Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
And by that, the EEZ overall could become
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
Yeah, significantly bigger than Ethereum today.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
So kind of just as a rough idea, if you just look at DEX trading volume, then roughly 50% today are on Ethereum and 50% are on the Layer 2s combined.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
So yeah, by that metric, you would already double the kind of liquidity trading volume.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
Yeah, so actually, I think it was at also your Bankless Summit for one and a half years ago, last DEF CON, where I think Eric Wall gave a talk about trying to build an application on Ethereum Layer 2s.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
And it was kind of impossible because he wanted NFTs and he wanted to use the NFT from one chain on or from one Layer 2 on another Layer 2.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
And
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
Basically, that was more or less impossible to build and that is more or less impossible to build today.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
But yeah, so basically just echoing that goes beyond the financial use cases, everything where you need composability, yeah, those things will become, again, much easier.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
Yeah, I would say, yes, that is correct.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
On the other hand, to make it work, there's still... So there is the... There will be some coordination effort needed.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
So essentially...
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
Let's start with one chain.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
So you are one chain and you want to have the synchronous composability with Ethereum.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
Then essentially you are doing a transaction that might affect Ethereum and your chain.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
So again, that needs to be tightly coupled.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
And the way Ethereum blocks are produced nowadays is mainly through builders.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
Now,
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
There can be, of course, conflicting transactions.
Bankless
Will The Ethereum Economic Zone (EEZ) Rebuild $ETH Dominance? | Gnosis Martin Koppelman & Friederike Ernst
So let's say there's an Ethereum kind of regular L1 transaction that touches a specific liquidity pool.