The founder of the decentralised mining network and software development platform Ethereum Vitalik Buterin shared his insights about Ethereum layer 2 of the Ethereum blockchain.

Vitalik shared pivotal points regarding L2 networks which are considered as main scalability tool for the Ethereum Network.

Debate About L2 Layer

The L2 layer on the Ethereum blockchain is a collective term for an Ethereum scaling solution that manages transactions off Ethereum layer 1 while still taking benefit of the robust decentralized security of Ethereum layer 1. Layer 2 is a different blockchain that extends Ethereum.

L2 solution is designed to improve transaction capacity and pace without compromising on the security which is facilitated by the main chain layer1. This proves to be beneficial for the users as it helps users to understand the types of solutions available for their respective issues.

Vitalik engaged in a debate which was about L2s encompassing both rollups and validiums. The users need to understand the different security features where rollups are security-favoring solutions that bundle or roll up transactions into a single proof, which is posted to the main chain. This methodology enables high security, as the L1 blockchain instantly secures them.

Comparatively, rollups are a bit expensive due to their ability to its data on-chain which provides higher security on the other hand Validiums provide an inexpensive alternate option to rollups. The founder of Ethereum Vitalik has suggested that terminology should reflect these distinctions without delegitimizing either option. In the spectrum of L2 solutions, he suggests terms like strong L2 for rollups and light L2 for validiums to enable users to guide their choices better.

Vitalik also cleared that the whole process of L2 solution is not only about security as both rollups and Validiums have intermediate space.

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Vitalik Buterin Interestingly Sheds Light on Ethereum Layer 2 - Coinpedia Fintech News

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A discussion over classifying layer-2 solutions (L2s) has erupted within the Ethereum community after remarks by co-founder Vitalik Buterin.

In response to a post on X by Daniel Wang, founder of Taiko, an Ethereum rollup solution, Buterin said that reliance on external chains makes a system no longer a rollup since assets cant unconditionally be withdrawn if operators collude against users.

Buterin adds, though, that despite the classification, validiums remain suitable for many other applications. Buterin notes that systems relying on external data availability (or DA, as mentioned in the tweet), such as modular blockchain Celestia, are validiums rather than genuine rollups.

Validiums and rollups are scaling solutions for Ethereum that allow more transactions to be processed off-chain, reducing congestion and gas fees.

Rollups batch transactions off-chain while posting data to Ethereum for security, providing scaling through compression. Validiums also enable off-chain transactions but use zero-knowledge proofs for validity without publishing transactions on-chain.

The main difference between the two is data availability. In a rollup, the data is available on-chain, while in a validium, the data is stored off-chain and only a hash is stored on-chain.

This difference makes validiums more efficient and versatile than rollups but also introduces a data availability risk if the data availability providers collude, censor, or go offline. Validiums are administered by a collection of smart contracts deployed on Mainnet, including a verifier contract and a data availability committee.

On the other hand, rollups publish the full data of transactions on-chain, making them more reliable and secure but ostensibly less private than validiums.

In this case, Buterin is proposing critical changes to how layer-2 solutions are classified, introducing a new taxonomy of layer-2 solutions based on more neutral strong and light labels for rollups and validiums, respectively, with the strong label denoting security-favoring solutions, and the light label representing scale-favoring L2s.

This logic is based on two distinct purposes that layer-2 solutions serve: scaling and modularity.

In terms of scaling, rollups offer compression from transaction batching, providing security inherited from layer 1. However, data storage and verification processes limit throughput. Validiums avoid this through zero-knowledge proofs that validate off-chain activity without exposing transaction details on-chain. This enables validiums to scale to higher volumes.

Regarding modularity, solutions like Celestia adopt this approach: data availability is customizable based on specific needs, and validation layers are open to independent deployment. If a classification between light and strong L2s, as Buterin proposes, is implemented, it will affect how modular chains allow customization across data and validation components.

