Worldcoin launched a few months ago to advance Proof of Personhood, a digital verification process confirming a person’s identity. Since then, over 10 million people in 160 countries have registered for a World ID and wallet, completing 75 million transactions. In this blog, we explore Worldchain's features and its potential impact on blockchain.
Combating Bot Dominance
The Worldcoin Foundation plans to launch Worldchain, a new Layer 2 solution. This open-source platform is designed to fight bot dominance in blockchain transactions by prioritizing verified World ID holders, giving them block space and gas allowance.
Building a Network for Growth and Scalability
Worldcoin accounts for 44% of activity on the OP mainnet, sometimes reaching 80%. This high activity level led to the development of a dedicated network for growth and scalability. Worldchain reserves block space for verified users, ensuring faster transaction confirmations and providing a complimentary gas allowance.
The goal is to make blockchain more inclusive and lower entry barriers. The protocol aims to balance gas costs between casual users and heavy users, with financial support from the Worldcoin Foundation until equilibrium is reached. By balancing the load between bots and real users, Worldchain enhances transactions and ensures top-quality service.

Worldcoin isn’t distancing itself from Optimism; instead, its Layer 2 will be built atop Optimism’s Superchain network, also the basis for Base. The competition among Layer 2 solutions intensifies, and Optimism Superchain emerges as a favored platform for developers. It seems to offer extensive customization for users while staying compatible with other Superchains.
Establishing a Practical Ecosystem
In a landscape with numerous Layer 2 solutions, Worldcoin aims to distinguish itself by prioritizing human transactions over bot activities. Trading bots, commonly used in the crypto community for fast trades, often congest networks, limiting access for humans. Bot-generated spam has notably contributed to recent congestion issues on Solana.
Worldchain’s ecosystem will focus on DeFi and identity verification apps. Integration with World ID enhances this effort, providing Sybil resistance to prevent fake identities. Worldcoin encourages organic growth by rewarding World App users with regular WLD token airdrops for verifying their identities. WLD also functions as the network’s gas token, enhancing its utility. The core team is committed to building a robust ecosystem of practical Worldchain applications targeting real-world needs like secure payments, stablecoins, and streamlined identity verification. This focus on usable applications aims to attract a broader audience and drive organic user growth, steering Worldchain towards success.
Facing Regulatory Challenges
Despite exciting possibilities, Worldcoin faces regulatory hurdles. Concerns about data collection methods, particularly privacy, have led to temporary bans in Spain and Portugal, with regulators in France, Germany, and Kenya expressing similar worries. Navigating the regulatory landscape will be crucial for Worldcoin’s long-term success. Industry players will closely monitor these issues as they can significantly impact the project’s future.
In Conclusion
Worldchain, as a Layer 2 solution, addresses a clear blockchain issue. However, its execution and community response will determine its success. Worldchain’s strategy of incentivizing verified users and focusing on practical applications not only shows promise but also aligns with industry trends towards secure and user-centric blockchain technologies. It could establish legitimacy and attract a genuine user base. Additionally, Worldchain’s unique functionalities will challenge the Web3 ecosystem to rethink user engagement strategies, moving beyond simple yield farming for long-term success.

OP Labs, the organization responsible for the Ethereum Layer 2 solution Optimism, has addressed two vulnerabilities within the fraud-proof system deployed on the testnet. The resolution was revealed by Offchain Labs, the creators of Arbitrum, another prominent layer 2 network often regarded as a rival to Optimism. This incident serves as a teachable moment, highlighting the complexities of blockchain security and the importance of continuous vigilance. Now, let’s take a closer look at these vulnerabilities and what we can learn from this to build even safer blockchains in the future.
Understanding the Core Vulnerabilities
Fraud proofs play a critical role in maintaining the security and accuracy of Optimistic Rollups. They allow verifiers to challenge invalid transactions. Optimistic Rollups improve Ethereum’s performance by processing transactions off-chain, reducing mainnet congestion, and enhancing scalability.
Fraud proofs allow anyone to dispute a transaction on a Layer 2 network. If the challenge is successful, the Ethereum blockchain can be used to reverse the fraudulent transaction. This ensures the overall security of the Layer 2 system. The vulnerabilities resided in how OP Stack handled timers within its dispute resolution process. These timers determine how long each party in a dispute has to respond to a challenge. Malicious actors could have exploited these flaws to manipulate the system in two ways:
Forcing Acceptance of Fraudulent Transactions: By manipulating the timers, an attacker could have tricked the system into accepting a fake transaction as valid. This essentially bypasses the fraud detection mechanism, potentially leading to unauthorized activities going unnoticed.Blocking Legitimate Transactions: Conversely, an attacker could have manipulated the timers to prevent a valid transaction from being accepted. This could have disrupted legitimate users and hindered the functionality of the network.
The Importance of Timers in Fraud Proofs
Timers play a crucial role in the fraud-proof process by:
Preventing Stalls: They ensure that disputes are resolved promptly. Without timers, a malicious actor could simply delay their response indefinitely, hindering the dispute-resolution process.Balancing Fairness: Timers need to be carefully calibrated to strike a balance between giving honest players enough time to respond in case of censorship and preventing malicious actors from abusing the system through excessive delays.
Typically, fraud proofs implement timers using a countdown mechanism or by requiring a response within a specific number of blocks added to the blockchain. This ensures disputes are resolved promptly while still allowing honest participants enough time to respond.
Lessons Learned from this Incident
Responsible Disclosure is Paramount: By working together, even competing teams can identify and fix vulnerabilities before they cause harm. This incident demonstrates the importance of collaboration and information sharing within the blockchain ecosystem.Fraud Proof Design is Complex: Designing secure fraud proofs involves careful consideration of various factors, including timer mechanisms and how to prevent them from being exploited.Continuous Improvement is Essential: Security is an ongoing process. The iterative nature of protocol development allows for the identification and mitigation of vulnerabilities over time. Security audits and ongoing testing are crucial for maintaining a robust system.
The impact of these vulnerabilities on Optimism was fortunately limited. The issues were identified during testing on the testnet, a safe environment for developers to iron out problems before they impact real users. Additionally, a prior audit confirmed that no critical vulnerabilities bypassed the existing safety mechanisms.
Looking Forward: A Focus on Robust Security
The responsible disclosure of these vulnerabilities by Arbitrum serves as a positive example within the blockchain industry. It emphasizes the importance of prioritizing security and fostering collaboration for the greater good of the ecosystem. As blockchain technology continues to evolve, developers will need to continuously refine fraud proofs and other security mechanisms to ensure a safe and reliable future for decentralized applications.

