Ethereum (ETH) co- founder Vitalik Buterin has warned against the dangers that come with Ethereum (ETH) consensus layer overload. The latest information comes after a blog post published on Sunday, May 21, before the cryptocurrency executive echoed it in a Twitter post.
Don’t overload Ethereum’s consensus:
— vitalik.eth (@VitalikButerin) May 21, 2023
From the blog, it is clear that Buterin, the co- founder of the largest smart contract blockchain tech, supports a dual use for staked Ether (stETH). Nonetheless, he is warning against the use of the Ethereum (ETH) consensus layer for layer (L2) applications.
Dual-use of validator staked Ethereum (ETH), while it has some dangers, is fundamentally fine, but trying to ‘recruit’ Ethereum (ETH) social consensus for your application’s own objectives is not.
According to his analogy, systemic dangers are involved when one uses the consensus layer for re-staking and soft forks. In his opinion, this leaves the Ethereum (ETH) blockchain tech vulnerable.
Ethereum’s Vitalik Buterin concerned about network overload
Vitalik Buterin has cautioned that the Ethereum (ETH) consensus layer may be vulnerable to an attack if the blockchain tech gets overloaded. The Russo-Canadian cryptoprenuer addresses concerns about re-staking initiatives or layer-1 (L1) soft forks on the Ethereum (ETH) blockchain tech in the post.
Breakdown Of Case Scenarios Presented in The Blog
A breakdown of Buterin’s post about cases through which the Ethereum (ETH) network could face high system dangers is as follows:
- Proposals, wherein users vote by sending Ether (ETH), with those opting for the majority answer getting a proportional share of all the ETH sent to vote for the minority answer.
- Re-staking Ethereum (ETH) stake and using it to “vote” instead of in-protocol incentives.
- Layer-1-driven recovery of layer-2 projects in the event that L2 has a bug and L1 forks are used to recover it.
Further, Buterin appreciates that most of those who propose to use the Ethereum (ETH) consensus layer or staked Ether do so with good intentions. Nevertheless, he reveals that they ought to be discouraged as they pose whole lot of dangers to the underlying blockchain.
The purpose of this post will be to explain in detail the argument why, in my view, a certain subset of these techniques brings high systemic dangers to the ecological system and should be discouraged and resisted.
Basically, the Ethereum (ETH) executive’s concern is the fact that an expansion of the duties of the Ethereum (ETH) consensus layer, regardless of the magnitude, leads to an boost in the expenses, complexities, and dangers of running a validator.
Exposing layer-1 by advancing the duties of the consensus layer to dangers may be detrimental to the industry, going as far as causing lagging growth.
It is natural for application-layer projects to attempt such a strategy, and indeed such ideas are often simply conceived without appreciation of the dangers, but its result can easily become very misaligned with the goals of the community as a whole.
Ethereum (ETH) Co- Founder Advocates To Preserve The Chain’s Minimalism
Reports by Buterin, there is no limiting principle to such a process. This is because it can potentially easily lead to a blockchain tech community having increasingly “mandates” over time. This would compel it into an “uncomfortable choice where network users have to choose betwixt a high yearly danger of splitting or a type of de-facto formalized bureaucracy that has ultimate control of the chain.
In this regard, Buterin advocates for the preservation of the chain’s minimalism.
Impact of Buterin’s Expression on Ethereum (ETH) Price
According to the post, Vitalik Buterin is committed to sustaining the resilience and stability of the Ethereum (ETH) blockchain tech. In case of occurrences such as re-staking and soft forks, the Ethereum (ETH) consensus layer faces dangers involving unexpected forks or something as bad as its community splitting to follow different validators.
It is important to note that Ethereum (ETH) is the native crypto token of a neutral technical complication, which means a fork or community division could have a negative impact on the utility of the investment, its adoption, and in the longstanding, the price.
At the time of publication, Ethereum (ETH) price is $1,813, a daily fall of 0.08 percent with signs of strong instability and this is why high market volatility. Ethereum (ETH) was likewise recording a 16 percent boost in its 24-hour volume of trading, suggesting increased activity in the Ethereum (ETH) market.
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