Vitalik Buterin believes that three technological transitions must happen "roughly simultaneously."
At the heart of Ethereum's journey to progress, its co-founder Vitalik Buterin identified three essential tech transformations - privacy attributes, improvements in wallet safety, and Layer-2 scaling.
According to Vitalik Buterin's blog post shared on June 9th, the three features are crucial for Ethereum blockchain success.
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Buterin acknowledges the significant challenges in achieving all three transitions simultaneously, especially considering the intricate coordination required. Each transition could disrupt the prevalent "one user - one address" model, complicating transaction processes.
Buterin argues that without adequate scaling infrastructure, Ethereum is set for a downfall due to the prohibitive costs associated with transactions. Buterin grimly remarked:
Ethereum fails because each transaction costs $3.75 ($82.48 if we have another bull run), and every product aiming for the mass market inevitably forgets about the chain and adopts centralized workarounds for everything.
This stark assertion highlights the urgency of resolving the scalability problem.
Furthermore, according to Buterin, the inherent complexity surrounding smart contract wallets raises another potential barrier to Ethereum's success, wallet security.
This complex issue persists due to the growing need for users to maintain a unified address across Ethereum and different Layer-2 protocols. In his words:
Even when you can have hash equivalence, the possibility of wallets changing ownership through key changes creates other unintuitive consequences.
On the subject of privacy, the third major transition, Buterin argues that improved systems for reputation, identity, and social recovery are essential. He forewarns:
Without the third, Ethereum fails because having all transactions (and POAPs, etc) available publicly for literally anyone to see is far too high a privacy sacrifice for many users, and everyone moves onto centralized solutions that at least somewhat hide your data.
Despite the inherent difficulties, Buterin remains resolute that these advancements are integral to Ethereum's future.
On June 8th, Vitalik Buterin revealed that with Polygon co-founder Sandeep Nailwal, the two men will mobilize $100 million for COVID-19 research and the advancement of India's medical infrastructure.