Cardano, a blockchain platform known for its focus on security and scalability, is gearing up for its next major upgrade. Currently, Cardano sits at the 11th position with a market cap of over $17 billion, following closely behind Bitcoin (BTC), Ethereum (ETH), Tether (USDT), BNB, and several others. This update, codenamed the Chang hard fork, will introduce several improvements, with CIP-69 being a particularly noteworthy one for developers building decentralized applications (dApps) on Cardano.
Understanding CIP-69
CIP-69, also known as Cardano Improvement Proposal 69, is a proposed change to the Plutus scripting language, which is used to develop smart contracts on the Cardano blockchain. The core aim of CIP-69 is to simplify the process of creating secure and efficient dApps by addressing a current limitation in the way validator scripts function.
The Mutual Dependency Issue
Charles Hoskinson, the founder of Cardano, acknowledged the strong community demand for CIP-69. Developers building on Cardano have faced challenges due to a concept called “mutual dependency.” This arises because two different validator scripts, responsible for confirming transactions, need to recognize each other’s hash (a unique identifier) to operate correctly. This dependency significantly restricts the design flexibility and overall security of DeFi protocols built on Cardano.
As stated on the Cardano developer forum, “One issue is two validators that need to identify each other’s hashes. This is a substantial barrier and limits our design space considerably.” Additionally, the current system necessitates extra checks on the frontend for tokens that can be minted at any time, increasing the system’s fragility.
How Does CIP-69 Solve the Problem?
CIP-69 proposes a solution that unifies the way arguments are provided to all types of Plutus scripts. The proposed change allows a single validator script to handle multiple functionalities, including minting and spending tokens, without the complexities of the current design. By eliminating the mutual dependency issue, CIP-69 empowers developers to design more robust and secure dApps.
Benefits of CIP-69 for Cardano
The introduction of CIP-69 brings several advantages to the Cardano ecosystem:
Enhanced Flexibility: Developers gain more freedom in designing dApps. They can create more intricate protocols without being constrained by the current limitations of validator scripts.Improved Security: A unified approach to validator arguments potentially strengthens the overall security of Cardano dApps. This fosters greater confidence among developers and users.Foundation for Future Advancements: CIP-69 is considered a crucial step towards achieving Cardano’s long-term goals. It lays the groundwork for further improvements in efficiency and scalability as the platform evolves.
Impact on Cardano Adoption
The successful implementation of CIP-69 is anticipated to have a positive impact on Cardano adoption. Here’s how:
Attract More Developers: A more developer-friendly environment with CIP-69 could attract a wider pool of talent to build innovative dApps on Cardano.Expand DeFi Ecosystem: With the ability to create more complex and secure DeFi protocols, CIP-69 can potentially contribute to the growth of a vibrant DeFi ecosystem on Cardano.Increased User Interest: A flourishing dApp landscape can attract more users to the Cardano network, driving its overall growth and adoption.
Looking Ahead: CIP-69 and the Chang Hard Fork
While the exact date for the Chang hard fork containing CIP-69 remains undefined, it’s expected to occur sometime in the coming months. The introduction of CIP-69 might cause a slight delay in the hard fork implementation, as acknowledged by Charles Hoskinson.
However, the long-term benefits outweigh the short-term delay. CIP-69 signifies a significant step forward for Cardano, paving the way for a more robust and developer-centric blockchain platform. As the Cardano roadmap outlines, the upcoming “Voltaire” era of governance will empower the community to play a more active role in shaping the future of the network.

