Promising technology that somehow got on the wrong track. Much of the early bird advantage got lost through centralization.
That's exactly what happened. Centralized holding, centralized governance and now it is a disaster. They let the L2 field spawn because everyone is making money on new private sales at the loss of investors. Now they are stuck. If they scale too much L1 Ethereum, then most L2s will be useless and die off.
Still, much has been built around the technology, which would be a pain to port. Just waiting whether someone will fork it and bring back PoW or something different for the sake of better decentralization, ultimately resilience.