The key difference here is how rollups mandate data availability on Ethereum, maximizing security but reducing modular flexibility. On the other hand, validiums enable adaptable data and validation layers to optimize performance but also open up trust assumptions, potentially lowering transaction security.

Ryan Berckmans, an investor in decentralized payments protocol 3cities, countered Vitalik Buterins proposed taxonomy by asserting that validiums should still be considered layer 2 solutions. Berckmans claims the L2 sector has the flexibility to define terms in ways that maximize usefulness.

To support his position, Berckmans points to L2Beat, a data provider tracking the adoption of layer-2 protocols, which currently categorizes validiums under its umbrella of L2 coverage.

However, L2Beats explainer states that validiums and other models relying solely on validity proofs rather than direct data availability on Ethereum introduce additional trust assumptions and fall outside the scope of rollup-style L2 solutions. By avoiding base layer settlement, L2Beat argues that validiums fail to inherit the security guarantees that define conventional layer-2 implementations.

The arguments reveal inconsistencies that are still present across layer-2 implementations. Projects like L2Beat aim to bring clarity but need help with contradictions as pioneering teams innovate on scaling models that dont neatly fit the current definitions.

Berckmans advocates for a functional taxonomy that includes advanced networks expanding Ethereums throughput and capacity. In contrast, Buterin and L2Beat favor more strict security-oriented criteria that validium tradeoffs fail to satisfy at a conceptual level.

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Vitalik Buterin sparks debate on layer-2 classifications - Crypto Briefing

U.Today - Vitalik Buterin has voiced a new vision for the platform that seeks to address its most pressing challenges and leverage emerging technologies to reinvent Ethereums infrastructure. Central to this vision is a renewed focus on scalability and privacy, fueled by the development of layer-2 solutions and novel privacy technologies.

Buterin acknowledges probably the biggest issue on the network right now high fees. This barrier has not only hindered widespread adoption but also skewed the network toward financial applications, as only users with significant resources can afford to transact during peak times. The proposed solution to this predicament lies in the advancement of rollups. Rollups perform transaction execution outside the main Ethereum chain (layer 1) but post transaction data to layer 1, thereby enhancing the networks capacity while retaining its security.

Source: Vitalik.ethThe advent of rollups, particularly optimistic and zero-knowledge rollups, has been a primary way of reducing fees on the network. These rollups promise to execute a large number of transactions at a fraction of the cost currently required on the main chain, potentially lowering the entry barrier for new users and diverse applications.

Account abstraction is another key component of Buterin's vision. It represents a shift in how user accounts and transactions are managed, offering a more flexible and user-friendly model that could open up new possibilities for application developers.

Light clients, which have been on the backburner for some time, are now closer to fruition. Their role is crucial for enabling users to interact with the Ethereum network without running full nodes, thereby lowering the technical barriers to entry and participation.

The most groundbreaking development highlighted by Buterin is the practical application of zero-knowledge proofs (ZKPs). Once considered a distant future technology, ZKPs are now increasingly developer-friendly and on the verge of consumer application. This technology could revolutionize privacy and scalability on Ethereum by allowing users to validate transactions without revealing underlying information.

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Vitalik Buterin Shares New Ethereum Vision By U.Today - Investing.com

U.Today - Vitalik Buterin, the cofounder of , the second-largest cryptocurrency by market capitalization, has recently made a significant transfer of (USDC), a stablecoin pegged to the U.S. dollar.

According to PeckShield Alert, the Vitalik Buterin-labeled address made a move of 3,300 USDC in the early hours of today.

The reason for the transfer is not far-fetched: the Ethereum cofounder was merely reshuffling funds as the said 3,300 USDC were moved to a new address.

The Ethereum price is dipping alongside the rest of the crypto market, down 5.71% in the last 24 hours to $2,246. The crypto market witnessed a slump after speculations arose about MatrixPort's bearish prediction for spot ETF approval.

