Discussion: Does Ethereum Need a New Narrative?

Prompt

Does Ethereum need a new narrative? If so, what is the failing of the current narrative(s), and what does a new narrative framing look like?

Primer

The top assets in crypto tend to have a single overarching narrative that succinctly captures the prevailing investment thesis and vision of the asset. Bitcoin has its store of value thesis. Celestia has its modularity thesis. Solana is the fast chain. Ethereum, the world computer, and so on. While reductive, the simplicity and grandiosity of these narrative associations serve as effective marketing and investor acquisition tropes – particularly for crypto projects whose utility is often opaquely shrouded in technical jargon and hand-wavey promises.

Without a unified narrative association, an asset can fail to capture new speculators and retain old ones leading to waning price action. These narrative associations come and go as the technical realities of a project finally overshadow the once illuminating narrative. The best assets are able to reinvent themselves and find utility (or perceived additional utility) within a new narrative. The best example is bitcoin. In the 2017 and prior bull markets, bitcoin was largely seen as electronic money with peer-to-peer payment aspirations. With the throughput and transaction cost concerns becoming apparent, this narrative faded away until the store of value narrative took hold amidst COVID-induced U.S. dollar debasement.

Ethereum is arguably at a similar crossroads in need of a narrative shift.

Previously, Ethereum has held some variations of the following narratives since the 2017 bull market: