Why decentralization may surpass speed in DeFi’s next chapter
The post Why decentralization may surpass speed in DeFi’s next chapter appeared on BitcoinEthereumNews.com.
The following is a guest post and opinion from Michael Egorov, Founder of Curve Finance. As DeFi edges closer to mainstream finance, it must balance neutrality, security, and throughput. In 2025, that balance is increasingly defined by two competing architectural visions. The evolution of DeFi has always hinged on one core question: what kind of infrastructure do we want to build the future of finance on? As the space matures and edges toward integration with global financial systems, the urgency of this question only intensifies. In 2025, this decision is no longer purely technical. It’s a contest between two visions: Ethereum’s modular, decentralization-first stack and Solana’s high-performance, monolithic approach. The outcome will help determine what the next phase of blockchain-based finance looks like—and shape the architecture of tomorrow’s global financial systems. In this article, I share my perspective on how both networks are positioning themselves for the future, and which is more likely to emerge ahead in the long run. Ethereum: The Foundation of Serious DeFi Ethereum is more than just a blockchain—it’s the bedrock of modern DeFi. It’s where secure, composable applications can thrive and where long-term financial infrastructure is being built. Institutional players turn to Ethereum when they want to tokenize assets with confidence, and capital flows here for security. The fact that over 55% of total value locked (TVL) across major chains resides on Ethereum attests to its dominance. Unlike Solana’s one-size-fits-all Layer 1, Ethereum has embraced a modular scaling approach. Layer 1 remains the core foundation, while Layer 2s handle specific workloads such as micro-transactions or gaming, avoiding congestion on the main chain. This structure preserves decentralization while enabling scale. With the rollout of Proto-Danksharding in early 2025, Layer 2 transaction costs have dropped significantly—cementing Ethereum’s lead in modular architecture. That said, Ethereum’s model has trade-offs.…
Filed under: News - @ July 13, 2025 11:21 pm