CFTC May Approve Ethereum Futures

As reported by CoinDesk, this decision will consolidate the jurisdiction of the department over the ETH markets, since now it is limited to compulsory tools
06 May 2019   1075

The US Commodity Futures Trading Commission (CFTC) is ready to approve the launch of Ethereum futures, if requested. It is reported by CoinDesk, citing a senior official of the department.

This decision will consolidate the jurisdiction of the department over the Ethereum markets, since at the moment it is limited to compulsory tools. At the same time, the launch of non-deliverable futures will allow institutional players to safely interact with the second largest capitalization cryptocurrency in a strictly regulated environment.

According to market participants, the green light from the CFTC may in the long run have a positive impact on the approval process of cryptocurrency ETFs by the US Securities and Exchange Commission (SEC), and also strengthen retail investor confidence in the future.

In mid-December last year, the CFTC requested public comments on Ethereum technology and its applications. The Commission explained its interest by the need to develop regulatory standards for ETH and related markets.

As a result, the Commission received 35 responses from various organizations, companies and individuals, including the Coin Center, Blockchain LLC, Circle, Coinbase, ErisX and Craig Wright.

Potentional Vulnerabilities Found in ETH 2.0

Least Authority have found potentional security issues in the network P2P interaction and block proposal system
26 March 2020   912

Technology security firm Least Authority, at the request of the Ethereum Foundation, conducted an audit of the Ethereum 2.0 specifications and identified several potential vulnerabilities at once.

Least Authority said that developers need to solve problems with vulnerabilities in the network layer of peer-to-peer (P2P) interaction, as well as in the block proposal system. At the same time, the auditor noted that the specifications are "very well thought out and competent."

However, at the moment there is no large ecosystem based on PoS and using sharding in the world, so it is impossible to accurately assess the prospects for system stability.
Also, information security experts emphasized that the specifications did not pay enough attention to the description of the P2P network level and the system of records about Ethereum nodes. Vulnerability risks are also observed in the block proposal system and the messaging system between nodes.

Experts said that in the blockchains running on PoS, the choice of a new block is simple and no one can predict who will get the new block. In PoS systems, it is the block proposal system that decides whose block will fall into the blockchain, and this leads to the risk of data leakage. To solve the problem, auditors suggested using the mechanism of "Single Secret Leader Election" (SSLE).

As for the peer-to-peer exchange system, there is a danger of spam. There is no centralized node in the system that would evaluate the actions of other nodes, so a “malicious" node can spam the entire network with various messages without any special punishment. The solution to this problem may be to use special protocols for exchanging messages between nodes.