Vitalik Buterin, the co-founder of Ethereum and a prominent figure in the blockchain industry, posted something new on his blog – Making Ethereum Alignment Legible – sketching a vision for integrating various developments to prevent fragmentation within the community. He wants projects that run on or are compatible with Ethereum to follow the network’s core values, that is, neutrality, censorship resistance, openness, data ownership, and near-unbreakable security. According to the founding mind behind Ethereum, a unified approach is needed for governance and decision-making, aligning intentions with actions.
Bitcoin was designed as a secure peer-to-peer decentralized payment system, whereas Ethereum was built to allow flexibility by programming many different types of smart contracts written in Turing complete language. Ethereum doesn’t have a maximum number of coins but it does cap the amount released each year, which is reflected in the Ethereum price USD. Projects on the Ethereum blockchain guarantee several advantages, such as dramatic cost savings, security, DeFi optimization, and seamless compatibility with newer Web3 versions. The rapidly growing Brave browser, for instance, has released an integrated crypto wallet.
The Calls For Decentralization Could Very Well Be An Acknowledgement Of Cardano’s Strengths
Ethereum staking has been trending upwards since the Merge, but it’s come at a cost because the network has become more centralized, and the overall staking yield has fallen, which has sparked a lot of discussion about the implications for Ethereum’s future. Charles Hoskinson, the founder of Cardano, describes the Ethereum network as a dictatorship where Vitalik Buterin has too much sway over the development of the blockchain. The blockchain can either keep the protocol simple or select a leader to step up and do the hard things. Hoskinson affirmed that Buterin is to blame for driving out sharding-based optimization, favoring rollups and Layer-2 networks.
Cardano Has Finally Solved The Blockchain Trilemma
Three issues perturb blockchains: security, scalability, and decentralization. Ethereum, much like Bitcoin, runs on a blockchain that places emphasis on decentralization and security at the expense of scalability. Most experts agree you can only achieve two of the three benefits at any given time, but efforts are made to overcome this impediment. Cardano solves the blockchain trilemma by delivering all three functionalities in one platform using a one-of-a-kind consensus algorithm, Ouroboros, that is based on the Proof of Stake protocol, with rigorous security guarantees. It processes transactions in parallel.
Cardano’s new governance model solves the governance trilemma, achieving all of the following features: efficiency, effectiveness, and integrity. The key lies in using delegated representatives and a members-based organization called Intersect, which puts the community at the heart of Cardano’s development. According to Charles Hoskinson, Cardano avoids the anarchy of Bitcoin and the dictatorship of Ethereum so it can move forward without difficulty and, ultimately, it represents everyone. Everyone holds value, which means that builders and contributors are part of a secure, collaborative ecosystem that ensures sustained growth.
A Fervent Critic Of Ethereum, Charles Hoskinson Is A Prominent Figure In The Blockchain Space
Hoskinson worked alongside Buterin (and others) to build Ethereum, temporarily serving as the CEO before an argument determined him to leave. He wanted to accept venture capital, yet Buterin wanted to maintain Ethereum as a non-profit organization. Hoskinson set up IOKH, one of the world’s leading blockchain infrastructure research and engineering companies, to create a more advanced platform than Ethereum. This is why Cardano is frequently referred to as the Ethereum killer. Countless apps are operational on the network right now, with more being developed behind the scenes, and projects like Hydra make Cardano DeFi more appealing.
Highly esteemed within the cryptocurrency community, Hoskinson has developed several projects to teach people about blockchain technology and digital assets and co-founded BitShares, a platform designed to facilitate high-performance financial operations. He also created ADA, the native token of the Cardano blockchain, which can be used to store value, send/receive payments, and staking. The cryptocurrency isn’t created through smart contracts, which makes the digital asset a first-class citizen on the blockchain. Cardano’s roadmap has often been criticized for being too long and lagging behind in advancement.
Not That Long Ago, Vitalik Buterin Was Accused Of Copying Ideas From Cardano
Staking is a crucial element for the functioning of Ethereum and its 2.0 version, contributing to the security and efficiency of the network. It helps further decentralize the Ethereum network by increasing the number of validators, who play an important role in preventing double-spending, securing transactions, and maintaining consensus. Last year, Charles Hoskinson severely criticized Vitalik Buterin, alleging that Ethereum imitated Cardano in terms of staking design. In his October 7 post, Buterin acknowledged that users don’t have sufficient resources to stake on their own, and the consensus process wasn’t inclusive.
Many People Like Vitalik Buterin’s Ideas, Others Not So Much, So What’s The Winning Formula?
Vitalik Buterin invented the world’s first supercomputer before he turned 20, looking beyond Bitcoin’s mission of empowering unyielding, unmediated digital payments. Over the years, Ethereum has evolved from concept to code, challenging the power structures of the most important financial institutions out there, and it’s all thanks to Buterin, well-known for having an IQ level of 257. He established himself as an indispensable voice of authority for untangling the technicalities of blockchain technology and has become a respected voice in the cryptocurrency community. Nevertheless, it’s wrong to assume everyone likes him.
Many are concerned that Buterin is trying to control the outcome of everything, even if the Ethereum network relies on a decentralized infrastructure that can’t be controlled by one person or group. To be clear, he can propose changes, but nodes aren’t forced to accept them. Right now, Buterin is pushing for balancing decentralization and cooperation within the ecosystem, aiming to eliminate the 138 incompatible fiefdoms. According to Buterin, those who would like to introduce new features should write a new ERC (Ethereum Request for Comment). Examples include applications that bring sustainable value, namely financial inclusion.
Wrapping It Up
Ethereum is moving towards creating a structure that is similar to Cardano but not different from the original network and will track how aligned projects are with its vision.
