Buterin says Ethereum needs 3 critical transitions to ensure its survival

Ethereum co-founder Vitalik Buterin mentioned the Ethereum community must undergo three main technical transitions associated to Layer-2 scaling, pockets safety, and privateness because it matures from a “younger experimental expertise right into a mature tech stack.”

Buterin added that these transitions should be executed “roughly concurrently” to make sure success and if any of them fall brief, then the community will seemingly fail attributable to sure elementary points that may come up as a consequence.

He made the assertion in a June 9 blog post that exposed a brand new roadmap for the Layer-1 blockchain community, the place he additionally mentioned the crucial points plaguing Ethereum’s future that have to be addressed.

Buterin mentioned:

“It’s not simply options of the protocol that want to enhance; in some instances, the way in which that we work together with Ethereum wants to vary fairly basically, requiring deep adjustments from functions and wallets.”

Layer-2 scaling

In accordance with Buterin, Layer-2 rollups clear up a crucial challenge plaguing the Ethereum community — excessive fuel charges. If customers don’t undertake rollups en masse, then fuel charges will stay absurdly excessive, with a single transaction doubtlessly costing greater than $80 throughout a bull run.

Even within the present crypto winter — thought-about by many to be the harshest in historical past — fuel charges for Ethereum transactions are often round $3. Buterin believes that is unsustainable and Layer-2 adoption is the one option to clear up it.

Failure to take action will in the end end in customers turning to “centralized workarounds” that will probably be extra intuitive and cheaper to make use of.

Pockets safety

Buterin believes that crypto wallets are lower than par at the moment in relation to consumer expertise and safety, which is a crucial challenge for the expansion of the community.

In accordance with Buterin, if pockets safety just isn’t improved, then customers won’t ever really feel snug with the self-custody of belongings and can choose to show to centralized choices like exchanges.

He additionally mentioned that the interoperability of wallets and networks is vital because it allows a extra seamless expertise for customers in relation to utilizing cryptocurrency in day-to-day transactions like shopping for groceries.

Buterin mentioned:

“I’ve cash on Scroll, and I wish to pay for espresso. You’re promoting me the espresso, however you might be solely set as much as obtain cash on Taiko. Wat do?”

He recommended the idea of a “receiving pockets” as one option to clear up this conundrum. Such a pockets would assist the overwhelming majority of Layer-2 networks and would be capable of consolidate funds asynchronously.

An alternative choice can be to develop cross-L2 bridging system so senders’ wallets are capable of robotically ship funds to the appropriate vacation spot.

Privateness

One other key challenge that threatens Ethereum’s success in turning into the go-to community for the common consumer is the shortage of privateness in relation to particular person transactions.

Buterin believes that folks would detest utilizing crypto of their every day lives if there’s a public report of their transactions that’s simply traceable to them.

He made a number of strategies round utilizing stealth addresses however admitted that points round privateness stay a serious downside with no straightforward resolution in sight.