1. This is a new protocol
At the end of March, a protocol called "ERC314 Protocol" became popular, and the $SIMP project also attracted a lot of attention.
What exactly is this new protocol for? The ERC314 protocol is mainly intended to reduce the high gas fees on the Ethereum chain. Players do not need to swap on a decentralized trading platform, and anyone can interact with the contract directly.
It sounds like there are some innovative elements in it, but after careful analysis, such an agreement seems to have some risks:
1. For example, such an agreement has not yet been officially recognized;
2. For example, such an agreement, in the short term, is more like using innovation for hype;
3. Of course, there is another possible problem: if anyone can transfer money to this address, then once a large amount of money is transferred in a certain period of time, causing price fluctuations, whether there will be a complete identification and processing mechanism to stop malicious transactions is unknown.
2. Projects that take advantage of the 314 hype begin to emerge in an endless stream
In Web3, there are many innovative contents or directions that may be "exploited" in a short period of time, and the 314 protocol is no exception. Although AVE has opened a section specifically for 314, we can also see that there are many "counterfeit" in the 314 protocol, and everyone needs to carefully identify them.
Take the popular inscriptions in 2023 as an example. The ones that can really survive must be the first and second dragons, as well as those projects that are truly practical, have underlying architectures, and are run by excellent teams. Those who want to use "innovation" to make "short-term" money often do not have good results.
3. You can continue to pay attention to this section
The emergence of any new thing needs to go through a period of development, during which time it needs to be verified by more people before a more complete conclusion can be drawn.
From the perspective of purpose, the emergence of the 314 Agreement is indeed an effective innovation, but it is still unknown when this innovation will be widely recognized and implemented.
Of course, during this period, more people in the industry will question this "new thing", and we can also look at it dialectically.
If it is a short-term "benefit effect", we should just regard it as learning about something new; if it is a long-term "practical value", then our continued attention is worth it!