The Ethereum blockchain’s nature has made it a hub for thousands of decentralized applications in the Web3 industry. Data reveal that, as of the second week of May 2021, the amount of locked Ethereum stood at 19,375,242 ETH, which is approximately $34.8 billion at a $1,800 rate.
In an article written by Vitalik Buterin, the co-founder and creator of Ethereum, he explicitly stated that there are various uses or applications of the Ethereum blockchain which bear huge risks for the entire ecosystem.
Proposals on the Ethereum blockchain
He pointed out that proposals like the Ultimate Oracle, which allows users to “vote on what facts are true by sending ETH, with a SchellingCoin mechanism”; Re-staking, where users can stake their ETH while simultaneously depositing it in another protocol, as seen in EigenLayer; and L1-driven recovery of L2 projects, where an L1 can help recover an L2 project through a fork, are promising but require careful implementation.
“These proposals are generally made in a well-intentioned way, and so the goal is not to focus on individuals or…