Ethereum's Decade-Long Reign: Why It Remains Unrivaled

As Ethereum celebrates its tenth anniversary, speculation about its success has been put to rest. The blockchain has already emerged victorious, and its competitors are just beginning to realize it. With a decade of experience in the blockchain space, including his early involvement with IBM and his introduction to Ethereum by Vitalik Buterin, the author is well-positioned to make this claim. The history of technology platforms shows that a single winner often takes nearly all, with examples including IBM's mainframe software, Windows' desktop dominance, and Android's smartphone supremacy. This phenomenon occurs due to zero marginal cost and network effects, making it challenging for new entrants to catch up. Although other blockchains may be technically superior, the best technology rarely wins. Instead, platforms that are 'good enough' for specific use cases tend to gain traction. The internet, for instance, was not designed for voice and video but has become the standard for these applications. The presence of other thriving blockchain ecosystems does not undermine Ethereum's dominance. In fact, the transition to proof-of-stake and the growth of the L2 ecosystem have solidified Ethereum's position. The network's share of the smart contract ecosystem, although initially diminished by the emergence of other chains, has stabilized and is rising again. This pattern is reminiscent of the rise of Microsoft Windows, which became the largest desktop computing platform in 1984 despite facing intense competition. The blockchain ecosystem's structure, with many networks run by foundations rather than corporations, means that there is no exit pressure on those that have not gained traction. As a result, they will continue to exist, releasing minor updates and voicing concerns about Ethereum. The lesson from the world of technology standards is clear: once a leader emerges, it is extremely difficult to dislodge. With this in mind, it is likely that Ethereum will remain the preeminent blockchain ecosystem for decades to come.