Lisk (LSK), a delegated proof of stake (DPOS) protocol, has revealed its strategic plans to migrate to Ethereum, serving as a layer-2 scaling solution. The announcement, shared on its official account, outlines Lisk’s collaboration with Optimism (OP) and Gelato Network to implement its layer-2 strategy.
The decision to move to Ethereum aims to advance Lisk’s primary value protocol, facilitating the integration of real-world assets (RWA) into emerging markets. Additionally, the transition to Ethereum aligns with Lisk’s vision to optimize the establishment of a decentralized physical infrastructure network (DePIN) on-chain.
While transitioning from a full-fledged layer-1 to a layer-2 protocol is unconventional, the seamless implementation facilitated by Optimism makes this move viable. Lisk claims to be the first L1 blockchain joining other protocols like Base to contribute to the Optimism Superchain, leveraging the capabilities of OP technology Stack.
By dedicating its developers to the development of Optimism Superchain, Lisk aims to contribute to the future of Web3, fostering mass adoption in the industry over the long term.
Market Reaction: Lisk (LSK) Sees Positive Price Movement
The announcement of Lisk’s transition to the Ethereum protocol as a layer-1 network has propelled Lisk (LSK) to a new daily high. As of the latest update, the digital currency has experienced a 6.23% surge, reaching $1.13, and its market capitalization has risen to $145,573,784.
This strategic move to Ethereum may act as a game-changer for Lisk, potentially enhancing its mainstream recognition, similar to other protocols in the Layer-2 arena. Despite offering revolutionary solutions and being in existence for a considerable time, Lisk currently holds the 262nd position in market capitalization rankings, with its transaction count diverging from the trajectory of other well-established layer-1 blockchains such as Optimism (OP), Arbitrum (ARB), and Polygon (MATIC).