Ethereum’s Great Rollback Debate: Can We Just Hit Undo? 😂

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In the grand theater of cryptocurrency, a calamity of epic proportions has unfolded, akin to a tragic play where the protagonist, Bybit, finds its hot wallet besieged. A mere attempt at a legitimate transfer spiraled into chaos, resulting in the audacious theft of approximately $1.5 billion, predominantly in ETH, whisked away to an unknown address like a magician’s disappearing act.

As the dust settles, the crypto community, ever the vigilant audience, has turned its gaze toward the stage, where some illustrious figures now advocate for a rollback of Ethereum’s chain. Ah, the sweet scent of nostalgia wafts through the air, reminiscent of simpler times when hacks were but a whisper in the wind.

Hayes and Mow: The Dynamic Duo

Enter Arthur Hayes, the former BitMEX CEO, who, with a flourish, proclaims himself a “mega ETH bag holder.” In the wake of the attack, he suggests a rollback, reminiscing about the days when ETH was still a sprightly young currency, before it lost its way in 2016 during a hard fork that birthed Ethereum Classic after a $60 million heist against The DAO. Ah, the irony of history repeating itself!

Not to be outdone, the ever-enthusiastic Samson Mow, a Chinese-Canadian entrepreneur and CEO of JAN3, joins the chorus. He argues that a rollback would not only restore the stolen ETH to Bybit but also thwart the nefarious plans of the North Korean government, who might otherwise use those funds to finance their nuclear ambitions. Because, of course, nothing says “peace” like a blockchain rollback!

But wait, there’s more! Mow suggests that this rollback could also serve as a golden opportunity to recalibrate EIP-1559, the deflationary burn mechanism that has, let’s say, seen better days. Perhaps a sprinkle of oracalized zkflux capacitation layer could do the trick? Who knew blockchain could be so… culinary?

While we roll back, this is also an opportunity to adjust EIP-1559 to correct the deflationary burn mechanism. Perhaps with the addition of an oracalized zkflux capacitation layer to optimize the burn.

We can talk more in person at @EthereumDenver.

— Samson Mow (@Excellion) February 22, 2025

The Perils of Nostalgia

Ah, but the siren call of a rollback is fraught with peril! It may sound as simple as flipping a switch, yet it is a labyrinthine endeavor that could unravel the very fabric of the blockchain. To roll back is to rewind time, erasing not just the stolen ETH but also a myriad of innocent transactions, like a cosmic eraser gone rogue.

Such maneuvers have been executed only a handful of times, and each instance is steeped in controversy, as it challenges the sacred principle of immutability that underpins the blockchain. The Ethereum landscape has grown exponentially more intricate since those halcyon days, and many voices in the community echo the risks of such a drastic measure.

Let’s pretend for a moment that we were philosophically ok with another rollback:

– how many people that bridged or swapped assets would have their actions undone, for better or for worse?

– how many stablecoins or tokenized RWAs would suddenly be unbacked?

– how many L2s would…

— Quit (@0xQuit) February 22, 2025

As the curtain falls on this act, we await the words of the great Vitalik Buterin and the other titans of Ethereum, who have yet to grace us with their thoughts on this unfolding drama. Will they take the stage, or will they remain in the shadows, watching the spectacle unfold with bemused expressions?

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2025-02-22 15:47