Is Ethereum facing market skepticism due to corporate illness and narrative inconsistency

Bijie.com reported:
“Narrative excess” itself is the natural outcome of the market, and narratives will change, but they will always exist.
Author: Haotian
I disagree with the notion of “Ethereum as a big corporation” and the claim that narratives are virtual. Here are some perspectives to consider:
1) Ethereum is an experimental product of decentralized governance in the crypto industry. It is not controlled by centralized companies or organizations. Developers, researchers, node operators, ETH holders, and others from around the world participate in and contribute to Ethereum.
The collaborative nature of open-source code, the community-driven decision-making process, and the transparent governance mechanism are expected to surpass any centralized organizational structure in the long run, despite the slower efficiency. Ethereum aims to solve the “centralized company disease,” so it is unlikely to suffer from the “big corporation disease” before fulfilling its mission.
If Ethereum truly fails, the choice for a decentralized architecture would be to embrace “forking” and let it die, as there will always be a more powerful new “Ethereum” emerging. The fact that Ethereum is the center of the entire crypto world is sufficient to illustrate the point.
2) From a public chain technology perspective, Ethereum has smoothly transitioned from proof-of-work (PoW) to proof-of-stake (PoS) in the past few years. It has gone from sharding strategies to the eventual implementation of a rollup-centric core strategy, and will continue to follow the roadmap. The security, stability, and engineering quality delivered throughout this process have met expectations. The shift from sharding to rollup is also a result of market trends.
The problem lies in the fact that the technological iteration of public chains cannot resonate with market cycles. There is a disconnect between infrastructure development, application implementation, and the pace of market profitability. While Layer 2 is affected by mainnet gas fees and bandwidth performance, even with the successful Cancun upgrade, it has not brought about the expected prosperity of Layer 2. Ideally, Layer 2 would see exponential growth with the emergence of multiple chains, and Ethereum could achieve deflationary effects through “taxation” and “gas burn.”
However, the reality is that the barrier to launching chains has lowered, and the narrative of RaaS (Rollup-as-a-Service) has fermented. The ideal mass adoption is still far from being realized. Frankly speaking, this has already gone beyond the confines of Ethereum’s technical framework.
The NFT FOMO frenzy in 2021 brought dividends to Ethereum. Objectively speaking, it was a market effect generated by the emergence of decentralized architectures and was not directly driven by Ethereum’s “core” developers.
3) “Narratives” are the evolving development context and derivatives of business thinking layered on top of technology.
For example, the narrative of Restaking came about with the emergence of the @eigenlayer protocol, and the modular narrative came with the @CelestiaOrg DA chain. The narrative of ZK-Rollup emerged with the advent of @Starknet.
In the future market, the charging of the @ParticleNtwrk chain might bring about a fascinating narrative of “chain abstraction,” and the unified liquidity and trust ecosystem that underlying protocols like @ProjectZKM aim to build could eliminate the boundaries of blockchain. There are numerous topics of “narratives.”
Objectively speaking, “narratives” are the result of an excess of developer forces and FOMO from hot money. Narratives allow room for imagination in technology, although “narrative excess” may give a sense of being detached from reality. However, “narrative excess” itself is the natural outcome of the market, like blowing bubbles. Narratives will change, but they will always exist.
In other words, without the narrative that attracts all the “resources, talents, and funds,” the appeal of not participating in FOMO would be lost, and it would be better to stay in the enclosed Web 2 without the burden of being associated with scams. Of course, memes are also a form of narrative, but if the market bears a negative outlook on all narratives that have a building process and underlying business logic, the existence of memes would lose any fundamental basis.