Quinn Thompson says Ethereum is "completely dead." Okay, ouch. As someone who has a lot of skin in the game, I truly understand that gut punch. You probably do too. Nothing worse than hearing a hedge fund CIO pronounce a project you’re passionate about (and possibly put your own money into) as dead on arrival. That's not exactly a confidence booster. It's okay to feel frustrated. It's okay to question your investment.

Before we all start writing eulogies, let us pause and calm down. Is Ethereum truly six feet under? I don't think so.

Is This the End of Ethereum?

Thompson looks to the metrics that have gone flat – active addresses, transaction per block, you know the drill. That’s fair – he is indeed right that these numbers aren’t necessarily out-and-out hypergrowth. Then there's the L2 labyrinth, staking complexities, and DAOs that, let's be honest, can feel more like insider clubs than decentralized utopias.

Here's the thing: growth isn't always linear. Like a caterpillar turning into a butterfly, we’re going to go through some changes. It passes much of its life in a chrysalis, inert to the average observer, until its metamorphosis unfurls. Ethereum is in its chrysalis phase. We get it—it’s cluttered, it’s chaotic, it’s daunting even, and to be honest, it perhaps comes off as a bit…dead.

The argument that high ETH prices suppress demand, thus driving users to L2s and other L1s, is somewhat valid. It’s similar in concept to a cool new restaurant getting too busy and raising prices—customers eventually begin seeking out cheaper (but possibly less fulfilling) substitutes.

Does that mean the restaurant’s obituary is warranted? No. That could mean it needs to change its menu, provide more bang-for-the-buck, or get creative in winning customers. That recalibration is just what the doctor ordered for Ethereum.

Greed and Token Creation Undermining Value?

Even anti-ETF peddler Nic Carter blames “greedy” L2s and too much token minting. He says Ethereum was "buried in an avalanche of its own tokens." As scathing criticism goes, that’s pretty damning — but is it justified?

Maybe. This is why many people think some L2s are riding the coattails of the root chain. They’re just enriching themselves while ETH holders pay the cost. That’s a bit like a parasite enjoying the health of its host. And the proliferation of tokens? It might seem like everyone is after a piece of the action. They routinely go to great lengths to accomplish these priorities, sometimes at the expense of reducing overall value.

Here's where I disagree: blaming L2s entirely is like blaming Uber for the decline of taxi companies. Technology evolves. Solutions emerge. So the question isn’t if L2s should exist, it should be how can L2s coexist and help contribute to a healthy Ethereum ecosystem.

This is not only about statistics on a computer. It’s all about the real people, real projects driving this movement forward, and what it all means for a more decentralized, democratic, connected future. Developers are flocking to build on Ethereum. Businesses are adopting it. Artists are embracing NFTs. Are we really going to throw all of that away because some metrics aren't looking as rosy as we'd like?

Demand Transparency; Advocate for Solutions!

This isn't the end. It’s an opportunity—to rebuild, to refine and to refocus. Thompson’s “death” announcement, though unsettling, is like a physician coming into the exam room with a blunt prognosis. It’s a call to action, not a burial ground.

So, what can we do? How do we make sure Ethereum doesn’t end up being a cautionary tale.

  • Demand Transparency: We need more transparency from developers and DAO members. What are the long-term plans? How are decisions being made? Where is the value flowing?
  • Support Sustainable Solutions: Advocate for L2 solutions that benefit the entire Ethereum ecosystem, not just a select few.
  • Engage in Constructive Dialogue: Stop the infighting and start collaborating. Let's have respectful debates and work together to address the challenges facing Ethereum.

Don’t sit idly by and allow the “Ethereum is dead” narrative to engulf Ethereum. Get involved. Now go out there and advocate for the bicycle-friendly changes you want to see. Support the projects you believe in.

The reality is, Ethereum’s future isn’t set in stone. Yet it is entirely up to us – the community – to decide how to shape it. And I, for one, am not quite ready to write its eulogy just yet. As they say in the movies, I genuinely feel like the best is yet to come. Let’s Internalize these Phase 1 Growing Pains and Make a Change!

Because the truth is, Ethereum's future is not predetermined. It's up to us – the community – to shape it. And I, for one, am not ready to write its eulogy just yet. In fact, I believe the best is yet to come, provided we learn from these growing pains and act accordingly.