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Ethereum Faces a Dilemma: Technological Innovation or Practical Application? New Thoughts on the Development of the Web3 Industry
A New Perspective on Ethereum and the Development of the Web3 Industry
Recently, there has been considerable debate in the industry regarding the development direction of Ethereum. As a long-term observer of the Web3 and traditional finance sectors, I would like to examine the current challenges faced by Ethereum and the entire industry from a different perspective.
While the Web3 community is enthusiastic about technological innovation and concept hype, traditional financial institutions and government departments are actively embracing blockchain technology and have made significant progress in practical applications. The "Finternet" concept proposed by the Bank for International Settlements (BIS), as well as major projects like mBridge and Project Agora that it has initiated, highlight the determination of traditional forces in the application of blockchain.
This development trend forces us to reflect: what is the true meaning of large-scale application? In the past few years, the so-called "hit projects" in the Web3 space have mostly been speculative games dressed in the guise of innovation. Is this speculation-driven development model sustainable? Does it truly address the actual needs of users?
In contrast, the payment and financial sectors may be the most promising application directions for blockchain technology. From market feedback, traditional financial institutions' exploration of innovations in payment systems, asset tokenization, and the integration of DeFi with traditional finance is closer to actual demand.
Therefore, for Ethereum and the entire industry, the core issue may be whether we truly understand what valuable applications are. Is it correct to overly focus on technological innovation while ignoring market demand, to be keen on creating concepts while distancing ourselves from practical scenarios?
With the improvement of regulatory frameworks and the standardized participation of traditional financial institutions, the Web3 industry is gradually entering a "compliance new era". In this context, how to achieve true large-scale applications while maintaining innovation, and how to seek a balance between regulation and decentralization, will become key challenges faced by the industry.
In the future, the application focus of blockchain technology may center on areas such as payment innovation, tokenization of physical assets, the PayFi concept, and the integration of DeFi with traditional finance. To achieve breakthroughs in these areas, positive interaction with regulatory bodies and traditional financial institutions will be inevitable.
For Ethereum, how to respond to the competition from emerging public chains while also being wary of the traditional financial forces in the actual application market will be an important topic. Maintaining market competitiveness while ensuring technological innovation requires the joint efforts of the entire ecosystem.
Overall, the Web3 industry needs to reassess its development direction, seeking a balance between speculation and practical applications, and truly create sustainable value for users. Only in this way can the industry move towards a healthier and more meaningful direction.