Amid the current slump seen on the ETH price, crypto analyst Michael van de Poppe believes that Ethereum is still showing momentum but has a big gap to traverse to be at the same level as Bitcoin. Ethereum might see a bit of consolidation before continuing toward $3,000$3,500 during Q1, 2024.

At the end of 2023, Ethereum cofounder Vitalik Buterin published the Ethereum roadmap going forward, conceding that there are only small differences from the previous year.

Buterin stated in a series of posts on X (previously Twitter) that Ethereum's sustained focus in 2024 will be on six essential components. Buterin expounded on these six parts Merge, Surge, Scourge, Verge, Purge and Splurge in a thorough chart with commentaries and graphics.

Buterin already indicated his intention to revive the original vision of the "cypherpunk" revolution for the Ethereum blockchain, as previously reported.

This article was originally published on U.Today

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Ethereum's Vitalik Buterin Shuffles USDC Funds, Likely Reason By U.Today - Investing.com

The Buterin Cards NFT collection triggered a 13% gas fee increase on the Ethereum (ETH) network. In the past 24 hours, transactions linked to the collection resulted in fees totaling 318.31 ETH, equivalent to $665,670.

As of 3:00 p.m. ET on Dec. 1, transactions linked to a new non-fungible token (NFT) project known as Buterin Cards reportedly accounted for over 13% of the total Ethereum network gas fees within three hours, surpassing fees from the Uniswap universal router address and Tethers public address, according to Etherscan data.

The surge in fees was a consequence of heightened demand for processing transactions associated with the Buterin Cards NFT collection.

The Buterin Cards project seeks to release 2,015 NFTs as a tribute to Vitalik Buterin, the co-founder of the Ethereum blockchain. Utilizing a unique NFT minting process called JPEG mining, the project distinguishes itself by storing image data on-chain, deviating from conventional NFTs that only store metadata on-chain.

To ensure the integrity of the uploaded data and prevent arbitrary uploads, the smart contract verifies data correctness by computing its hash. The projects website explains that thanks to progressive JPEG technology, the NFT image gradually unveils as it undergoes the mining process.

In exchange for their contributions, miners are rewarded with a card featuring an image of Vitalik Buterin at various quality levels, according to the projects website.

In recent times, Ethereum has undergone significant developments, most notably the shift to a proof-of-stake (PoS) consensus mechanism, known as Ethereum 2.0. This transition replaced the energy-intensive proof-of-work (PoW) model, introducing staking, where validators stake 32 Ether (~$50,000) and are randomly selected to add blocks. This change has led to a remarkable 99.9% reduction in Ethereums energy consumption.

The broader Ethereum 2.0 upgrade, consisting of phases like the Beacon Chain, the Merge, and Shard Chains, aims to enhance scalability and security. These adjustments address Ethereums limitations, including scalability and energy consumption.

In terms of market performance, Ethereums price has rebounded, surpassing the $2,000 level and approaching new 52-week highs, reflecting a robust 2023 performance.

Additionally, Ethereum gas fees have experienced fluctuations, reaching their lowest levels since November 2022.

The decrease in gas fees has been attributed to a reduction in on-network activity, resulting in more manageable fees for Ethereum users. Factors influencing these changes include network congestion, Ethereum upgrades, and market speculation.

However, the primary goal has been to enhance scalability and decrease fees. Even though the immediate effects of these upgrades may not be evident, they have also contributed to the fluctuations in gas fees.

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Vitalik Buterin NFTs triggers surge in Ethereum gas fees - crypto.news

Charles Hoskinson (pictured) took the opportunity on Sunday to poke fun at his fellow crypto big-wigs. Photo By Piaras Mdheach/Sportsfile for Web Summit via Getty Images. Sportsfile Collection.

Charles Hoskinson has taken an opportunity to laugh at a well-known crypto industry Most Influential list. The Cardano founder made a comical reference to the correlation between being influential in the crypto industry and ending up behind bars.

