Elon Musk wonders why Vitalik Buterin, co-creator of Ethereum, left X (formerly Twitter).
It has been noticed that Buterin has recently been actively participating on Farcaster, a social media platform focused on the crypto world, which bears similarities to Twitter.
Let’s see below all the details.
Summary
Vitalik Buterin leaves X: Elon Musk’s question about the ‘father’ of Ethereum
As anticipated, Elon Musk questioned the reasons behind the departure of Vitalik Buterin, co-founder of Ethereum, from the X platform, previously known as Twitter.
His question was prompted by a comment from the X Autism Capital account suggesting Buterin’s return to X.
Buterin has been actively involved in Farcaster, an alternative to Twitter focused on the world of cryptocurrencies. In February, he expressed his appreciation for Farcaster, highlighting the advantages of channels compared to Twitter.
The recent success of Farcaster is evident, especially with the launch of Frames, which has made posts on Farcaster interactive, leading to an increase in daily active users and revenue. Furthermore, the support for Solana addresses has contributed to the growth of the platform.
However, according to Autism Capital, to promote Ethereum, Buterin should be more involved in X rather than isolating himself in Farcaster.
On Farcaster, Buterin has almost 180,000 followers, while on X he has 5.2 million, continuing to post even though with less frequency.
Buterin: anti-correlation incentive program to strengthen decentralization in Ethereum
In a recent blog post Vitalik Buterin presented an innovative plan called “anti-correlation incentives” aimed at enhancing decentralization in the staking process.
The main goal of the proposal is to introduce sanctions for the “trivial failures” of validators, such as the lack of attestations.
The theory behind this proposal is the replication of errors in a decentralized blockchain context.
Buterin explains that mistakes made by a single participant are more likely to be repeated by others controlled by the same actor, thus undermining genuine decentralization.
Therefore, the proposal of anti-correlation incentives aims to mitigate these issues.
The sanctioning program provides increasing penalties for repeated improper behaviors, introducing a gradual approach to discouraging harmful actions.
In the past, Ethereum has only used similar mechanisms in exceptional circumstances, but now aims to integrate them into daily activities.
Buterin highlighted that large stakeholders managing many validators on the same Internet connection or on the same computer could cause “disproportionate related failures”, thus undermining decentralization.
However, it ensures that the sanctions will be limited to large stakeholders to avoid a negative impact on smaller validators.
Furthermore, the founder of Ethereum has emphasized the importance of maintaining operational efficiency along with decentralization and network resilience, indicating that this strategy aims to ensure a balance between these objectives.
Ethereum and Litecoin classified as commodities by the CFTC
The Commodity Futures Trading Commission (CFTC) has recently defined Ethereum (ETH) and Litecoin (LTC) as commodities, setting an important precedent in the context of cryptocurrency regulation.
This determination was made as part of a legal action by the CFTC against the cryptocurrency exchange KuCoin, accused of illegal off-exchange commodity transactions without proper registration.
This case follows the criminal charges brought by the Department of Justice against KuCoin and its founders, highlighting the careful regulatory oversight of cryptocurrency exchanges operating in the United States.
The complaint focuses on KuCoin’s business practices, including the unregistered trading of Bitcoin, Ethereum, and Litecoin, now officially classified as commodities by the CFTC.
This move has significant implications for the market, especially in relation to debates on the classification of cryptocurrencies as commodities or securities.
While the SEC is exploring the possibility of classifying ETH as a security, this decision by the CFTC further strengthens the status of Ethereum and Litecoin as commodities, potentially influencing the ongoing debate on the nature of cryptocurrencies.
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