The rise of crypto perpetual futures has led to a surge in trading activity, with Ethereum's layer-2 networks playing a crucial role in supporting this growth. Despite initial limitations, Ethereum's security-first architecture and expanding DeFi ecosystem have made it an ideal settlement layer for perpetual trading. However, the need for fast and low-cost transactions has driven the development of purpose-built chains like Hyperliquid and Solana, which have gained popularity among traders. Meanwhile, Ethereum's layer-2 networks, such as Arbitrum and Base, have become a compromise, offering improved trading performance while preserving Ethereum's security.
As institutions begin to take notice of onchain derivatives, the focus is shifting from execution speed to settlement, custody, and predictability. Ethereum's role is evolving to become the settlement and collateral layer that underpins the perpetual markets, with its layer-2 ecosystem and broader DeFi infrastructure providing the foundation for programmable markets.