Ethereum Will Be the Backbone of the New Internet

Loom Network is building our Layer 2 on top of Ethereum, instead of other blockchain platforms — and here’s why.

James Martin Duffy
Jun 4, 2018 · 14 min read

1. Ethereum has an order of magnitude more developers building on it than any other platform — and this gap is widening by the day

Simply put, the number of developers building on top of Ethereum is not only growing — it’s accelerating.

The number of developers using Ethereum’s Truffle Suite each month is not only growing — it’s accelerating.

Why is developer adoption important?

If you don’t have developers building applications on your blockchain, you’re effectively building a ghost town.

I’m not sure what caused Steve Ballmer to go nuts on stage at this conference and create this classic moment in meme history, but I’m including him here to emphasize my point: Developer adoption is everything.

2. Ethereum has better tools and infrastructure for DApp development than any other platform

But let’s go one level deeper.

Still with me? I haven’t even gotten to the core of my argument — we’re just getting started.

3. Ethereum does not sacrifice decentralization

Why decentralization matters

Ethereum can be used by anyone for any purpose, without needing permission from anyone.

NO ONE can stop you from uploading a piece of code into the Ethereum blockchain, and NO ONE can stop your users from executing it.

Yeah, I’m talkin’ about Ready Player One. With true ownership of digital items that cannot be taken away from you, blockchains enable us to do crazy new things in online games and virtual realities — like having virtual avatars that aren’t owned by any company and can persist between worlds.

More centralized platforms don’t have this guarantee

By sacrificing base-layer decentralization in the nearsighted goal of attracting users by increasing throughput, these platforms have ironically undermined the entire motivation for using a blockchain in the first place.

4. It will be impossible to run all the world’s decentralized applications on a single blockchain: Scaling has to occur on Layer 2

Facebook alone needs hundreds of thousands of servers to function. Yet some people think a decentralized Facebook would share one massive blockchain with every other DApp in existence? 🤔

It doesn’t matter if a blockchain can do a thousand transactions per second or a million transactions per second — no single blockchain will be fast enough to handle all the world’s decentralized applications on the same chain.

Scaling has to occur on Layer 2

Sidechains provide higher scalability without sacrificing security

You could run StarCraft on the blockchain. Those kinds of things are possible. High level of security and scalability allows all these various other things to be built on top. Ethereum is a secure base layer that doesn’t have too many features.

~Vitalik Buterin

Ethereum provides a secure base layer for Layer 2 solutions to build on top of

It’s hard to fathom why a developer would want to replace Ethereum instead of simply building on top of it 🤔

“It’s like Ethereum… but BETTER.”

Don’t roll your own Layer 1.

5. New platforms are unproven, while Ethereum‘s security has already stood the test of time

Thousands of aspiring h4x0rs over the past 3 years, trying and failing to find an exploit in Ethereum

Yet again, Ethereum has a massive head start here.

Conclusion: Ethereum isn’t perfect — but at this point, it’s hard to imagine it being displaced as the de facto Layer 1 for decentralized applications

Loom Network

🛸 The blockchain platform of choice for serious dapp developers —

Thanks to 🤖 Robert, Michael Cullinan, and ConsenSys.

James Martin Duffy

Written by

Co-founder at Loom Network. Building scalable blockchains for large-scale online games and social apps 🚀Creators of 🧟‍

Loom Network

🛸 The blockchain platform of choice for serious dapp developers —