Ethereum Security Commons: Coordination and Public Goods

The Ethereum Foundation published a video discussing the tragedy of the Ethereum security commons. Users continue to lose money to hacks despite large spending on security. Projects currently secure individual apartments rather than contributing to the building's overall security. This approach results in paying significantly more for lower coverage compared to a single, building-wide system monitored around the clock. Speakers Griff Green and Josselin Feist from Aave propose applying Elinor Ostrom's Nobel prize-winning coordination concepts to overcome these tragedy of the commons challenges. They argue that the ecosystem needs to coordinate to better secure the Ethereum commons. The session was recorded as part of the security track.