Vitalik Buterin has put forth a proposal to streamline Ethereum over the next five years, drawing inspiration from Bitcoin's minimalist approach, with the aim of enhancing security, efficiency, and user adoption.

According to Buterin, the increasing complexity of $ETH has resulted in 'excessive development costs,' 'security vulnerabilities,' and a closed-off research and development environment.

In a comprehensive proposal released on Saturday, he outlined a strategy to simplify the blockchain's structure over the coming five years.

Vitalik Buterin Proposes Bitcoin-Like Simplicity for Ethereum

Buterin highlights the straightforward nature of Bitcoin's protocol as a valuable example.

He remarked that 'even a bright high school student can completely grasp and comprehend the Bitcoin protocol.'

This simplicity, as per Buterin, offers several significant advantages that Ethereum does not possess.

The proposal outlines several benefits associated with the simplicity of the protocol.

These benefits encompass enhancing the system's comprehensibility, fostering greater involvement in research and governance, decreasing infrastructure expenses, and minimizing long-term maintenance requirements.

Furthermore, it can mitigate the risks of severe bugs and diminish the potential for social attacks.

Buterin's proposal encompasses modifications to both the consensus and execution layers.



For the consensus layer, he advocates for the introduction of '3-slot finality' to eliminate the need for distinct slots and epochs.

More provocatively, Vitalik Buterin recommends substituting the Ethereum Virtual Machine (EVM) with either RISC-V or a more straightforward virtual machine.

He asserts that this change could result in a 'radical enhancement in efficiency,' potentially achieving a '100x+ performance improvement in numerous instances.'

Will the revamp boost the struggling ETH price

The suggested architectural modification arises during a time of significant price underperformance for Ethereum.

Over the past year, the price of $ETH has decreased by approximately 40%, whereas Bitcoin has experienced a gain of 63% in the same timeframe.

This stark contrast has prompted inquiries about Ethereum's market position and its long-term value proposition.

Vitalik Buterin's proposal may address several factors that are currently dissuading investors.

By reducing complexity, Ethereum could become more accessible to a broader range of developers and users, potentially enhancing its ecosystem.

Additionally, the proposal seeks to enhance scalability and security, which are critical concerns for institutional adoption.

Bitcoin's straightforward nature proves advantageous in volatile market conditions. Should Ethereum adopt some of these characteristics while retaining its programmability, it may perform more favorably in the upcoming market cycle.

Vitalik Buterin estimates that the complete transition could take up to five years, suggesting that short-term price impacts may be limited.

However, any signs of progress regarding the proposal could result in long-term price increases, coinciding with an analyst's observation that ETH is reflecting Bitcoin's rally.

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