Author: Nuffle Labs CEO Altan Tutar, CoinDesk; Compiled by: Deng Tong, Golden Finance

In the past year, the number of users attracted by the encryption industry has increased exponentially, with monthly active addresses rising from 70 million in 2023 to more than 220 million in 2024, a tripling of growth. With more than 300 chains currently online, the ecosystem should be able to meet the needs of users. Sustainably engage all types of users. However, within this vast ecosystem, much of the activity and liquidity is locked within multiple Ethereum layer 2s.

In its current state, Ethereum is reminiscent of Europe in the early 1500s, which experienced breakthroughs such as the printing press and advanced shipbuilding that enhanced resource management. Today, Ethereum’s thriving DeFi ecosystem is equipped with primitives such as lending, staking, and re-staking. However, just as Europe faces challenges of resource scarcity and overexploitation, Ethereum also faces obstacles in allowing other assets to function in their homeland (Layer 1).

As a result, the current blockchain ecosystem remains frustratingly fragmented. While chain abstraction has become a trend with many projects making progress, solutions like Intent often involve orderers that favor large players when filling orders between blockchains, leading to centralization. Furthermore, no additional utilities are created for users, as most solutions focus on simply exchanging assets.

Despite an impressive technical foundation, we have created an environment where digital assets are constrained rather than empowered. Top blockchain resources such as Ethereum are underutilized and restricted by strict architectural boundaries.

To achieve true interoperability by 2025, we must take a step back and re-look at blockchain modularity from a completely new perspective.

The common metaphor comparing blockchain to “Lego bricks” oversimplifies the complex technology landscape. Unlike unified building blocks, blockchain components are complex systems with specific dependencies and complex interoperability challenges.

Consider a practical scenario: transferring assets between different blockchain networks should be simple. However, current solutions, such as basic token swaps, offer few features. The technology requires a more nuanced and sophisticated approach.

Emerging technologies are changing that narrative. Advances in universal messaging alternatives and transaction finality are creating a more organic, unified ecosystem. The ultimate goal is not just to connect different parts, but to create an infrastructure that allows different networks to collaborate easily.

Looking ahead to 2025, I foresee a two-pronged approach to addressing current and future fragmentation issues. To attract users and build a sustainable user base, infrastructure should be integrated intoview so that users can focus on the application itself without getting bogged down in the technology behind it.

Currently, users are unable to optimally utilize their assets as complex bridging solutions prevent them from easily transferring assets across chains. Instead, we need to provide users with a way to maximize their benefits while contributing to the ecosystem. This can be achieved by giving token holders the freedom to move their assets from one chain to another without the need for bridging through solutions such as restaking. This is an area of ​​growing interest for users as restaking expands beyond Ethereum connecting multiple layer 1 and layer 2 networks.

The project will focus on enhancing and interconnecting existing infrastructure rather than fragmenting the ecosystem with new, competing blockchains. This approach will breathe new life into currently dormant chains, drive activity and create real value.

In addition to improvements to the underlying infrastructure, user experience will also become a focus. We will see applications seamlessly integrate blockchain capabilities, and users will interact with complex technology without being aware of its complexity. Infrastructure will become invisible – a powerful backend that complements a smooth front-end experience without technical friction.

While 2024 marks the year of widespread acceptance of the industry, as evidenced by increased investment in assets like Bitcoin, true adoption requires an inclusive vision. We should not only build financial instruments, but create a global marketplace where everything is connected so that every asset can reach its highest potential.

The future of blockchain is not about each chain competing for dominance. It’s about creating a collaborative, fluid infrastructure that empowers users to realize their economic potential by building the future of how money and value operate.