Vitalik Buterin Says Ethereum Can Scale 1000X But Won’t

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KEY TAKEAWAYS

Vitalik Buterin says Ethereum is technically capable of massive scaling but is not designed to.
He argues that Ethereum’s L1 prioritizes decentralization and bandwidth rather than scaling.
However, recent upgrades have improved transaction throughput and reduced fees.

Ethereum has suffered from scalability issues shortly after its launch to this day. This has hindered the growth of the network and to a large extent its token, ETH. The co-founder, Vitalik Buterin says while the network can scale by 1000X, it is not obligated to.

In a long X post on January 8th, argued that Ethereum needs to increase the bandwidth and not a reduction in the latency. He also added that the network is designed to be “the world’s heartbeat” and not “the world’s video game server”.

Because of this, Buterin says Ethereum doesn’t have to scale 1000X, but will rather depend on Layer 2 (L2s) to bear some of the scalability demands that Ethereum is facing currently no matter how scalable the network becomes eventually.

https://twitter.com/VitalikButerin/status/2009158272943599877

Buterin Excuses Ethereum’s Scalability Issues

For several years, Ethereum network users and developers have grappled with the problem of the network not being scalable, leading to unnecessary congestion resulting in high transaction fees. It is because of this issue that developers have moved to rival networks like Solana, leading to surpassing Ethereum’s on-chain revenue in 2025.

Buterin in his presentation implied that Ethereum L1 focuses on decentralization and bandwidth, leaving the responsibility of scaling to L2s which he said will be relevant no matter how scalable the Ethereum mainnet becomes. He wrote:

“If you need to build applications that are faster than the heartbeat, they will need to have offchain components. This is a big part of why L2s will continue to have a role even in a greatly scaled Ethereum (there are other reasons too, around VM customization, and around applications that need _even more scale_).”

Ethereum Sees Improvement

While Ethereum is known for its high security and as the leading hub for decentralized applications, daily users have always complained about the scalability weakness in the network. Fortunately, there has been some improvement in the speed of transactions after recent upgrades.

The network recently broke records with over 3 million daily transactions and an average transaction fee of $0.17. Because of this improvement, some people anticipated that Ethereum would regain its status above Solana, which has not yet happened.