Fast Facts
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Hoskinson’s Concerns: Cardano founder Charles Hoskinson raises doubts about Ethereum’s survival over the next 10-15 years, citing fundamental flaws in its accounting, virtual machine, and consensus models.
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Layer 2 Critique: He describes Layer 2 solutions as "parasitic," arguing they fail to resolve core scalability issues and detract value from the Ethereum main chain.
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Comparative Collapse: Hoskinson parallels Ethereum’s potential decline to early tech failures like Myspace and Blackberry, predicting internal conflicts and user migrations to other platforms.
- Current Performance & Future Upgrades: Despite a rocky start in 2025, Ethereum is set to implement Pectra and Fusaka upgrades aimed at improving scalability and efficiency, with recent price movements hinting at potential recovery.
Charles Hoskinson Questions Ethereum’s Long-Term Viability
In a recent ask-me-anything session, Cardano founder Charles Hoskinson raised concerns about Ethereum’s future. He suggested that this leading blockchain network might not survive the next decade. While Ethereum boasts the highest total volume locked (TVL) in the industry, Hoskinson listed three critical flaws in its structure.
He pinpointed issues with the accounting model, virtual machine, and consensus model. According to Hoskinson, these flaws contribute to Ethereum’s current economic struggles. He characterized Layer 2 (L2) solutions as “parasitic,” claiming they fail to address Ethereum’s scalability problems. Instead, they siphon value away from the main chain.
To rectify these issues, Hoskinson believes Ethereum must change its governance and tokenomics. However, he warned that achieving this might trigger a “very hostile divorce” among its community. By comparing Ethereum’s situation to that of outdated tech giants like Myspace and BlackBerry, he highlighted the risks of being outpaced by competitors. He stated, “I don’t think Ethereum will survive more than 10 to 15 years.”
As Ethereum grapples with internal challenges, users might start moving to alternative platforms. Hoskinson noted that Bitcoin’s decentralized finance (DeFi) ecosystem could eclipse Ethereum’s TVL in the coming years.
Experts have scrutinized Ethereum’s struggles in 2025. Analysts pointed to high gas fees, regulatory uncertainty, and diminished institutional interest. Some share Hoskinson’s view that L2 networks like Arbitrum and Optimism could weaken Ethereum’s economic model.
Despite these challenges, enhancements slated for this year—namely, the Pectra and Fusaka upgrades—aim to improve the network’s performance. These changes promise to address long-standing congestion problems, making transactions more efficient.
In recent trading, Ethereum’s price rose from $1,500 to $1,815. As of now, the price stands at $1,743, reflecting a 9.3% increase over the past week. This uptick suggests potential momentum for Ethereum, exceeding the broader crypto market’s gains.
As developers and users continue to evaluate Ethereum’s potential, the blockchain landscape remains dynamic. With innovative upgrades and shifting user preferences, the future of cryptocurrencies like Ethereum is still very much in play.
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