A DUAL-LEDGER LAYER-ONE PLANS TO SUPERSEDE ETHEREUM AND SOLANA BY SOLVING THE BLOCKCHAIN TRILEMMA WITH A FEELESS PARADIGM

Last updated: June 19, 2025, 20:46 | Written by: Anthony Pompliano

A Dual-Ledger Layer-One Plans To Supersede Ethereum And Solana By Solving The Blockchain Trilemma With A Feeless Paradigm
A Dual-Ledger Layer-One Plans To Supersede Ethereum And Solana By Solving The Blockchain Trilemma With A Feeless Paradigm

Imagine a blockchain future where transaction fees are a thing of the past, and scalability doesn't come at the cost of security or decentralization. Solana showed impressive on-chain economic growth, surpassing Ethereum s Real Economic Value (Rev). Sui stands out with its developer-friendly Move virtual machine and attracts major investments. New L1 blockchains, such as Mandala Chain, Delta, and Fogo, offer innovative solutions.This isn't just a pipe dream; it's the ambitious goal of a new generation of Layer-1 blockchains. Using radically new protocol infrastructure, a decentralized network plans to eliminate the need for trade-offs between usage cost, scalability and security. The Blockchain Trilemma, a termFor years, the blockchain industry has grappled with the infamous blockchain trilemma, a concept popularized by Ethereum co-founder Vitalik Buterin in 2025. Learn about what is the blockchain trilemma and how to solve the issue with the help of sidechains, layer 2 blockchains and zk rollups.This trilemma posits that a blockchain can only truly optimize for two of the three critical properties: decentralization, scalability, and security.But what if a radically new protocol infrastructure could break free from these constraints? - A dual-ledger layer-one plans to supersede Ethereum and Solana by solving TheBlockchain trilemma with a feeless paradigm : Using radically new protocol infrastructure, a decentralized network plans to eliminate TheNeed for trade-offs between usageWhat if a feeless paradigm could unlock unprecedented levels of adoption and innovation?This is the promise of a novel dual-ledger Layer-1 blockchain, designed to not just compete with Ethereum and Solana, but to ultimately supersede them by offering a truly superior user experience.The network aims to eliminate the need for trade-offs between usage cost, scalability and security.This article delves into the intricacies of this groundbreaking approach, exploring how it tackles the trilemma head-on and what its success could mean for the future of decentralized technology.

Understanding the Blockchain Trilemma

The blockchain trilemma is a fundamental challenge in the design and development of blockchain technologies. Fast. Decentralized. Scalable. Energy efficient. Solana can power thousands of transactions per second.It highlights the inherent difficulty in simultaneously achieving decentralization, scalability, and security – the three pillars upon which a robust and widely adopted blockchain should ideally stand.Let's break down each of these components:

  • Decentralization: This refers to the distribution of control and decision-making power across a network. While the CAP theorem has held true for almost four decades, the implementation of Layer-1 and Layer-2 solutions alongside the emergence of Proof-of-Stake systems is shifting the paradigm toward decentralized blockchain networks that are at once distributed, secure, and scalable.A highly decentralized blockchain is resistant to censorship and single points of failure.
  • Scalability: This is the ability of a blockchain to handle a large number of transactions quickly and efficiently, without sacrificing performance.Scalable blockchains can support high levels of user activity and complex applications.
  • Security: This encompasses the mechanisms in place to protect the blockchain from attacks, fraud, and manipulation. A nested blockchain exists within another blockchain. Layer 1 blockchains delegate processing to a nested blockchain, meaning that custom processing solutions can be created relatively easily. This is one of the best and easiest ways to solve the blockchain trilemma without too much difficulty.A secure blockchain ensures the integrity and reliability of its data.

