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0 sats \ 0 replies \ @grayruby 7 Oct 2024 \ parent \ on: Coinbase's Talks With TradFi Firms Pick Up as Crypto Becomes More Bipartisan Politics_And_Law
Firstly slashing is a terrible precedent, it ruins the censorship resistance of the protocol which is one of the only reasons to have a blockchain in the first place but I understand why they need to have it. Because PoS is inherently fragile and centralizing they need someway to penalize those that misbehave. I just don't think any large entity will ever get slashed even if they are a bad actor. It's a damned if you do, damned if you don't. If a bad actor gets slashed then everyone has to take pause and say "is it possible my stake could get slashed as well" and if a bad actor doesn't get slashed it shows large stakers can control the protocol. I actually hope it happens at some point that they need to make that decision because I would be fascinated to see how it plays out but I am sure ethereum proponents and stakers hope it never comes to that.