Andre Cronje Criticizes Ethereum L2 Solutions for Inflating ETH Supply
- Andre Cronje, founder of Sonic Labs, criticizes Ethereum L2 solutions for prioritizing profits over decentralization.
- Cronje claims L2s generate $120 million in fees but only pay $10 million to Ethereum for data availability and security.
- Ethereum’s supply has exceeded pre-Merge levels, indicating a return to inflation driven by L2s.
- Base, Coinbase’s Ethereum L2, holds over 100,000 ETH, valued at more than $300 million.
- Kabir from Base argues that their operations support Ethereum’s growth and scalability.
Andre Cronje highlights concerns about Ethereum L2 solutions contributing to the network’s inflation by prioritizing profits. Despite these criticisms, Base asserts its commitment to enhancing Ethereum’s scalability and growth.
Source (2.6)https://cryptobriefing.com/ethereum-l2-inflation-issues/?rand=59535
