At the recent Bankless Summit, Matthew from mteam and Spire Labs delivered a thought-provoking session titled "Based Rollups ❤ ETH: You’re Not Bullish Enough," challenging attendees to rethink Ethereum’s role in the blockchain ecosystem and its potential for unparalleled value accrual.
The Evolution of Value Accrual in Ethereum
The presentation began by tracing Ethereum's value accrual journey, starting with gas fees and EIP-1559, which introduced a deflationary mechanism by burning a portion of transaction fees. Moving forward, the focus is on EIP-4844 ("proto-danksharding") and its introduction of "blobs" for scalable data availability. Matthew also hinted at future innovations like an MEV burn, suggesting that Ethereum could further align network incentives and bolster ETH's value.
Restaking was discussed as an emergent service that strengthens Ethereum’s utility by leveraging staked ETH for additional economic activities, though its true impact remains a topic of debate.
Ethereum as the Ultimate Sequencer
One of the talk’s boldest assertions was that Ethereum is not just a blockchain but the best Layer 2 (L2) sequencer. By acting as a secure, neutral platform for rollup sequencing, Ethereum enables massive composability and sovereignty within its ecosystem. This "sequencing" role amplifies the network effects already inherent in Ethereum’s design.
The Power of Network Effects
Matthew emphasized the network effects Ethereum enjoys, including:
- Stablecoins: A dominant share of decentralized stablecoins operating on Ethereum.
- TVL (Total Value Locked): Robust DeFi activity anchored by Ethereum.
- Developers and Innovation: A thriving community pushing the boundaries of smart contract capabilities.
- Global Reach and Native Asset: ETH stands out with permissionless properties, a sound issuance policy, and global appeal.
These factors collectively drive sustainable value accrual, solidifying Ethereum’s role as the backbone of decentralized finance and application ecosystems.
Based Rollups and the Infinite Garden
The session introduced the concept of "Based Rollups," which include pioneering projects like Taiko, Surge, Spire, and others. These rollups leverage Ethereum’s strengths while fostering composability and sovereignty. Matthew argued that appchains, once thought to fragment ecosystems, are evolving into a model where sovereignty and composability coexist harmoniously.
By positioning Ethereum as the platform for infinite games—systems designed for long-term growth rather than finite competition—mteam paints a future where Ethereum continues to thrive as a global, neutral settlement layer.
Why It Matters
Ethereum is uniquely positioned to capture value sustainably through its unmatched ecosystem, innovation, and adaptability. With its role as a sequencer and the ongoing development of Based Rollups, Ethereum’s network effects only strengthen, ensuring it remains a central player in the blockchain space.
The talk closed with a rallying cry to “stay based,” urging builders and enthusiasts to recognize the unparalleled potential of Ethereum and its native asset, ETH.
This session was a call to action for the Ethereum community: to look beyond short-term trends and embrace the infinite possibilities of the Ethereum ecosystem. Stay based.