Please note that this post was written long before Hard Fork happened, it wasn’t clear how it will be implemented, there were no final decision at the moment of the post
I’ve never invested in The Dao, and even was against this idea.
Doubtful about #TheDAO. Too big too soon. And if anything will go wrong, it could hurt whole Ethereum ecosystem :( hope it'll go well
— Igor Artamonov (@iartamonov) May 16, 2016
I worried because people just gave money without understanding in what they’re investing. Too many people decided to risk their money just because they thought that it’s cool, without any due diligence or anything.
It worse than 2008, when people have invested in real estate. But at this case there was at least a long history of real estate investments. Ethereum & Blockchain are new things, it was really crazy to expect that they’re safe with such investments.
TheDAO was an experiment. As for me, $100k would be enough to make such experiment. Maximum $1M. But some greedy people decided to take $300M, all from poor people who don’t understand that it’s an experiment at this point. There were no profitable business that could justify so huge investments.
Unfortunately nobody stopped them at the first place. There were hundreds of possible ways it will fail. Too bad it really happened. And a whole Ethereum ecosystem got hurt now.
I understand the problem, and see some point for the fork:
- Many people lost their money. That’s bad. It was ricky venture at a first place, but anyway, they didn’t fully realize how much it risky.
- Hacker got 15% of all ETH, that can cause many troubles for future proof-of-stake. I don’t understand why it didn’t make any problem when same 15% was owned by TheDAO, though.
But in general, I’m against this fork, and there’re my points:
- The fork is proposed as a general mechanism, as a list of addresses that can be enhanced at any time later. The fork introduces a central authority for moderation and censorship. Than can and will be used for evil.
- This is not the last hack, there will be many more. Should we always create a fork? or not? or just for some of them? At this case there should be a defined process, maybe a committee which give answer each time. And definitely it shouldn’t be a one person from a corporation which have a big stakes in Ethereum.
- Finally, it’s a police job to find hacker and return money. And it seems to be not so hard to track him down (start from here https://medium.com/@oaeee/the-rise-of-the-dark-dao-72b21a2212e3 and https://medium.com/@oaeee/the-attack-story-38f4789b3c3b)
- It was the problem of TheDAO, originally. But after core devs jumped in, it became Ethereum problem. That’s worse. Now we’re risking of other 90% ethers just to save this stolen 10%?
- (as a result of previous) People are selling Ether massively, because they sure it’s a bug in Ethereum core. Talks about a fork just proves that for them. So Ethereum already lost 40% in price, and significant part of this loss was caused by a decision to “fix the code”.
- TheDAO was a form of investor-directed venture capital fund (from Wikipedia page of The Dao). Investing is a risk. Early investing in big risk. You can win a lot of money, or lost everything. That’s how it works. Too bad TheDAO didn’t make it clear, and they were greedy enough to take as much money as it possible.
- Also look at offline angel investors, who invested in a failed startup, they aren’t calling Obama and ask him to revert bank transaction to return their money. So why it should be risk free there?
- Core Ethereum devs shouldn’t associate themselves with TheDAO. Or it looks like some corp can dictate what they should do and which rules they must violate. They should be independent and distant themselves from any business. That’s very important for the future of Ethereum.