Lisk (LSK): Plans to switch to Ethereum (ETH) as layer 2 more concrete

Lisk (LSK) wants to give up its independence and switch to the Ethereum ecosystem as layer 2. Lisk has now backed up this fundamental decision from December with timelines and a progress report.

Lisk (LSK) has big plans: To build on old successes, it plans to abandon its own blockchain and Lisk wants to attempt a comeback as layer 2 in the Ethereum (ETH) ecosystem. This announcement in December caused quite a stir, as the radical nature of Lisk’s restructuring is unprecedented. Lisk has now specified its plans in a blog post, and LSK subsequently experienced a daily increase of 40 percent. So what can we expect from Lisk in the near future?

Lisk plans to launch a testnet connected to Ethereum as early as February. Among other things, the Optimism technology used by Lisk in the future will have to pass its first baptism of fire. In March, Lisk will then launch an information campaign explaining, for example, how the migration from LSK to an ERC-20 token will be implemented in practice for investors.

If everything goes smoothly, the new Lisk will initially go live for developers in April. The aim is to ensure that Lisk is well positioned for the big relaunch and already has dapps such as a decentralized crypto exchange (DEX). Lisk’s new mainnet should then be accessible to everyone from the 3rd or 4th quarter of 2024 – by which time the transition to Ethereum will have been completed.

Lisk emphasizes that it will also be updating its website and other information sources as part of the new start. There are also plans to provide advertising through airdrops and other campaigns. As a reminder: In 2017, Lisk was still one of the 20 most important global cryptocurrencies with a market capitalization of almost 1 billion US dollars at the time; today, LSK is ranked 230th on that list with a market capitalization of just under 200 million US dollars.

Conclusion: Lisk attempts comeback as layer 2 on Ethereum

Thanks to its historically grown community, Lisk hopes that it will not disappear as a nobody among the many layer-2 solutions for Ethereum in the future. The relatively precise timetable that is now available strengthens confidence in Lisk’s ability to successfully implement the project. However, LSK is trading at around USD 1.38, around 96% below its all-time high of just under USD 35 from January 2018, despite the recent price jump. Lisk’s strategic decision is a bold one – whether it will pay off for investors will become clear later this year.


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