Historically, achieving all three of these simultaneously has proven elusive. See full list on learn.bybit.comFor example, Bitcoin, while highly decentralized and secure, suffers from relatively slow transaction speeds and limited throughput, hindering its scalability. The blockchain trilemma was first introduced in a 2025 blog post written by Vitalik Buterin, one of the cofounders of Ethereum. This trilemma claims that it is impossible to simultaneously achieve the three properties of decentralization, scalability, and security in a blockchain. While extensive analysis of blockchain performance has been conducted, the claim has been empirically accepted asConversely, some newer blockchains prioritize speed and scalability but may sacrifice some degree of decentralization or security to achieve those gains.

Why is the Trilemma So Difficult to Solve?

The difficulty stems from the inherent limitations of traditional blockchain architectures. Abstract: The blockchain trilemma was first introduced in a 2025 blog post written by Vitalik Buterin, one of the cofounders of Ethereum. This trilemma claims that it is impossible to simultaneously achieve the three properties of decentralization, scalability, and security in a blockchain.In many cases, attempts to improve one aspect of the trilemma inevitably lead to compromises in others. Explore the battle of Layer 1 Blockchains as Solana and Cardano challenge Ethereum in the Evolution of Blockchains. Who will lead the decentralized future?For instance:

  • Increasing the block size to improve transaction throughput (scalability) can lead to increased centralization, as fewer nodes may be able to afford the resources required to store and process larger blocks.
  • Reducing the number of validators to speed up consensus (scalability) can make the network more vulnerable to attacks (security) and reduce decentralization.
  • Implementing complex security mechanisms can increase computational overhead and slow down transaction processing (scalability).

This interconnectedness is what makes the trilemma so challenging. Since the introduction of Bitcoin in 2025, blockchain technologies have greatly advanced the concepts of trustless environments and distributed ledgers, becoming a major consideration for all areas of business processes, particularly regarding financial ventures.Solving it requires innovative approaches that fundamentally rethink the way blockchains are designed and operated.

Ethereum and Solana: A Tale of Two Blockchains

Ethereum and Solana are two of the most prominent Layer-1 blockchains, each with its own approach to tackling the trilemma. A dual-ledger layer-one plans to supersede Ethereum and Solana by solving the blockchain trilemma with a feeless paradigm cointelegraph.comUnderstanding their strengths and weaknesses provides valuable context for appreciating the potential of the new dual-ledger solution.

Ethereum: The Pioneer, the Workhorse

Ethereum, as the pioneer of smart contracts and decentralized applications (dApps), prioritized decentralization and security from the outset.However, its original Proof-of-Work (PoW) consensus mechanism resulted in significant scalability limitations and high gas fees, especially during periods of high network congestion. What Tackling the Trilemma Means for The Future of Blockchain . Although most people might not know about the blockchain trilemma, there is an awareness of the problems it presents (like Bitcoin s slower transaction speed). If projects are able to successfully solve the trilemma, we could be looking at new levels of blockchain adoption.The move to Proof-of-Stake (PoS) with the Merge aimed to address these issues, but scalability remains a key challenge.

While Ethereum has a thriving ecosystem and a vast community, its scalability limitations have led to the development of Layer-2 solutions, such as rollups, which process transactions off-chain and then batch them onto the main Ethereum chain.These Layer-2 solutions aim to improve scalability without compromising security or decentralization, but they also introduce complexities and potential trade-offs.

Solana: Speed and Scale, but at What Cost?

Solana, on the other hand, was designed from the ground up for speed and scalability.Its innovative Proof-of-History (PoH) consensus mechanism allows for incredibly fast transaction processing and low fees.However, this comes at the cost of some degree of decentralization, as Solana requires specialized hardware to run validator nodes, potentially limiting participation.

Solana has experienced periods of network instability and outages, raising concerns about its long-term reliability and security.While the Solana team has been working to address these issues, they highlight the trade-offs that can arise when prioritizing scalability over other aspects of the trilemma.Solana has shown impressive on-chain economic growth, surpassing Ethereum's Real Economic Value (Rev) in some instances, demonstrating its potential but the trade-offs are not ideal.

