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Four key benchmarks that Ethereum hopes to achieve in the coming years were outlined by Vitalik Buterin in a speech in Shanghai. Ethereum's future and position as a top smart contract platform is expected to be shaped by these important achievements.
A more scalable network
The initial goal is to exceed 100,000 transactions per second via a layer 2 solution. Processing a large number of transactions greatly increases Ethereum's scalability, making decentralized applications (dApps) much more efficient. To do this, L2 technologies such as rollups are essential, and as these technologies continue to evolve, Ethereum could reach new levels of adoption.
Sub-second cross-chain transfers are the focus of the second goal. As Ethereum approaches a seamless multi-chain ecosystem, Buterin emphasized the importance of improving the user experience where cross-chain transactions become nearly instantaneous. Additionally, this reduces the complexity that users currently encounter when navigating multiple chains.
related
Ensuring a uniform user experience across the ecosystem is the third benchmark. Buterin pointed out that despite Ethereum's great strides, improvements in security and ease of use are still needed to interact with the ecosystem. For example, cross-chain operations can be costly if mistakes occur. Ethereum wants to simplify and improve cross-chain operations by introducing new standards such as the ERC-7683 protocol.
Improved security
Finally, Ethereum Virtual Machine (EVM) is subject to cross-chain security. According to Buterin, having robust cross-chain security is paramount. Cross-chain security is essential for Ethereum’s long-term success, especially given the growing number of decentralized apps and protocols that rely on Ethereum.
In the long term, these trends could have a significant positive impact on Ethereum price by promoting bullish sentiment. Incorporating these technologies will enhance Ethereum's functionality and overall user experience, making it increasingly attractive to developers and institutional investors.
We could see some short-term volatility as Ethereum continues to encounter resistance such as the $2,800 mark (as shown on the chart). However, reaching these benchmarks could push Ethereum's price much higher than it currently is, securing its dominance in the blockchain industry.
