The Black Swan Event That Could Cause a Fork in Ethereum (Again) - Ep. 600

Sign up for our free newsletter here!

Listen to the episode on Apple Podcasts, Spotify, Fountain, Overcast, Podcast Addict, Pocket Casts, Pandora, Castbox, Google Podcasts, Amazon Music, or on your favorite podcast platform.

This week a major potential risk to Ethereum was highlighted by a bug that surfaced in Nethermind, a minority execution client. While the bug was fixed quickly, it raised the question of what would happen to the blockchain if Geth, which is used by more than two-thirds of validators and so is considered a “supermajority client,” had a bug. The situation could potentially result in a catastrophic fork of Ethereum. 

Ethereum developer Lefteris Karapetsas joined Unchained to discuss the different scenarios of what could happen, the potential impact of a supermajority client issue on staking services such as Lido, why he feels the incentive system is poorly designed, and what other solutions are out there to address the lack of client diversity. 

Show highlights:

• What a consensus issue is in Ethereum and what happened with Nethermind last weekend
• Why it would be a big problem if a supermajority client had a bug
• The potential impact on staking services such as Lido
• Why Lefteris feels like he is reliving the historic Ethereum DAO hack all over again
• Whether the largest entities running nodes will start pursuing client diversity
• How the data on the prevalence of specific Ethereum execution clients is not verifiable or programmatic, making it less transparent and difficult to analyze
• Why Lefteris believes that the incentive system is not designed to achieve client diversity
• Whether there are developments in the works to try to solve the lack of client diversity 

Thank you to our sponsors!

• Popcorn Network
• iTrustCapital

Guest 

• Lefteris Karapetsas, Founder of Rotkiapp
• Previous appearance on Unchained: Is Code Law? Should the Hacker Be Punished? The DAO Creators Disagree

Links

• Unchained: 
• Most Ethereum Staking Pools Are Using Just One Execution Client, Potentially Increasing Risks to the Network
• The Chopping Block: Data Availability & Why It’s Important
• CoinDesk: Bug That Took Down 8% of Ethereum's Validators Sparks Worries About Even Bigger Outage
• The Defiant: Ethereum Software Client Centralization Sparks Concern
• Crypto.news: Nethermind rolls out urgent fix for block processing bug in Ethereum client
• Lukasz Rosmej’s tweet that minority client Nethermind had a consensus issue
• Lefteris’ tweet on a supermajority Ethereum client bug 
• Coinbase CEO Brian Armstrong's tweet on what he’d do in a censorship resistance request scenario
• Run the majority client at your own peril! by Dankrad Feist

Learn more about your ad choices. Visit megaphone.fm/adchoices