The ongoing debate over the Ethereum hard fork decision has brought some interesting concepts to light. Unfortunately for Ethereum investors and holders, it turns out not all of the hyped projects were created through proper coding. Even the Ethereum code base itself is rather fragile, as showcased by the replay attack vector. The DAO Was A Mistake, Plain And Simple
On paper, the concept behind the DAO was a very solid one, as it holds a lot of promise. Letting users create their own autonomous organizations on the blockchain is one of the many possible outcomes for the future. Unfortunately, this project was ahead of its time by quite a margin, despite raising over US$150m during their crowdfunding efforts.
It became apparent rather quickly this project was very rough around the edges, though. Attackers managed to drain funds from the DAO not once, but twice due to a vulnerability known to the developers. Despite knowing the risk, the Slock.it team went ahead and continued to hype their project. A lot of people put money into The DAO, and when funds started going missing, panic ensued.
Luckily, the situation got resolved by the Ethereum developers, even though they should have abstained from intervening. Then again, most of them put a lot of money into this project as well, and they wouldn’t take the financial loss and roll over. Instead, they decided to hard fork Ethereum , removing any censorship-free aspects ever associated with this project. Hard Forking Was A Bigger Mistake
If every Bitcoin investor who lost money due to a failed project would ask for their money back, there would have been hundreds of hard forks. No one took action when Mt. Gox went under. A lot more money was lost back then compared to The DAO’s problems. Plus, […]
