Quick HighlightsFOCIL aims to prevent an oligopoly of Ethereum validators.Critics fear legal risks for U.S. validators under FOCIL.Buterin's vision: Ethereum as a neutral ”dumb pipe” free from control.Ethereum's New Proposal: Vitalik Buterin Defends EIP-7805 Against CriticismEthereum co-founder Vitalik Buterin responded to criticism of the EIP-7805 (FOCIL) mechanism, a proposal designed to ensure Ethereum's first level (L1) remains a neutral network. This mechanism is intended to prevent the formation of an oligopoly among builders, preserving Ethereum's decentralized nature.The EIP-7805 proposal was brought to light by user Amin Soleimani. It’s important to note that Buterin himself is the author of the FOCIL concept, which was submitted for consideration in November 2024. Although the proposal is still in draft status and awaiting approval, it has already stirred significant controversy.FOCIL, aimed at combating Ethereum’s centralization, involves introducing 16 additional validators per slot. One validator would have the authority to determine the order of transactions, although all proposed transfers would still be included in the block.But Soleimani voiced concerns about the potential risks this could bring to validators, arguing that the implementation of this mechanism would increase legal liabilities, particularly for those operating in the U.S. Ethereum’s anti-censorship measures have so far allowed node operators to avoid the inclusion of transactions involving sanctioned services like Tornado Cash, only delaying their processing rather than excluding them entirely.Is Ethereum's Neutrality at Risk with FOCIL? The Legal Debate ExplainedSoleimani argued that under FOCIL, validators would no longer be able to filter out transactions from sanctioned services. He expressed concern that this could expose U.S. validators to legal risks. Soleimani noted:”If I were the U.S. government, I would 100% support FOCIL. It means I can arrest any U.S. validator, confiscate their assets, and prosecute them for violating sanctions.”Buterin responded to these criticisms by emphasizing that the goal of FOCIL was to protect Ethereum's L1 status as a ”dumb pipe” — a neutral network that only transmits data without controlling it.Buterin’s Vision: Why Ethereum Must Stay a ‘Dumb Pipe’Buterin firmly believes that forcing validators to include sanctioned transactions is necessary for Ethereum's long-term health. He stressed that Ethereum's L1 must remain neutral, free from interference by any single entity, including validators. This neutrality is achieved by introducing several safeguards:Ensuring the mempool is stable and functional for simple block creation.Creating non-protocol technologies for distributed block construction.Establishing multiple channels to enable transactions.FOCIL is one of the latest mechanisms to achieve these goals. Buterin argues that it provides benefits to both validators and attesters, making the latter's work simpler from a technical standpoint.Can FOCIL Secure Ethereum’s Decentralized Future?With the potential adoption of EIP-7701, Buterin envisions expanding FOCIL’s capabilities to further eliminate centralized intermediaries. The ultimate goal is to prevent an oligopoly of validators from gaining veto power over which transactions get included in blocks.In response, Soleimani emphasized that Ethereum was never intended to be a “passive channel.” For him, Buterin’s vision of Ethereum as a neutral pipe is an ideal that fails to reflect the reality of Ethereum’s current status.Quick HighlightsFOCIL aims to prevent an oligopoly of Ethereum validators.Critics fear legal risks for U.S. validators under FOCIL.Buterin's vision: Ethereum as a neutral ”dumb pipe” free from control.Ethereum's New Proposal: Vitalik Buterin Defends EIP-7805 Against CriticismEthereum co-founder Vitalik Buterin responded to criticism of the EIP-7805 (FOCIL) mechanism, a proposal designed to ensure Ethereum's first level (L1) remains a neutral network. This mechanism is intended to prevent the formation of an oligopoly among builders, preserving Ethereum's decentralized nature.The EIP-7805 proposal was brought to light by user Amin Soleimani. It’s important to note that Buterin himself is the author of the FOCIL concept, which was submitted for consideration in November 2024. Although the proposal is still in draft status and awaiting approval, it has already stirred significant controversy.FOCIL, aimed at combating Ethereum’s centralization, involves introducing 16 additional validators per slot. One validator would have the authority to determine the order of transactions, although all proposed transfers would still be included in the block.But Soleimani voiced concerns about the potential risks this could bring to validators, arguing that the implementation of this mechanism would increase legal liabilities, particularly for those operating in the U.S. Ethereum’s anti-censorship measures have so far allowed node operators to avoid the inclusion of transactions involving sanctioned services like Tornado Cash, only delaying their processing rather than excluding them entirely.Is Ethereum's Neutrality at Risk with FOCIL? The Legal Debate ExplainedSoleimani argued that under FOCIL, validators would no longer be able to filter out transactions from sanctioned services. He expressed concern that this could expose U.S. validators to legal risks. Soleimani noted:”If I were the U.S. government, I would 100% support FOCIL. It means I can arrest any U.S. validator, confiscate their assets, and prosecute them for violating sanctions.”Buterin responded to these criticisms by emphasizing that the goal of FOCIL was to protect Ethereum's L1 status as a ”dumb pipe” — a neutral network that only transmits data without controlling it.Buterin’s Vision: Why Ethereum Must Stay a ‘Dumb Pipe’Buterin firmly believes that forcing validators to include sanctioned transactions is necessary for Ethereum's long-term health. He stressed that Ethereum's L1 must remain neutral, free from interference by any single entity, including validators. This neutrality is achieved by introducing several safeguards:Ensuring the mempool is stable and functional for simple block creation.Creating non-protocol technologies for distributed block construction.Establishing multiple channels to enable transactions.FOCIL is one of the latest mechanisms to achieve these goals. Buterin argues that it provides benefits to both validators and attesters, making the latter's work simpler from a technical standpoint.Can FOCIL Secure Ethereum’s Decentralized Future?With the potential adoption of EIP-7701, Buterin envisions expanding FOCIL’s capabilities to further eliminate centralized intermediaries. The ultimate goal is to prevent an oligopoly of validators from gaining veto power over which transactions get included in blocks.In response, Soleimani emphasized that Ethereum was never intended to be a “passive channel.” For him, Buterin’s vision of Ethereum as a neutral pipe is an ideal that fails to reflect the reality of Ethereum’s current status.

                                                                               Lawmakers in the US House of Representatives and Senate met with cryptocurrency industry leaders in three separate roundtable events this week.                     Members of the US Congress met with key figures in the cryptocurrency industry to discuss issues and potential laws related to the establishment of a strategic Bitcoin reserve and a market structure.On Tuesday, a group of lawmakers that included Alaska Representative Nick Begich and Ohio Senator Bernie Moreno met with Strategy co-founder Michael Saylor and others in a roundtable event regarding the BITCOIN Act, a bill to establish a strategic Bitcoin (BTC) reserve. The discussion was hosted by the advocacy organization Digital Chamber and its affiliates, the Digital Power Network and Bitcoin Treasury Council.“Legislators and the executives at yesterday’s roundtable agree, there is a need [for] a Strategic Bitcoin Reserve law to ensure its longevity for America’s financial future,” Hailey Miller, director of government affairs and public policy at Digital Power Network, told Cointelegraph. “Most attendees are looking for next steps, which may mean including the SBR within the broader policy frameworks already advancing.“Read more