Projects like Tempo are still working on L1. Beyond factors like technical independence, convenience, and valuation advantages, the biggest external factor is that Ethereum, as an L1, hasn’t fully unified liquidity yet. Once liquidity interoperability is achieved, combined with its unparalleled cost-effectiveness in terms of security, building any new L1 would essentially isolate itself from the ecosystem. So, the fact that new L1s are still emerging now fundamentally shows that Ethereum’s network effects aren’t strong enough yet. Beyond technical iterations, Ethereum needs to think about how to better integrate L1 and L2 liquidity. This is both the best defense and the best offense. @VitalikButerin @ethereum