Vitalik talks about staking. Last September, the protocol Ethereum has completed its transition to Proof of Stake. At the same time, many liquid staking protocols such as Lido have seen their TVL explode. However, Vitalik Buterin, the co-founder of Ethereum remains cautious and chooses not to stake all his ETH.
Buterin only stakes a tiny part of its ETH
June 29, Vitalik Buterin was a podcast guest Banklessalongside Sreeram Kaanan, Tim Beiko, Justin Drake, Dankrad and Jessy.
Obviously, the podcast revolved around Ethereum and different aspects related to its ecosystem. Quickly, the subject of staking is discussedwhich leads Vitalik Buterin revealed that he only stakes a tiny part of his ETH. To explain this choice, Vitalik Buterin points out the complications linked to multisignature addresses.
“Because if you stake your ETH, the keys that access it must be public on a subsystem that is online. For security reasons, it must be a Multisig. Multisig for staking is still quite difficult to set up; it gets complicated in several ways. »
A statement that did not fail to react. So, Charles Hoskinson of Cardano took the opportunity to send a spade to his former colleague Vitalik Buterin:
“I had to listen to it several times. Words fail me. All of our ADAs are staked. Guess what, that’s how it’s supposed to be for a properly designed Proof of Stake protocol. »
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The subject of EigenLayer and restaking put back on the table
Afterwards, the speakers discussed the subject of EigenLayer. As a reminder, EigenLayer is a protocol that was recently deployed on the Ethereum mainnet.
In practice, EigenLayer makes it possible to “restaking”. Simply put, this allows users to stake their liquid staking tokens. For example, a user will deposit 1 ETH in staking on Lido in exchange for 1 stETH. Thanks to EigenLayer, he will be able to deposit his stETH on EigenLayer to enjoy an additional return.
A system already criticized by Vitalik Buterin, who identifies several major risksin particular centralization risks.
For his part, Sreeram Kaanan of EigenLayer concedes that there are complex risks associated with his protocol. Nevertheless, he explains that this is why this one was initially launched with various restrictions.
Recently, Vitalik Buterin presented the 3 major innovations that he believes will make Ethereum a mature technology. Among these innovations, we find L2, smart contract wallets and confidentiality.
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