According to Ethereum co-founder Vitalik Buterin, three critical elements—layer-2 scaling, wallet security, and privacy-preserving features—are imperative for ensuring the secure future of Ethereum.
In a recent blog post on June 9, Buterin emphasized that the success of Ethereum hinges on these three significant technical advancements, which should ideally occur concurrently. He elaborated that the Ethereum blockchain cannot thrive without a robust scaling infrastructure that enables affordable transactions.
“Buterin highlighted the concern that Ethereum’s viability is compromised when transaction costs reach $3.75 (or potentially surge to $82.48 during another bull run). Consequently, any project aspiring to capture the mass market tends to bypass the Ethereum chain and resort to centralized workarounds,” he explained.
The Three Transitions:https://t.co/rtewRnm2wK
— vitalik.eth (@VitalikButerin) June 9, 2023
Vitalik Buterin, the co-founder of Ethereum, points out another area of concern that can lead to failures within the platform. He highlights smart contract wallets as a potential point of vulnerability due to the complexities that arise when users control multiple addresses simultaneously.
According to Buterin, Ethereum must prioritize three key improvements: layer-2 scalability, enhanced wallet security, and privacy features. He emphasizes the importance of securing not only crypto assets but also data to transition into a truly on-chain world with zero-knowledge rollups.
The third transition, privacy, plays a crucial role in preventing Ethereum from failing. Buterin notes that the public visibility of all transactions and data is a significant privacy sacrifice for many users.
Without improved identity, reputation, and social recovery systems, users may turn to centralized solutions that offer better data protection. To address this issue, Buterin suggests implementing stealth addresses.
However, Buterin acknowledges the challenges in achieving these transitions, as they require intense coordination. He admits that each transition weakens the traditional “one user – one address” model, which could complicate transaction execution and information sharing.
Buterin concludes by emphasizing the need to build robust infrastructure that enhances the user experience, taking all these factors into account.