Vitalik Buterin voiced his opinion on rules that affect the internal workings of a crypto ecosystem while discussing his views on crypto legislation. Vitalik Buterin, the co-founder of Ethereum, took his opinion to Twitter, stating that the cryptocurrency ecosystem has to develop and align with the regulatory frameworks that allow for the internal freedom of crypto projects.
Buterin believes that the ecosystem needs time to develop, as he approves the postponement of ETFs.
Despite ETFs soaring lately, Buterin voiced his opposition to rules that affect the internal workings of a crypto ecosystem while discussing his views on crypto legislation. In light of the current situation, he thought it was preferable to have policies that provide internal autonomy for crypto projects, even if doing so hinders widespread acceptance. He stated:
“I’m relieved that many exchange-traded funds (ETFs) are being postponed. Before we receive more attention, the ecosystem must have time to develop.”
Another issue raised by Buterin was the usage of know-your-customer (KYC) frontends for decentralised finance (DeFi). But he emphasised the necessity of KYC on cryptocurrency exchanges, which has been widely implemented. According to the business person:
According to him, users might find it annoying, but KYC on DeFi frontends wouldn’t stop hackers. Hackers already write custom code to interface with contracts.
Finally, Buterin suggested employing zero-knowledge proofs to satisfy legal specifications while protecting user privacy, saying that she “would love to see regulations designed in such a manner that needs may be achieved by zero-knowledge proofs as much as feasible.”
Vitalik’s earlier remarks on crypto
This is not the first time we see Vitalik offer his opinions on crypto regulation. Buterin has seen the world he built to change with pride and horror, despite the value and volume of specific cryptocurrencies that keep skyrocketing. Ethereum has made a few white guys unimaginably wealthy, polluted the environment, and become a platform for mind-boggling fraud, tax evasion, and money laundering.
A few months ago, Buterin expressed his concerns about the risks to overzealous investors, the rising transaction costs, and the obscene wealth displays that have come to dominate public perception of cryptocurrencies. The Bored Ape Yacht Club, a trendy NFT collection of garish primate cartoons that have become a digital-age status symbol for millionaires like Jimmy Fallon and Paris Hilton and which has traded for more than $1 million per piece, is the subject of his comment:
“The peril is you have these $3 million monkeys, and it becomes a different kind of gambling.”
Later, Buterin expressed his desire for Ethereum to serve as a platform for various sociopolitical experiments, including more equitable voting procedures, universal basic income, urban planning, and public works initiatives. Above all, he hoped the platform would challenge totalitarian regimes and break Silicon Valley’s influence on our digital lives. However, he conceded that greed might eclipse his vision for Ethereum’s transformational capacity. He has, therefore, been unwillingly playing a more significant public role in determining its destiny.
He continued, “If we don’t exercise our voice, the only things that get created are the instantly lucrative things. Those are frequently very different from what is truly best for the globe.”