Ethereum co-founder Vitalik Buterin recently published a blog post cautioning against extending Ethereum’s consensus beyond its essential functions of validating blocks and securing the network. Ethereum consensus operates using the proof-of-stake mechanism implemented in September 2022, known as “the Merge.” Buterin argued that utilizing the network consensus for additional purposes could pose significant risks to the ecosystem and should be actively discouraged.
Over time, several proposals and ideas have emerged, suggesting using Ethereum’s social consensus for other purposes, such as price and data oracles, re-staking initiatives, or employing layer-1 soft forks to recover layer-2 projects in case of issues. However, each extension could make the core work more fragile, as it already carries the largest economic weight and community support. Buterin pointed out that some of these techniques may introduce severe systemic risks, such as security vulnerabilities or exposing the ecosystem to potential 51% attacks.
One such high-risk example includes creating ETH/USD price oracles, in which ETH holders or validators could be bribed to manipulate outcomes, potentially leading to disputes and the necessity to “fork out the bad participants’ money.” Although Buterin acknowledged the need for improved oracles, he advocated for a case-by-case approach, as various issues are inherently different from one another.
Any expansion of Ethereum’s consensus “duties” increases the costs, complexities, and risks of running a validator, according to Buterin. As a result, application-layer projects that risk enlarging the “scope” of blockchain consensus to areas outside of verifying the core Ethereum protocol rules should be approached with caution. Instead, he suggested preserving the chain’s minimalism, supporting re-staking uses that don’t resemble slippery slopes toward extending Ethereum consensus, and assisting developers in finding alternative methods to attain their security objectives.
The Ethereum consensus mechanism transitioned from proof-of-work to proof-of-stake in September 2022. Moreover, staked Ethereum only became available for withdrawal following the Shapella upgrade on April 12. This recent development highlights the increased attention being given to validator roles and security risks on the world’s largest smart contract network. As Ethereum continues to evolve, it is crucial to strike a balance between innovation and preserving the core features responsible for its initial success.
Source: Cointelegraph
