What to Know
- Vitalik Buterin proposed building Distributed Validator Technology (DVT) directly into Ethereum’s staking system.
- Native DVT would let validators run multiple nodes under one identity, reducing failure risk and improving security.
- The idea aims to boost decentralization by helping more users stake independently instead of using large providers.
Vitalik Buterin has shared a new proposal that could make Ethereum staking more secure and more decentralized. The idea focuses on bringing Distributed Validator Technology (DVT) directly into Ethereum’s core system, instead of relying on complex third-party tools.
The proposal is still under community discussion, but it has already sparked interest because of how simple and practical it aims to be.
What Is DVT and Why It Matters
DVT, or Distributed Validator Technology, is a way for Ethereum stakers to avoid relying on just one machine. Normally, a validator runs on a single node. If that node goes offline or fails, the validator can lose rewards or face penalties.
With DVT, the validator’s key is split across multiple nodes. These nodes must work together to approve actions. As long as more than two-thirds of them are honest and online, the validator continues to work correctly. Today, tools like ssv.network and Obol already offer DVT-style setups. But they can be hard to configure and manage, especially for individuals.
While existing DVT tools improve security, they come with challenges. Setting them up requires technical expertise, constant coordination between machines, and extra networking work. These solutions also depend on specific cryptographic properties that may not be ideal in the long run. Because of this complexity, many people prefer to stake through large providers rather than run their own validators. Buterin believes this reliance on staking providers hurts Ethereum’s decentralization.
Vitalik’s Proposal
To solve these issues, Buterin proposed integrating DVT directly into Ethereum’s staking protocol. Under this design, a validator with enough Ethereum could register multiple keys under one identity. For example, a validator could use up to 16 keys and set a minimum number of keys required to approve an action.
These keys act as “virtual identities” that always move together. When Ethereum assigns tasks like proposing or approving blocks, all of these identities are assigned as a group.
How Rewards and Penalties Would Work
From Ethereum’s perspective, these virtual identities are treated as one group. An action only counts if enough keys agree. If the required number of keys sign off on a block, the validator earns full rewards. If fewer than that number agree, the validator earns nothing for that action.
Penalties would only apply if enough keys clearly vote in conflicting ways. This makes accidental punishment much harder than in single-node setups. Buterin warned that unsafe settings, like requiring too few keys, could still cause problems and should be avoided.
One major benefit of this proposal is simplicity. Stakers would only need to run multiple copies of the standard Ethereum software. No extra tools or complicated systems are required. Only block creation would need slight coordination, where one node takes the lead and others confirm it. Regular approvals would not become slower. The design also avoids dependence on specific cryptographic tricks, making it easier to adapt in the future.
How This Helps Decentralization
Buterin said this approach could encourage more people to stake on their own instead of relying on large providers. That would spread power more evenly across the network. It would also make decentralized staking projects easier to run, lowering technical barriers and allowing more diverse participation.
Earlier today, Buterin also spoke about his focus on decentralized social platforms. He said better societies need communication tools that serve users’ long-term interests, not short-term attention. He shared that he has already been posting using decentralized social apps like Lens and Farcaster and plans to spend more time there this year.
Final Thoughts
While this proposal gained attention, Ethereum’s price dropped over 6% in the past 24 hours due to broader market fears and heavy selling.
Despite the short-term price pressure, Buterin’s proposal shows that long-term development on Ethereum is still moving forward. For now, the native DVT idea remains a proposal but it offers a clear vision of safer, simpler, and more decentralized Ethereum staking.
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