Launched in 2015, Ethereum introduced smart contracts, enabling decentralized applications and setting the stage for a new financial ecosystem.
Ethereum's smart contracts allowed for self-executing agreements, eliminating intermediaries and fostering innovation in decentralized finance (DeFi).
Protocols like MakerDAO and Uniswap leveraged Ethereum to create lending platforms and decentralized exchanges, propelling DeFi into mainstream attention.
As DeFi grew, Ethereum faced scalability issues. Layer 2 solutions like Optimism and Arbitrum emerged to enhance transaction speed and reduce fees.
In 2022, Ethereum transitioned from Proof-of-Work to Proof-of-Stake, significantly reducing energy consumption and paving the way for future upgrades.
Despite competition, Ethereum remains the backbone of DeFi, hosting the majority of decentralized applications and maintaining a significant share of total value locked.
With ongoing upgrades and a robust developer community, Ethereum aims to further solidify its position in the blockchain space and expand its DeFi dominance.