Unfortunately for the Cardano founder, Hoskinson was not featured on the 2023 edition of the list, with Vitalik Buterin, the founder of Ethereum, also failing to make the cut. Although, Hoskinsons comments were made before the latest (2023) version of the list was published.

In a post on X, Hoskinson remarked: Fast Fact: appearing on Coindesks Most Influential list carries an 18 percent chance of a prison sentence. The blockchain veteran was referencing a preview post by the digital magazine which referenced its top entrants over the years.

CoinDesk, a leading news source in the crypto world, has been compiling its Most Influential List annually since 2014. This list reflects those who have made a significant impact on the crypto, blockchain, and Web3 spaces over the year. The 2022 edition of the list, like its predecessors, includes a diverse array of individuals from innovators and thought leaders to controversial figures.

Ethereums founder, Vitalik Buterin, leads with four appearances. Following closely are Balaji Srinivasan, former CTO of Coinbase, and the mysterious Satoshi Nakamoto, both making it three times. Notably, Andre Conje, Andreas Antonopoulos, Brian Armstrong, CZ Zhao, Cynthia Lummis, Do Kwon, Gary Gensler, Gavin Andresen, Jack Dorsey, Jeremy Allaire, Jerome Powell, Pieter Wuille, and Sam Bankman-Fried have each appeared twice

On the list are convicted felons Sam Bankman-Fried, whose FTX exchange collapsed in spectacular fashion last year, and Do Kwon, whose TerraUSD stablecoin implosion kicked-off 2022s bear market. Changpeng CZ Zhao is currently looking at potential prison time after admitting serious wrongdoing to the U.S. Department of Justice for his time at the top of Binance.

This year the list includes Caroline Ellison (31) whose testimony helped put FTX founder, Sam Bankman-Fried, behind bars, and Larry Fink (13), the CEO of BlackRock, whose application for a spot Bitcoin ETF helped kick off a new wave of institutional interest in the cryptocurrency. Top of the list this year was Casey Rodarmar, the creator of Bitcoin Ordinals.

The CoinDesk list acknowledges the influence of its listed individuals without necessarily endorsing their actions. As it noted in its 2022 edition, We make no claim that this is a list of the most admirable or admired.

Hoskinsons latest remarks follow weeks of industry insights that have garnered significant attention. Last week, he criticized the U.S. Securities and Exchange Commission (SEC) for its inconsistent treatment of cryptocurrencies. He pointed to Bitcoins preferential status as one of the few cryptocurrencies not labeled a security.

However, he faced backlash for allegedly supporting the SECs decisions when they benefited Cardanos ADA, but not similarly defending XRP. Hoskinson refuted conspiracy theories involving Ethereum (so-called #EthGate) and demanded evidence for accusations of bribery, which have plagued Ethereums non-designation as a security.

Then, a few days later, Hoskinson developed his remarks on Bitcoin in a further AMA video.

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Charles Hoskinson Mocks Crypto Influencer List as Vitalik Buterin Fails to Make the Cut - CCN.com

U.Today - cofounder Vitalik Buterin has an ambitious redesign for the network, which, if implemented, could have profound implications for users and developers. Speaking at Devconnect in Turkey, Buterin outlined a strategy to enhance Ethereum staking and address performance issues that have been persistent thorns in the network's side.

Buterin's vision includes integrating private mempools and ERC-4337. Private mempools could offer users enhanced privacy and security by allowing them to conduct transactions without exposing their intentions to the public mempool where miners could see and potentially exploit them. ERC-4337 refers to account abstraction, allowing users to have more sophisticated control over their accounts, with operations like multisig wallets becoming easier to implement and more secure.

Code precompilation is another feature Buterin is keen on integrating. This could potentially increase the efficiency of smart contract deployment, making them quicker and cheaper to execute by preprocessing some elements of the code.

