‘Excited to see Codex’ – Vitalik Buterin backs Ethereum’s new L2

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Key Takeaways

Is Codex truly enough to awaken the interest in Ethereum L2s as the best haven for well-optimized stablecoin chains? Well, the jury’s still out on that one. Some say yes, others are grumbling in the background. But who’s counting?

Vitalik Buterin, the ethereal Co-Founder of Ethereum [ETH], has made his voice heard, publicly giving his thumbs up to Codex, an L2 focused on stablecoin payments. But wait, there’s more-he had the audacity to claim that Codex offers ‘large-scale value’ and that its positioning is absolutely ‘impressive’! 🙄

“Excited to see Codex joining the arena as an L2 and thinking explicitly about synergy between itself and Ethereum L1 from day one.”

This wasn’t your average tech endorsement. It came just after Stripe’s Tempo announcement, a strikingly similar payment chain, but at the oh-so-glorious L1 level.

Stripe, in all its wisdom, remarked that L2s and existing networks are simply not capable of handling its ever-growing stablecoin obsession. A statement that ignited a firestorm of criticism on Crypto Twitter. And guess who got the heat? Yep, Ethereum L2s. Ouch. So, will Codex redeem Ethereum’s reputation? Well, folks, that’s still a matter of fierce debate.

Too early to pick winners?

For most “experts” (I use the term loosely), one thing’s clear: the stablecoin wars are about to get a whole lot messier in the near future. However, according to one faction, it’s still way too early to crown a winner.

Tom Lee, CIO at Fundstrat, seems to be one of the believers in this camp. He parroted a post by Christian Catalini, founder of Lightspark and one of the masterminds behind the infamous Libra project-remember that? Yeah, that one, the Facebook disaster.

From the lessons of how regulators obliterated Libra, Catalini bravely ventured to say:

“If corporate chains like Tempo and Arc succeed, it will mean the crypto experiment was not a revolution, but a failed coup. The backend technology would be different, yes, but the market structure would be eerily familiar.”

Ah yes, the central authority, always lurking in the shadows, waiting for governments to seize the opportunity. But hey, why not? They might as well add a little flavor to the chaos.

Tempo, in its infinite wisdom, will be “permissioned” (private) in its early stages. Oh, how we love the word “transition” as it smoothly slides into a permissionless (public) network. But let’s not kid ourselves, this is crypto-permissionless means chaos. And, surprise surprise, the risks? Oh, they’re absolutely real. 🌚

Mert Mumtaz, Founder of Helius Labs, chimed in with his own cautionary tale, adding:

“They say they’ll go permissionless later, but that’s much harder. Open it up, and you face what truly comes with permissionless systems.”

And now we have Codex, built on the immutable, decentralized Ethereum. Yes, folks, decentralization is still a thing. Haonan Li, Codex’s Co-founder, warns that it’s far too early to bow down to Stripe’s mighty moat just yet. Call it what you want, but we’re still in the ‘buzzword phase’ for this whole game.

“We’re still at the buzzword phase for the category.”

However, there’s another group of people who think Stripe, Google, Tether, and the corporate chains have the business firepower to crush any L2s trying to make their mark. These guys like to believe that distribution is all that matters. 🤦‍♂️

Rob Hadick from VC Dragonfly wasn’t having it. He dismissed that narrative faster than you can say “blockchain.” His words? Well, let’s just say history has a way of being… educational:

“History of payments innovation tells you it’s more of a product game than just a distribution game.”

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2025-09-06 17:39