Ethereum is on the brink of another transformative upgrade known as the Pectra hard fork, set to enhance user experience, network security, and overall efficiency. At the heart of this upgrade is EIP-3074, a proposal designed to revolutionize transaction handling by bringing smart contract functionalities to regular wallets. This blog explores the significance of the Pectra upgrade, the intricacies of EIP-3074, and its potential impact on the Ethereum community.
The Pectra upgrade is a significant milestone in Ethereum’s development, scheduled for late 2024 or early 2025. It introduces various Ethereum Improvement Proposals (EIPs), with EIP-3074 being one of the most notable. This proposal aims to simplify transaction processes, enhance security, and integrate smart contract functionalities into regular Ethereum wallets.
Understanding EIP-3074
Externally Owned Accounts (EOAs) are the most commonly used accounts on Ethereum, where most transactions originate. While smart contract accounts (introduced with EIP-4337) offer advanced functionalities, they require users to deploy new contracts, leading to complexities and additional costs. Moreover, many smart contract accounts are still controlled by a single EOA, creating a hybrid and somewhat inefficient system. EIP-3074 addresses these issues by allowing EOAs to delegate control to smart contracts without needing to convert entirely to smart contract accounts.
How Does EIP-3074 Work?
EIP-3074 introduces two new opcodes, AUTH and AUTHCALL, which empower EOAs to transfer transaction execution authority to smart contracts. Here’s how they work:
AUTH: This opcode lets an EOA authorize a specific smart contract to act on its behalf. Essentially, it delegates the transaction execution rights to the contract, allowing for automated and more complex operations.AUTHCALL: Once authorized, a smart contract can use AUTHCALL to perform transactions on behalf of the EOA.
By integrating these functionalities, EIP-3074 aims to streamline transaction handling, improve security, and enhance the overall user experience on the Ethereum network.

Key Features of EIP-3074
Batch Transactions: EIP-3074 allows users to combine multiple transactions into a single one. This aggregation makes transaction processes more efficient and can potentially reduce overall transaction fees by distributing costs across multiple actions within the same transaction.
Sponsored Transactions: With EIP-3074, a third party can cover the transaction fees instead of the asset holder. This feature can significantly incentivize the use of DApps by removing the need for users to pay gas fees. It makes blockchain interactions more accessible to users who might not have ETH on hand to cover transaction costs, thereby lowering barriers to entry and encouraging wider adoption of Ethereum-based services.
Smart Contract-like Capabilities in EOAs: Regular user accounts (EOAs) can now delegate permission to smart contracts to perform actions autonomously on their behalf. This delegation bridges the gap between EOAs and smart contract accounts, allowing users to benefit from advanced functionalities without having to deploy new smart contracts.
Limitations of EIP-3074
While EIP-3074 enhances user experience, it also introduces some considerations.
Security Concerns: The implementation of invoker contracts and the new operations (AUTH and AUTHCALL) must be carefully managed to prevent unauthorized access and potential misuse. Malicious smart contracts, if authorized, could potentially drain user funds.
Limited Compatibility: EIP-3074 does not integrate very well with the emerging ERC-4337 standard for smart contract wallets.
Other Key EIPs Included in Pectra Upgrade
EIP-7251 (Maximal Effective Balance – Maxeb): Proposes increasing the maximum validator stake on the network. While this could improve efficiency, it raises concerns about potential centralization if fewer validators control a larger stake. Finding the right balance between efficiency and decentralization remains a crucial consideration.
EIP-7610 (Account Overwriting Prevention): Focuses on preventing account overwriting during the fork, enhancing security during the transition period.
EIP-7523 (Empty Account Prohibition): Prohibits empty accounts on the network, promoting network efficiency and making the network faster and easier to use.
EIP-2537: This EIP brings new pre-built functions to the BLS12-381 curve used for cryptographic processes. These functions help make cryptography processes more efficient, leading to better security and verification on the network.
EIP-3074, 5806, and 7377 (Account Abstraction EIPs): These EIPs work together to make transaction processing easier and more secure. They introduce new functionalities allowing transaction contracts to be verified and executed autonomously, enabling features like combining multiple transactions or having someone else pay for a transaction.
EIP-5920 (PAY opcode): This EIP provides a more efficient way to share ETH by sending tokens directly without activating the receiver’s contract code.
The Road Ahead
As Ethereum progresses with the Pectra upgrade and the planned implementation of EIP-3074, attention turns to its security implications which are addressed in another proposed solution, EIP-7702. This demonstrates Ethereum’s ongoing commitment to improvement and innovation.
Moving forward, it’s vital to balance innovation with security, with the community’s active involvement playing a crucial role. Ethereum’s journey continues towards a decentralized, scalable, and user-friendly platform, shaping the future of decentralized finance and digital assets.