Liquid staking, a process that allows stakers to liquify staked (or locked) assets, is a feature Buterin wants to see improved. He has expressed concerns over the centralization of liquid staking solutions, which could be a risk for the network if too much control is in the hands of a few entities like . Decentralizing this aspect could democratize the staking process, giving more users the chance to participate without relinquishing liquidity.

The redesign proposes would likely make Ethereum more scalable, secure and efficient. These changes could lower the barriers to entry for new users and developers, fostering a more inclusive and robust ecosystem. The exact impact on Ethereum's price and the broader crypto market is speculative, but typically, improvements that address fundamental issues and enhance usability bode well for the network's value and adoption.

This article was originally published on U.Today

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Vitalik Buterin Wants to Redesign Ethereum, Here's How It Will Affect Everyone By U.Today - Investing.com

Source: tradingjokes / Instagram

This week in crypto: Vitalik Buterin said he plans to redesign Ethereum staking and praised the UTXO payment model, MicroStrategy CEO Michael Saylor bought an additional $593 million worth of BTC, Reddit renounced Moons contract completing the decentralization of the token, and Bitfinexs tokenized bond raised only $1.5 million of its initial target of $10 million. Trust Wallet alerted users about an ongoing issue with the Bitcoin node that could result in transaction delays.

In the gaming and NFT world, WAX Chief Gaming Officer Michael Rubinelli said we may be witnessing an overcorrection in the gaming investment landscape, Japanese gaming giant Square Enix began the character NFT auction for its game Symbiogenesis, Illuvium joined a blockchain gaming partnership with the esports powerhouse Team Liquid, and Magic Eden rolled out its Magic Eden Wallet in Beta, with the desktop browser extension to follow.

There was a lot of tax talk this week. Brazilian senators voted in favor of a bill that proposed taxing crypto profits earned on overseas platforms at a fixed rate of 15%, the UK taxing authority asked crypto users to disclose any unpaid taxes or risk fines, and Ukrainian lawmakers were set to debate two crypto tax bills.

Plenty was happening on the legal front, too. Binance founder Changpeng Zhao may not be off the hook yet as the US SEC continued to investigate Binance US, and a judge said Zhao cant leave the US until his sentencing in February.

Then, FTX received court approval to liquidate the $744 million Grayscale Trust assets, while crypto lender Genesis and its parent company DCG reached a settlement in the $620M lawsuit. Bankrupt crypto lender Celsius opened withdrawals for eligible custody customers on November 29, but its Bitcoin mining plans faced obstacles as a US judge hinted at a possible new vote to clear deviations.

Meanwhile, Apple terminated its credit-card partnership with Goldman Sachs as the tech giant pushed deeper into consumer lending, and Upbit crypto exchanges operator Dunamu suffered an 82% drop in profits in Q3. Robinhood said it has plans to launch in the UK as early as the start of 2024, crypto-friendly SEBA Bank rebranded to AMINA Bank, and digital asset brokerage Fasset received a VASP license from Dubas VARA.

While neobank Canza Finances CEO said their DeFi tech provides decentralized FX for African currencies, the United Nations Development Program partnered with the Algorand Foundation to launch a blockchain academy,

Lastly crime. Plenty of it. Immunefi found that $343,038,810 was lost to hacks and fraud in November alone. The US DOJ seized nearly $9 million in USDT from a pig butchering scam organization with Tethers help, Hong Kong authorities confirmed 145 victims and $19 million lost in the crypto scam involving the unlicensed Hounax exchange, and Turkish crypto exchange associated with a Hull City sponsorship, Tumya, was at the center of a fraud scandal.

Also, Indian authorities intensified efforts to bring the mastermind behind a $240 million scam back to the country, while In South Korea, the police raided a drug trafficking organization that used crypto as a payment tool and arrested a group of people suspected of duping 170 people by posing as crypto-issuing robot developers.

Now, their majesties the jokes.

__________

GM, all!

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Have a colamilk day!

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Were not done with SBF just yet.

