Crucial Ethereum (ETH) Upgrade Can Lead to 100x: Adam Cochran Reveals

As a seasoned crypto investor with over a decade of experience under my belt, I can confidently say that the integration of base rollups into Ethereum’s infrastructure is nothing short of revolutionary. With my eyes on the market, I’ve seen trends come and go, but this one has me genuinely excited.


Due to base roll-up systems, the reward system on Ethereum might undergo a major shift, potentially leading to an increased interest in Ether (ETH). This change could reshape how the platform generates income. These roll-ups offer new sources of income and enhance staking value by connecting directly with Ethereum validators.

On the Ethereum blockchain, validators currently gain approximately 3% as returns. But with the introduction of optimistic rollups, validators could potentially earn significantly more. In addition to their current earnings from network inflation, those who opt to handle and validate these rollups stand to receive additional incentives.

Crucial Ethereum (ETH) Upgrade Can Lead to 100x: Adam Cochran Reveals

This could lead to yields that are significantly higher than 3% estimates, indicating that as more rollups are added, the yields might even reach 15%. The core business model of the rollups is to pay layer-1 (L1) validators for processing as well as data availability (DA), which fosters a competitive bidding environment and increases validators’ value capture. 

As some Ethereum rollups adopt mechanisms like proof-of-burn preconfirmation staking and auctions that require validators to burn or spend ETH, we can expect a rise in demand for ETH. This enhancement makes staking ETH more enticing, as the rewards from staking are no longer directly tied to the amount of ETH locked in the system.

With an increased amount of Ether being staked, validators may observe a rise in returns. This increase in demand could lead to a shortage of supply, or a supply shock. In such cases, validators might continue earning from rollups and Maximal Extractable Value (MEV) bidding, despite Ethereum’s issuance rate reaching zero percent.

If rollups for ETH prove successful in improving the modularity and user-friendliness of its layer-2 (L2) solutions, while aligning financial incentives, we could potentially see a substantial long-term price rise for ETH. Some predictions even suggest that Ethereum could reach a value of $100,000 within the next decade if these changes are made.

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2024-09-11 12:10