Vitalik Buterin suggested a novel method for enhancing the security of cryptocurrency wallets., 2026/02/23 12:05:14

Co-founder of Ethereum, Vitalik Buterin, has suggested employing transaction simulations and similar mechanisms to enhance the security of cryptocurrency wallets and smart contracts, as well as to improve user experience.

The proposed method involves a dual verification of user actions. Before a transaction is confirmed, the interface should display a simulation of its effects within the blockchain. The user first indicates the action they wish to take, and then clicks “OK” or “Cancel” after reviewing the anticipated outcomes.

Among the additional mechanisms, Buterin mentioned spending limits, multi-signatures for transaction confirmations, extra checks for new addresses, and post-approval of transactions. In the latter case, the operation is executed only if the declared action aligns with the expected results.

According to Buterin, this approach will simplify the execution of low-risk operations while complicating the performance of potentially hazardous actions, as users do not always grasp their implications. He remarked:

“The issue is not that machines are imperfect or that the people designing machines are flawed. The challenge lies in the fact that user intent is fundamentally a complex entity that the user does not have easy access to.” 

Following the Ethereum update known as Fusaka, network fees have significantly decreased, leading to an increase in crypto dust attacks. According to Coin Metrics, one in every nine transactions is fraudulent: attackers anticipate that users, when copying addresses, will send funds to a fraudulent wallet.