Ethereum L1 is asserting its core position in the context of multi-layered blockchain

The blockchain technology landscape is experiencing a major structural shift: while Layer 2 solutions are thriving, Ethereum L1 (mainnet) is increasingly becoming the focal point of the DeFi ecosystem. This shift reflects a deeper understanding of the strategic role of L1 in modern blockchain architecture.

Independent Blockchains Converge on Ethereum L2

A notable trend is that independent blockchains are choosing to transition to an Ethereum Layer 2 model. Projects like Ronin, Celo, and Phala have announced plans to become independent L2s, leveraging the security strength of the Ethereum mainnet instead of maintaining their own consensus mechanisms.

This decision marks a strategic turning point: rather than competing directly with Ethereum, these blockchain networks see greater value in building on the Ethereum platform. By becoming L2s, these projects can access Ethereum’s massive liquidity and large developer community without the burden of maintaining entire separate blockchain infrastructures.

Leading DeFi Protocols Restructure Around Ethereum L1

However, while L2s are expanding, the largest DeFi protocols continue to focus their resources on Ethereum L1. Synthetix and Aave—two giants in decentralized finance—are increasing investments and activity on the mainnet, reaffirming their belief in the long-term importance of L1.

Kain Warwick, founder of Synthetix, has repeatedly emphasized Ethereum L1’s irreplaceable role as the primary liquidity hub and the platform for the most significant technological innovations. This indicates that DeFi leaders view L1 not just as a transaction processing network but as the foundational layer of the entire ecosystem.

L1: The Fundamental Payment Layer for the Entire Crypto World

An increasing number of voices recognize Ethereum L1 as the “payment layer” for the entire cryptocurrency space. As Ethereum’s modular architecture allows L2s to develop independently and competitively, L1 remains the secure anchor point—where core liquidity is concentrated and security is assured.

This positioning is profoundly meaningful: L1 provides ultimate immutability and security, while L2 handles high transaction volumes at lower costs. This two-layer structure enables Ethereum to scale its processing capacity without sacrificing core security.

Recent events—from independent projects transitioning to L2 to leading DeFi protocols continuing to grow activity on Ethereum L1—all point to the same conclusion: Ethereum remains the backbone of Web3, with L1 as an indispensable foundation, and Layer 2s as essential additions for scalability.

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