Ethereum co-founder Vitalik Buterin has responded to growing concerns about the security of Layer 2 (L2) networks after claims surfaced that these networks could potentially allow fund theft.
Buterin clarified that the system has safeguards in place, particularly a Phase 1 rule that requires a 75% approval from the security committee to make any code changes, which serves as a key protective measure.
He also emphasized that at least 26% of voting members must be independent, preventing companies like Optimism and Arbitrum from having unilateral control over user funds.
This structure is designed to ensure that no single entity can misuse or access users’ assets without proper oversight.
Buterin’s statement comes as his on-chain activity has drawn attention. Lookonchain recently reported that a wallet linked to Buterin transferred 800 ETH (around $2.01 million) to a multisig wallet.
Additionally, 190 ETH from this wallet was converted into 477,000 USDC.
This follows a previous transfer on August 9, when Buterin moved 3,000 ETH (worth $8.04 million at the time) to the same multisig wallet.
The Bank of Canada has announced that it is winding down its efforts on retail central bank digital currency (CBDC), as per an update on its website.
Circle is preparing for its initial public offering (IPO) and is set to relocate its headquarters to Wall Street in 2025, according to CEO Jeremy Allaire.
Crypto trader Michaël van de Poppe suggested that the Federal Reserve’s recent decision to cut interest rates by 50 basis points could positively influence the crypto market.
Solana Mobile has officially introduced its new cryptocurrency smartphone, “Seeker,” previously known as “Chapter Two.”