Vitalik Buterin surprisingly revealed on the Bankless Podcast that he only stakes a relatively small amount of his own ETH due to concerns about security and the complexity of maintaining safety.
“If you stake ETH, the keys to access it have to be exposed on some online systems. To ensure security, we need multiple signatures, but setting up and managing multi-signature for staking is still quite difficult and extremely complex.”
In 2021, Justin Drake, a researcher at the Ethereum Foundation, also shared his perspective on staking ETH. He mentioned that he does not stake all of his ETH holdings.
In contrast to the views of Vitalik Buterin and Justin Drake, Charles Hoskinson, CEO of Input-Output and co-founder of Cardano, confidently stakes all of his ADA holdings. He has also stated that Ethereum lacks “appropriate design.”
“I’ve heard this several times and don’t know what to say. Currently, all of my ADA has been staked. Perhaps this (ADA) is indeed the appropriate design for the PoS protocol.”
Max Radeleus, co-founder of INTU – a protocol that introduced dEOAs (externally owned accounts) at ETHDenver this year, argues that Vitalik Buterin is underestimating what can happen with the continued innovation of Ethereum.
Max Radeleus said:
“As Buterin has emphasized, on-chain security solutions are currently facing difficulties, and if he is struggling with them, who can avoid them? However, we have not yet completed the innovation process on Ethereum! dEOAs make the setup of multi-party compute (MPC) accounts simple, addressing many of Vitalik’s concerns and perhaps necessary to continue embracing staking.”