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Look at that waste. (I intend my puns.)

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A ton of floor to sleep on and eat on

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Priorities.

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Memes good.

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The most what am I doing here look ever.

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Having more luck than brains.

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Must do d due diligence.

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Sooo, hard?

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Why would anybody be so cruel?

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Lets check what the resident analysts are forecating.

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Oopsie.

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And discuss.

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What say you? You agree with the character choice, and why not?

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Lets check up on Binance.

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CZ, a comment?

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Get it! Get it!

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For the end: truth.

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Vitalik Buterin's Plans, Changpeng Zhao's Hooks, Michael Saylor's Shoppings and 20 Crypto Jokes - Cryptonews

Arbitrum, one of the largest Ethereum layer-2 scaling solutions, has announced its airdrop scheduled for March 23. The Arbitrum Foundation said that ARB will be airdropped to community members and DAOs. ARB holders will vote on key governance decisions on the Arbitrum network.

Also read: Bitcoin reserves on exchanges continue climbing amidst rising inflows, is this a sell signal?

Arbitrum is one of the largest players in the layer-2 scaling landscape. The scaling solution is finally getting a token, ARB. The project announced that community members will tentatively receive the airdrop on March 23.

ARB will mark Arbitrums official transition into a decentralized autonomous organization (DAO). ARB token holders will vote on key decisions governing Arbitrum One and Arbitrum Nova. These two networks allow users to transact on the Ethereum blockchain with greater speeds and lower fees.

The launch of the development tool alongside the ARB token falls in line with a proposal from Vitalik Buterin, Ethereums co-founder, in which he identified necessary steps to allow optimistic rollups to take off training wheels and become fully decentralized.

Arbitrum will be one of the first Ethereum rollups to move from stage zero to one, according to Steven Goldfeder, CEO at Offchain Labs.

Arbitrums ARB token will put governance in the communitys hands. Working closely with Nansen over the past few months, the team designed airdrop eligibility criteria. The team has shared detailed eligibility criteria for the airdrop on gov.arbitrum.foundation.

User airdrop will make up 11.5% of the total token supply, with an additional 1.1% earmarked for DAOs. The remaining governance tokens will be distributed over time through grant programs and other initiatives led by the DAO.

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Ethereum layer-2 Arbitrums most awaited airdrop of 2023 is expected on March 23 - FXStreet

Ethereum (ETH) founder Vitalik Buterin is catching the attention of crypto sleuths after moving 500 ETH to an under-the-radar decentralized finance (DeFi) project.

Blockchain security firm PeckShield first spotted the transaction and revealed that a wallet controlled by Buterin transferred the ETH stack to DeFi protocol Reflexer.

Reflexer is a platform designed to enable users to mint stablecoins by using their crypto as collateral.

The protocol issues RAI, a crypto asset backed by Ethereum that aims to maintain a stable value in order to protect holders from the volatility of the markets.

According to PeckShield, Buterin used the 500 ETH to accumulate stablecoins.

The blockchain security firm shows that the Ethereum founder used the ETH trove as collateral on Reflexer to mint 150,000 RAI tokens. Buterin subsquently exchanged 132,500 RAI for 378,500 USD Coin (USDC). The remaining 17,500 RAI was swapped for 50,000 Dai (DAI).

PeckShield says that the conversion of ETH to stablecoins USDC and DAI all took place within three hours.

Blockchain-tracking service Etherscan also witnessed the transactions. According to Etherscan, Buterin initially transferred 200 ETH to Reflexer to mint 100,0000 RAI. Immediately after, Buterin sent 300 ETH to Reflexer to mint 50,000 RAI.

Etherscan reveals that Buterin paid more than $200 to process both transactions.

At time of writing, Ethereum is trading for $1,596, up over 10% in the last 24 hours.

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Ethereum Creator Vitalik Buterin Abruptly Sends 500 ETH to Little-Known DeFi Protocol - The Daily Hodl