Sharing his opinion around crypto regulations, Buterin spoke against the regulations that have an impact on the inner workings of a crypto ecosystem.
Considering the current circumstances, he believed it was better to have regulations that allow inner independence to crypto projects, even if it hampers mainstream adoption. Buterin opined:
“I’m actually kinda happy a lot of the exchange-traded funds (ETFs) are getting delayed. The ecosystem needs time to mature before we get even more attention.”
The use of know-your-customer (KYC) on decentralized finance (DeFi) frontends was another concern pointed out by Buterin. He said that such an initiative is pointless because it would only annoy the users. Meanwhile, crypto hackers will still be able to write codes that interact directly with smart contracts. However, he highlighted the need for KYC on crypto exchanges, which has seen wide-scale implementations.
Still, he recommended regulations to the DeFi front ends. These included a limit on leverage, requiring transparency on audits and security checks for contract codes, and limiting usage by knowledge-based tests instead of net worth.
According to the entrepreneur:
“It (KYC on DeFi frontends) would annoy users but do nothing against hackers. Hackers write custom code to interact with contracts already.”
In this regard, Buterin made three recommendations, as shown below.
On an end note, Buterin recommended using zero-knowledge proofs to meet regulatory requirements while preserving users’ privacy, stating that “I would love to see rules written in such a way that requirements can be satisfied by zero knowledge proofs as much as possible.”
Buterin explained that the crypto industry should not be going after institutional capital as the ecosystem needs to mature first. Still, he is somehow happy that the SEC keeps rejecting applications for spot ETFs.
Related: https://dynofun.com/the-ethereum-merge-news-update-success-or-not-30-days-later/
Google recently added a search feature that allows users to view ETH wallet balances by searching their addresses.
Acknowledging the recent Ethereum Merge upgrade, Google embedded a countdown ticker dedicated to Ethereum’s transition from proof-of-work (PoW) to proof-of-stake (PoS) consensus mechanism.
