The Ethereum community has expressed mixed opinions on whether the implementation of reversible transactions is a step forward.
An important aspect of cryptocurrencies is the irreversibility of transactions. Proponents of reversible transactions point to increased security, while critics argue that under the proposal, Ethereum reflects a banking system that it argues against.
Stanford University Researchers Introduce Reversible Ethereum Trading
September 24th, @kalli_jennerBlockchain researcher at Stanford.
She spoke of a “quorum of judges” to oversee and approve revocation requests. She believes this will make the ecosystem more secure.
In this system, victims report stolen funds and request freezing. Freezing means that funds cannot be sent from your current address.
Based on preliminary evidence, the judge will decide whether to freeze the funds. In the former case, the next stage is a trial in which both parties present evidence in support of their respective cases.
At the heart of this proposal are the new ERC-20R and ERC-721R token standards. These operate under governance agreements for enforcing majority decisions of judges.
@kalli_jenner said the above is an early working model and invites the community to send feedback to improve the suggestions.
The ETH community is divided
To support reversible transactions, Azra Games co-founder, @tjboudreaux, said the concept makes sense in terms of facilitating assurances for blockchain users. However, he asked for more research into governance models to ensure the most appropriate ones are used.
Eliminates mistrust around reversible transactions.
How many of you have risked a mortgage chain after depleting your wallet?
More governance and security models should be investigated if a particular asset class is to be seen on-chain.
— tjboudreaux.eth (5555) (@tjboudreaux) September 25, 2022
However, with the recent move to Proof-of-Stake and the Tornado Cash debacle, many people have expressed concerns as Ethereum’s centralization and censorship issues have arisen.
@monet supply Implicit reversible transactions blur the lines between cryptocurrencies and banking systems, adding that the process “essentially breaks” DeFi’s advantages, such as quick payments and features like atomic swaps.
Break down centralization/control points, @glyph It linked Ethereum to the World Economic Forum and hinted at a secret connection between the two.
For more specific issues, @FatManTerra He expressed concern over the “decentralized court system” model, arguing that it is susceptible to corruption and manipulation by founders and early adopters.
