Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst

Bullish:

• $ETH - The Ethereum Economic Zone (EEZ) will create synchronous composability across L2s, increasing demand for ETH block space and strengthening Ethereum's position as the canonical source of truth.

  • “everything that kind of pulls economic activity onto L1 or kind of into the L1 adjacent domain is both good for block builders and validators”

    Friederike·30:48

  • “in this world, essentially every l two user has the option at any time to to do a transaction that also uses l one, liquidity. And and if there's enough interesting things on l one, which they usually are or still are, then then the expectation would be that, let's say let's say there are 200 l two transactions in a 12 in a twelve second time, then at least a couple of those, three, four, five, ten, will actually also want to access l one state. So definitely much more, yeah, much more, ultimately, but transaction fees and, yeah, MEV or kind of just economic relevance of of building those, l one blocks”

    Martin·32:47
• $LAYERTWO - Smaller, specialized L2s will benefit most from the EEZ as they can access Ethereum's liquidity without having to replicate all infrastructure, allowing them to focus on their niche.

  • “I think to some extent, it will probably be the somewhat smaller ones that start first because they have more to gain”

    Martin·41:19

  • “for them, it will be the initial incentive will be much bigger because finally, they don't have to, I don't know, kind of incentivize liquidity for this pair that were naturally liquidity would just not be there or or kind of get an Oracle protocol. For those things, could basically just say, fine. We have here our niche, and if you need anything else, you can easily get it from from from Ethereum”

    Martin·42:03