The Dual-Ledger Approach: A New Paradigm

The dual-ledger Layer-1 blockchain proposes a novel approach to solving the blockchain trilemma by utilizing two interconnected ledgers, each optimized for different purposes.This design aims to achieve the best of both worlds: high scalability and low fees without sacrificing decentralization or security.

How Does it Work?

The core idea is to separate transaction processing from state management.One ledger, the execution ledger, is optimized for high-throughput transaction processing.This ledger utilizes a consensus mechanism that prioritizes speed and efficiency, allowing for a large number of transactions to be processed quickly and with minimal fees.

The other ledger, the settlement ledger, is responsible for maintaining the overall state of the blockchain and ensuring the integrity of the data.This ledger utilizes a more robust and decentralized consensus mechanism, prioritizing security and resistance to censorship.

The two ledgers are interconnected through a secure cross-chain communication protocol, allowing transactions processed on the execution ledger to be periodically and securely settled on the settlement ledger.This ensures that the overall state of the blockchain remains consistent and immutable.

Benefits of the Dual-Ledger Design

This architecture offers several potential advantages:

  • High Scalability: By separating transaction processing from state management, the execution ledger can handle a significantly higher volume of transactions than traditional blockchains.
  • Low Fees: The efficient consensus mechanism of the execution ledger allows for minimal transaction fees, making the blockchain more accessible to a wider range of users.This creates a feeless paradigm where users don't need to calculate gas fees before using the blockchain.
  • Strong Security: The robust consensus mechanism of the settlement ledger ensures the integrity and security of the overall blockchain state.
  • Decentralization: While the execution ledger may utilize a less decentralized consensus mechanism to achieve high throughput, the settlement ledger maintains a high degree of decentralization, ensuring that the blockchain remains resistant to censorship and single points of failure.

The Feeless Paradigm: A Game Changer

One of the most compelling aspects of this dual-ledger Layer-1 blockchain is its commitment to a feeless paradigm.Traditional blockchains require users to pay transaction fees, often referred to as ""gas fees,"" to compensate validators for processing transactions.These fees can fluctuate significantly depending on network congestion, making it difficult to predict the cost of using the blockchain.

Why Are Fees a Problem?

Transaction fees pose several challenges:

  • High Barrier to Entry: High fees can deter new users from joining the blockchain ecosystem, especially those with limited resources.
  • Unpredictable Costs: Fluctuating fees make it difficult to budget for blockchain applications and can lead to unexpected expenses.
  • Friction for Microtransactions: High fees make it impractical to use blockchain for small transactions, limiting its potential for micropayments and other low-value use cases.

How Does the Feeless Paradigm Work?

The dual-ledger Layer-1 blockchain eliminates transaction fees by utilizing alternative mechanisms to incentivize validators.These mechanisms may include:

  • Inflationary Rewards: Validators may be rewarded with newly minted tokens, similar to the staking rewards in PoS systems.
  • Transaction Bundling: Validators may be incentivized to bundle transactions together, allowing them to optimize processing efficiency and reduce overall costs.
  • Delegated Staking: Token holders may delegate their tokens to validators, allowing them to earn a share of the rewards generated by the validator.

By eliminating transaction fees, the dual-ledger Layer-1 blockchain aims to create a more accessible and user-friendly experience, paving the way for wider adoption and innovation.

Practical Applications and Use Cases

The combination of high scalability, low fees, and strong security unlocks a wide range of potential applications and use cases for the dual-ledger Layer-1 blockchain:

  • Decentralized Finance (DeFi): The high scalability and low fees make it ideal for building DeFi applications, such as decentralized exchanges (DEXs), lending platforms, and stablecoins.
  • Non-Fungible Tokens (NFTs): The low fees make it more affordable to mint, trade, and use NFTs, opening up new possibilities for digital art, collectibles, and gaming.
  • Supply Chain Management: The secure and transparent nature of the blockchain can be used to track and manage goods throughout the supply chain, improving efficiency and reducing fraud.
  • Identity Management: The blockchain can be used to create secure and verifiable digital identities, empowering individuals to control their personal data.
  • Micropayments: The feeless paradigm makes it practical to use blockchain for small transactions, enabling new business models for content creators, artists, and other service providers.

