Vitalik Buterin has proposed a roadmap for improving privacy on Ethereum, focusing on changes to DeFi wallets and applications to protect user information.
Ethereum co-founder Vitalik Buterin has unveiled a new roadmap that proposes substantial changes to how privacy is managed within the Ethereum ecosystem.
The initiative focuses on integrate privacy enhancements by default both in wallets and decentralized finance (DeFi) applications. Buterin's plan seeks to respond to a growing demand for greater confidentiality in digital transactions, an aspect that, according to the network's co-founder, is fundamental to Ethereum's mass adoption and sustainable development.
BUY ETHEREUMThe proposal directly addresses the need for users to have the option to keep their financial information protected, without having to resort to complex or third-party solutions that could compromise security or usability. Through the implementation of new tools and protocols, Buterin's vision is to build an environment where privacy is a priority. fundamental right and not an optional feature.
This new plan is broken down into several stages, from adopting privacy-enhancing systems in existing wallets to implementing profound changes to Ethereum's infrastructure, with a clear ambition: Transform Ethereum into a platform where privacy is as inherent as decentralization and security.
Privacy from the start: Buterin's proposal in detail
La proposal Vitalik Buterin's initiative focuses on integrating tools that enhance privacy from the moment a user interacts with Ethereum. This means that wallets must offer the "send from shielded balance" option by default. This is a mechanism that would anonymize transactions, providing a level of privacy that is currently not standard in most wallets.
With this change, Buterin seeks simplify the user experience, eliminating the need to install separate apps to protect your privacy.
Furthermore, the proposal raises the restriction on the use of "one address per application" within the DeFi space. To understand the importance and magnitude of this change, it's important to consider that it's now common for the same Ethereum address to be used across multiple DeFi applications, allowing a user's activity to be easily tracked across different platforms. Therefore, limiting usage to a single address per application would make this tracking more difficult, significantly increasing privacy. This proposed change, while it entails some sacrifices in terms of convenience, could break the public links between a user's activity across various applications.
BUY ETH HEREThese modifications are not limited to DeFi applications but also extend to Ethereum's underlying infrastructure. The proposed implementation of fork-choice enforced inclusion lists (FOCIL) and Ethereum Improvement Proposal (EIP) 7701 are also proposed.
On the one hand, FOCIL seeks to prevent censorship of transactions, including those that preserve privacy, while EIP-7701 aims to improve account abstraction, simplifying the development and maintenance of privacy protocols.
Benefits of Privacy by Default: A New User Experience
Implementing privacy by default in Ethereum could radically transform the user experience, offering a number of benefits beyond simple transaction confidentiality. A key advantage is the reducing vulnerability to targeted attacksBy making it difficult to track a user's financial activity, it reduces the likelihood of them being targeted for phishing, extortion, or identity theft.
In addition, privacy by default could encourage greater participation in the DeFi ecosystemMany users are reluctant to use DeFi applications due to a lack of privacy, which limits their adoption. By offering a more secure and confidential environment, new users could be attracted and greater potential for the growth of decentralized finance could be unlocked.
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Privacy could also drive innovation in the development of new DeFi applications. By eliminating the need for developers to implement complex and costly privacy solutions, resources are freed up that can be devoted to creating more innovative products and services. This could lead to the emergence of new DeFi applications that are more efficient, accessible, and user-friendly.
INVITE AND WINIt's important to note that privacy by default doesn't necessarily imply complete anonymity. Rather, it's about giving users greater control over their information and the ability to decide what data they share and with whom. This would balance the need for privacy with the need for transparency, which is fundamental to the functioning of a decentralized financial system.
Changes to the Ethereum protocol and infrastructure
According to Buterin, his proposal addresses not only applications and wallets, but also Ethereum's fundamental infrastructure. Among the most significant changes is the proposal to implement forced inclusion lists, or FOCIL. This initiative seeks to ensure that transactions, including those that use privacy protocols, do not be censored by validators or block producers.
In addition to FOCIL, the adoption of EIP 7701 is proposed, which focuses on improving account abstraction in Ethereum to facilitate the creation and use of privacy protocols without relying on relays or public broadcasters. Implementing this improvement proposal would allow third parties to pay transaction fees on behalf of users while maintaining their privacy.
Buterin also proposes a short-term solution based on trusted execution environments (TEE) to address the privacy limitations of current remote procedure call (RPC) systems. TEEs are secure areas within a processor that ensure the protection of code and data. As a long-term solution, TEEs should be replaced with a Private Information Retrieval (PIR) system, a cryptographic protocol that allows users to retrieve information from a database without revealing what item was retrieved.
LINK CARD AND EARNFinally, Buterin argues that wallets should connect to multiple RPC servers and use a separate RPC per DApp, as well as mixnets, technologies designed to hide metadata. He also recommends developing proof aggregation protocols for privacy-preserving protocols, which would significantly reduce fees for using such systems.
The future of privacy on Ethereum
Vitalik Buterin's proposed roadmap represents an ambitious vision for the future of privacy on Ethereum. If successfully implemented, it could transform the platform into a more secure, confidential, and accessible environment for everyone. The adoption of default privacy tools in DeFi wallets and applications, combined with improvements to Ethereum's underlying infrastructure, could lead to greater cryptocurrency adoption and the emergence of new and innovative DeFi applications.
However, it's important to recognize that implementing this roadmap will not be without challenges. Close collaboration between developers, researchers, and the Ethereum community as a whole will be required to overcome technical hurdles and ensure that the implemented privacy solutions are secure, efficient, and easy to use.
BUY ETH ON BIT2MEDespite these challenges, Buterin's vision offers a promising outlook for Ethereum's future. By prioritizing privacy, Ethereum could establish itself as a leading platform for decentralized finance and other applications that require a high degree of confidentiality.
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