layer2 projects, such as RDN, LOOM, CELER and other famous projects, the price has not risen for a long time, the transaction is very low, the pull can not pull up, I think there are two important reasons.

1 , the essence of the layer2 project is that no tokens are needed.

Various layer2 projects do not need to use the currency, but only rely on the original token of the main chain to operate normally. Such artificially produced tokens are not supported by strong demand. 0x is a typical example, do not use 0x their own tokens to do the fee, each node is also running normally.

2 , layer2's imagination is very limited

Vitalik gave a speech at the Deconomy conference in Seoul on the 5th and shared the progress of the Ethereum 2.0 development. He said that Ethereum recently released a 2.0 version of the test network. According to the progress, you can see the Ethereum of shards and POS in 2020, and the transaction speed and user experience will be greatly improved.

At the same time, many high-performance chains such as TT, EOS, MTV, ZIL, QKC, etc. have been released or planned to release the main network this year. In fact, the transaction speed is generally high, and there is no need for layer2 support, which can satisfy existing users. demand.

In other words, as the layer2 technology of the blockchain compromise solution, the track advantage has only been more than a year. If the user and the ecology do not come up in this year, it will be eliminated by the rapid development of the backbone technology.

So, are you willing to bet a layer of future mainstream after one year?

About the author: East of Beijing, public number: bjzdblockchain. Micro signal: beijingzhidong. Senior blockchain investor, engaged in technical research work.

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