Ethereum Positions Itself as Web2 Replacement, Not Bitcoin Competitor

• Bitwise CEO Hunter Horsley says Ethereum aims to replace Web2 platforms and financial systems instead of competing with Bitcoin.

• MegaETH upgrade achieved 1.7 Ggas/s throughput and can handle 130 million transactions daily while maintaining decentralization.

• The crypto industry is shifting focus from market cap battles to practical utility and real-world blockchain applications.

Bitwise CEO Hunter Horsley has clarified Ethereum’s strategic direction, explaining that the blockchain network aims to transform Web2 infrastructure and traditional financial services rather than challenge Bitcoin’s dominance. This perspective represents a significant shift in how cryptocurrency markets understand blockchain competition.

In a recent X post, Horsley emphasized that Ethereum operates in a different sphere from Bitcoin. The network focuses on becoming the foundational technology that replaces outdated Web2 platforms and legacy financial systems. This approach moves beyond the traditional “CoinMarketCap” mentality, where cryptocurrencies are viewed simply as competing tokens with different market values.

Horsley compared the blockchain ecosystem to mobile applications, noting that while apps share common platforms, they serve entirely different purposes. Similarly, various blockchains provide specialized use cases that address specific market needs.

Ethereum’s Smart Contract Advantage Drives Web2 Transformation

Ethereum’s smart contract capabilities enable developers to bypass Web2’s rigid architecture and replace compartmentalized services with flexible, open-source alternatives. The network’s decentralized, permissionless design allows anyone to build, validate, or transact without requiring centralized approval processes.

The ecosystem demonstrates this transformation through its dynamic architecture. Unlike established Web2 frameworks, Ethereum can integrate new features without disruptive hard forks. This flexibility positions the network as the foundation for next-generation financial systems and decentralized applications (dApps).

Industry discussions have highlighted Ethereum’s advantages over traditional closed systems. The network’s open architecture enables innovation without the constraints imposed by centralized Web2 giants.

MegaETH Breakthrough Pushes Ethereum Beyond Web2 Performance

MegaETH represents Ethereum’s most significant scalability advancement, designed to increase network capacity while maintaining decentralization. The upgrade introduces a modular execution model where data availability, consensus, and execution operate as separate layers.

Public testing revealed impressive performance metrics, with the network achieving 1.7 Ggas/s throughput, equivalent to approximately 130 million daily transactions. Data throughput reached nearly 1 GB/s during these tests.

The performance improvements don’t require expensive infrastructure investments. Full nodes can still operate on relatively affordable hardware, preserving Ethereum’s accessibility and decentralized nature.

Recent research suggests Ethereum will surpass Web2 systems in openness, flexibility, and scalability. Vitalik Buterin’s scaling plans indicate significant developments ahead for the network.

The cryptocurrency industry narrative has shifted from market cap competitions to practical utility delivery. MegaETH’s advances position Ethereum as the leading candidate to redefine digital infrastructure fundamentals.

Community members note that Ethereum’s architecture was designed to exceed Web2 capabilities from inception. With these technological improvements, the network increasingly appears capable of fulfilling that original vision.