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Home»ADOPTION NEWS»Vitalik Buterin on the future of Ethereum: improving decentralization and permissionlessness
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Vitalik Buterin on the future of Ethereum: improving decentralization and permissionlessness

By Crypto FlexsMay 18, 20243 Mins Read
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Vitalik Buterin on the future of Ethereum: improving decentralization and permissionlessness
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In his blog post titled “The short- and medium-term future of improving permissionlessness and decentralization of the Ethereum network,” Vitalik Buterin Describes important developments in the Ethereum network. The primary focus is on developing strategies and implementing key protocol improvements to improve the experience of node operators and users at both Layer 1 and Layer 2.

Ethereum’s development goals

The Ethereum community and developers continue to question whether the network’s development is aligned with the right goals. Concerns about the decentralization of the network are being addressed along with the technical capacity to deliver large and important features, and many of these improvements are already underway. The focus now is on addressing concerns raised by the community and providing workable solutions.

Miner Extractable Value (MEV) and Builder Dependencies

Miner Extractable Value (MEV), a form of revenue that can only be earned by executing complex strategies within various DeFi protocols, has raised concerns within the Ethereum community. This form of revenue allows large actors to earn higher profits per block due to their ability to optimize their extraction algorithms. Ethereum researchers are working to minimize this problem by limiting the power of builders while allowing them to optimize arbitrage and other forms of MEV collection. The goal is to prevent certain types of attacks by reducing the builder’s ability to exclude or delay transactions.

Liquid Staking

Most Ethereum staking is currently performed by a variety of providers, including DAOs and centralized operators such as Lido and RocketPool. However, solo stakers still represent a relatively small percentage of overall Ethereum staking. The Ethereum community is exploring ways to increase solo staking by reducing minimum deposit amounts and simplifying the setup process. The goal is to make solo staking more accessible and economically viable for more participants.

Hardware Requirements for Nodes

The accessibility of running nodes has been a controversial issue within the blockchain community for the past decade. While running a node is currently difficult and requires significant resources, Ethereum is working on solutions to reduce hardware requirements. Implementing Verkle trees and EIP-4444 can reduce node hardware requirements to less than 100GB. Future developments may further reduce these requirements.

conclusion

Ethereum is taking steps to move away from dependence on a few large actors to run the network. Current protocol proposals highlight the need for a truly decentralized network, with developments such as stateless nodes, MEV relaxation, and single-slot finality already underway. However, much work remains to be done to further strengthen Ethereum’s decentralization and permissionlessness.

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