L1 Is the New Battleground, and the Playing Field Isn’t Even

Why It Matters

What’s at stake is whether blockchain’s promise of open competition yields to vertically integrated ecosystems that reshape market dynamics across crypto and finance.

Summary

Major corporations are increasingly launching proprietary layer-1 blockchains, transforming what was once neutral infrastructure into strategically guarded platforms that confer regulatory and competitive advantages. This shift concentrates control and economic rents with established firms, tilting the playing field against independent projects and open networks that rely on decentralization and permissionless access. The move risks entrenching network effects and user lock-in, complicating innovation and forcing regulators to reconcile traditional corporate oversight with blockchain governance. What’s at stake is whether blockchain’s promise of open competition yields to vertically integrated ecosystems that reshape market dynamics across crypto and finance.