"Hacked"...Ethereum warned of competitive exclusion without 'Proof of Validity'

▲ Ethereum (ETH)/AI-generated image

Ethereum (ETH) is facing pressure for a technical transition following a series of large-scale security incidents. In the market, there is a growing call to quickly adopt proof of validity to restore network trust and maintain competitiveness.

According to cryptocurrency media outlet U.Today on April 20 (local time), a series of hacking incidents recently occurred in the decentralized finance (DeFi) sector, exposing structural vulnerabilities in the Ethereum ecosystem. Approximately $293 million worth of assets were stolen from the Kelp DAO protocol, with attackers exploiting a LayerZero-based bridge to siphon off about 116,500 rsETH. This was recorded as the largest DeFi hack in 2026.

Barnabé Monnot, a researcher at the Ethereum Foundation, described this situation as a turning point for the ecosystem's transition. He emphasized that Ethereum must go beyond being a mere transmission infrastructure and act as an 'official record keeper of issuance.' He explained that the reality of recurring hacking incidents clearly demonstrates the need for network structure improvement.

Proof of validity and fast finality are presented as key solutions. Monnot analyzed that shortening transaction confirmation times and reducing delays are essential to avoid falling behind high-speed networks like Solana in competition. Currently, Ethereum is pursuing technological advancement focused on three pillars: Layer 1 scaling, expanding data processing capacity, and improving user experience.

Overall market anxiety is also growing. The Solana-based platform Drift also experienced an outflow of hundreds of millions of dollars in assets, shaking overall security trust in the blockchain. Accordingly, Ethereum developers are moving to improve the structure by strengthening protocol-level trustlessness and increasing cost efficiency while maintaining security.

Ethereum stands at a turning point to leap forward as a global asset issuance platform. The introduction of proof of validity is evaluated as a task directly linked to network survival, beyond a simple technical upgrade. It is a time when more fundamental technological innovation is required to prevent recurring security incidents and restore market trust.

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