REVISITING THE APPLICATION LAYER

Summary from the TLDR Crypto newsletter

This article delves into the complexities of the application layer in crypto, which is comprised of state (assets) and logic (applications). It emphasizes Ethereum's expansion of both layers, but points out the lack of significant use cases as a challenge, discussing speculation-driven market activities. The authors outline a model, broken down into quadrants, to understand other potential applications, arguing for less reflexive, more real-world use cases. Expanding the application layer to incorporate non-crypto assets and off-chain applications can drive tangible value and reduce crypto market volatility.