Coinbase exec says major Ethereum scaling improvements coming soon

Coinbase main merchandise serviceman Surojit Chatterjee is the latest to people his predictions for the crypto manufacture successful 2022, and helium foresees large advances successful the scaling of Ethereum.

Industry leaders, analysts and investors person been sharing their 2022 predictions for the crypto ecosystem, and Coinbase’s Chatterjee is assured that Ethereum volition beryllium astatine the forefront of Web3 and the crypto-economy arsenic it scales.

The CPO shared his predictions successful a institution blog post connected Tuesday successful which helium stated that Ethereum’s scalability volition improve, but alternate layer-one networks volition besides spot traction.

“I americium optimistic astir improvements successful Eth scalability with the emergence of Eth2 and galore L2 rollups.”

He added that newer layer-one networks focused connected gaming and societal media volition besides emerge. Chatterjee predicts that scalability volition beryllium vastly improved by advances successful layer-oneto-layer-two bridges, adding that the manufacture volition “desperately question improvements successful velocity and usability of cross-L1 and L1-L2 bridges.”

These bridges alteration tokens to beryllium moved from a layer-one network, specified arsenic Ethereum, to a layer-two network, specified arsenic Arbitrum, and vice versa.

Referring to scaling technologies, the CPO specifically mentioned zk-Rollups, stating that they volition “attract some capitalist and idiosyncratic attention.” Zero-Knowledge scaling “rolls up” transactions information successful batches for much businesslike processing connected Ethereum’s furniture one.

Firms specified arsenic Matter Labs have advanced successful leaps and bounds successful 2021 with the improvement and deployment of its rollup-based zkSync layer-two platform.

The layer-two ecosystem has undergone monolithic enlargement successful 2021 with a surge successful adoption for each large platforms. According to L2beat, which tracks layer-two ecosystems, the full worth locked surged by astir 11,000% implicit the past twelvemonth from astir $50 cardinal successful January 2021 to $5.5 cardinal by the extremity of the year.

Related: Even with Ethereum 2.0 underway, L2 scaling is inactive cardinal to DeFi’s future

Chatterjee predicted that determination volition beryllium much privacy-focused applications emerging, but this could pull much regulatory attraction as more Know Your Customer and Anti-Money Laundering restrictions are enforced.

“We’ll spot caller privacy-centric usage cases emerge, including privacy-safe applications, and gaming models that person privateness built into the core.”

Other predictions helium made see much regularisation industry-wide, larger organization information successful decentralized concern (DeFi), the emergence of much DeFi insurance, greater marque engagement successful metaverses and nonfungible tokens, and Web2 companies scrambling to get into Web3.