Cryptocurrency enters its "teenage period", how will Ethereum develop in the future?

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Vitalik discussed the technological improvements being made on the Ethereum mainnet, such as enhancing decentralization, reducing confirmation times, and improving scalability, which will play a crucial role in Ethereum's future success.

Vitalik stated that starting from 2025, he will only publicly acknowledge L2s that have reached Stage 1 or higher in decentralization, where the L2 network requires a 75% council consensus to overturn the proof system, and at least 26% of the council members must be independent of the rollup team. He believes "this requirement is reasonable and necessary for the security of the network. Moreover, other L2s focused on zero-knowledge technology are also approaching Stage 1.

Ethereum's "User Experience Revolution" and Development Direction

Vitalik also emphasized the progress of account abstraction technology and the "user experience revolution". Currently, the mainstream public still has reasons not to use crypto assets, such as "the inefficiency of cryptocurrencies", but this is not due to the limitations of the technology. Blockchain has been empowering the internet, playing the role of "digital concrete" (blockchain can create a digital hardness, creating a robust and damage-resistant persistent digital structure, just like using concrete to create a hard physical structure).

In fact, users can now create a simple real account (smart contract wallet), and can only send transactions from it when they generate a proof that they control a specific email address. Therefore, the basic social recovery functionality of Web2 can now be introduced into the Web3 world.

Vitalik also mentioned the need to improve wallet security, especially to protect them from the harm of centralized participants. He commented on the extreme self-sovereign wallets (seed phrase cold wallets) or the traditional choices relying on trusted third parties (CEX), both of which have inherent flaws.

In comparison, he believes that multi-signature smart wallets are a more balanced solution. By requiring multiple private keys to authorize transactions, multi-signature wallets can provide enhanced protection for user funds while still maintaining a high degree of privacy. (Note: Multi-signature security means users have multiple keys, for example, 6 keys, and 4 are required to send a transaction. Even custom rules can be set, where only 1 key is needed for small transactions).

In addition, Vitalik also discussed the ongoing technical improvements on the Ethereum mainnet, such as enhancing decentralization, reducing confirmation times, and improving scalability, which will play a key role in Ethereum's future success.

According to his forecast, the future Ethereum ecosystem will evolve towards social networks, payment systems, private mining pools, zero-knowledge and human-proof technologies, while maintaining decentralization and practicality.

Let's wait and see as this "adolescent" protocol gradually matures.

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