In the value narrative of Ethereum, it is not suitable to use traditional web2 companies' DCF or anything like REV. Once it falls into the narrative trap of profits or revenues, it instantly turns Ethereum into a web2 company. Ethereum is not a web2 company; it is a decentralized on-chain network, a new species distinct from web2 companies.

Once it is compared with web2 companies, it becomes completely confusing, and its unique characteristics are entirely overlooked, entering a vague phase that requires self-justification. Once anything requires self-justification, it falls into a meaningless quagmire, which is completely detrimental to the valuation narrative of Ethereum and is inappropriate. Ethereum is a new species that needs to be viewed from a new dimension.

So, what is Ethereum's most important value narrative? Returning to the foundation of why the crypto field exists, it is the most challenging part and also the deepest moat: security based on decentralization. Why is it the most challenging? This decentralized security construction requires not only technology but also consensus, supporting infrastructure development, and a long period of accumulation. The longer the reliable time, the greater the value (not a downtime chain / rollback chain / frozen chain). This is different from traditional web2 companies; no matter how large a web2 company is, once there is a change in market demand or the emergence of new technologies, it may be replaced. Like Kodak in the photography industry and Nokia in the mobile phone industry in history. But in the web3 field, the threshold for building decentralized networks is extremely high. Once constructed, it will create an extremely high moat. This cannot be solved with money, and as time goes by, the proportion of security factors becomes increasingly high. More importantly, Ethereum is not about doing specific business; it is a foundational platform that provides services for products or market demands. It is neutral, which means that the user needs and market are changing, and technology is changing. As long as its foundation (decentralized security) is there, it remains. Its ultimate goal is to be like water: tasteless, bland, without passion, yet omnipresent.

From this perspective, whoever can carry the largest assets, their security value is higher, and their moat is the deepest. Once a certain critical point is reached, there is an opportunity to become a new platform that carries assets worth hundreds of trillions of dollars. It is hard to imagine that institutions and companies would build their financial products or services on a downtime chain or frozen chain.

As the most fundamental neutral financial infrastructure (in stark contrast to the potential weaponization of traditional SWIFT), it will become a new species that has never appeared in human history.

@VitalikButerin @tkstanczak @dankrad @ethereum @sassal0x @RyanSAdams @TrustlessState

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