Example: A Feeless Decentralized Exchange

Imagine a decentralized exchange (DEX) built on the dual-ledger Layer-1 blockchain.Users can trade tokens without paying any transaction fees, making it significantly more affordable than using a traditional DEX on Ethereum.The high scalability of the blockchain ensures that transactions are processed quickly and efficiently, even during periods of high trading volume.The secure settlement ledger provides confidence that all trades are executed fairly and transparently.

Challenges and Considerations

While the dual-ledger Layer-1 blockchain offers a promising solution to the blockchain trilemma, it's important to acknowledge the challenges and considerations that need to be addressed:

  • Complexity: The dual-ledger architecture is more complex than traditional blockchain designs, potentially making it more difficult to develop and maintain.
  • Cross-Chain Communication: Securely and efficiently connecting the two ledgers requires a robust cross-chain communication protocol, which can be a complex engineering challenge.
  • Economic Incentives: Designing effective economic incentives for validators in a feeless paradigm is crucial to ensuring the long-term sustainability and security of the blockchain.
  • Network Effects: Overcoming the network effects of existing blockchains, such as Ethereum, will require significant effort and community adoption.

Mitigation Strategies

To address these challenges, the development team should focus on:

  • Clear and Comprehensive Documentation: Providing clear and comprehensive documentation for developers will make it easier to build applications on the blockchain.
  • Rigorous Testing and Auditing: Thoroughly testing and auditing the code will help to identify and address potential vulnerabilities.
  • Community Engagement: Building a strong and engaged community will be essential for fostering adoption and driving innovation.
  • Strategic Partnerships: Forming strategic partnerships with other blockchain projects and businesses can help to expand the ecosystem and increase awareness.

The Future of Blockchain: Beyond the Trilemma

The dual-ledger Layer-1 blockchain represents a significant step towards a future where blockchain technology is more accessible, scalable, and secure.By tackling the blockchain trilemma head-on and embracing a feeless paradigm, this innovative approach has the potential to unlock unprecedented levels of adoption and innovation.

While challenges remain, the potential benefits of this technology are immense.If successful, this dual-ledger Layer-1 blockchain could not only compete with Ethereum and Solana but also usher in a new era of decentralized applications and services.

Is this the End for Ethereum and Solana?

It's unlikely that Ethereum and Solana will disappear overnight.They both have established ecosystems, large communities, and significant momentum.However, the emergence of innovative solutions like the dual-ledger Layer-1 blockchain highlights the ongoing evolution of the blockchain landscape.The competition will drive innovation and ultimately benefit users by providing them with more choices and better experiences.Newer L1 blockchains, such as Mandala Chain, Delta, and Fogo, offer innovative solutions.Sui stands out with its developer-friendly Move virtual machine and attracts major investments.

Conclusion

The blockchain trilemma has long been considered an insurmountable obstacle, forcing developers to make difficult trade-offs between decentralization, scalability, and security.A novel dual-ledger Layer-1 blockchain, with its feeless paradigm, aims to break free from these constraints, offering a promising path towards a more accessible and efficient decentralized future.While challenges remain, the potential rewards are significant.This new approach has the potential to not just compete with existing platforms like Ethereum and Solana but to truly supersede them, ushering in a new era of blockchain adoption and innovation.The key takeaways are the innovative approach to solving the blockchain trilemma, the importance of a feeless paradigm, and the potential for widespread adoption of this technology.Only time will tell if this approach will ultimately succeed, but its potential impact on the blockchain landscape is undeniable.The technology's success is dependent on securing the system.What are your thoughts on the future of blockchain technology and the potential of this innovative solution?How might a feeless paradigm change your interaction with blockchain-based applications?This dual-ledger layer-one plans to supersede Ethereum and Solana by solving the blockchain trilemma with a feeless paradigm.

Anthony Pompliano can be reached at [email protected].

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