To whom? Who gets to decide to slash the funds?
I caught you cheating and can prove it. You don't give a shit and control 51% of the network. How do you get punished?
It's no different from what would happen in PoW. Can you please stop with the concern trolling?
If that 67% is also true of the slasher voting protocol, then that means you just need 33% of the network to avoid being slashed. Is that wrong?
> Can you please stop with the concern trolling?
Can you please stop trying to claim a moral high ground for no reason?
Yes, it is wrong.
By the way, there is a bug bounty program. You can earn up to 1M USD per critical bug either in the protocol or its implementations.
If you were following the current events on Ethereum, this question has just arisen in the last weeks when the US sanctioned the privacy oriented Tornado Cash contract.
If you control 20% of the network, the other 80% is following the rules and colluding against you. (Even another 20% that are double-validating themselves are incentivized to slash you)
The whole cryptocurrency thing feels like a bit of a metastable equilibrium, but nobody's figured out anything better. Arguably even government-controlled fiat money is not much better - if >50% of the population doesn't like the rules, they will change them - we may be seeing the beginning of this right now, with a lot of people getting dissatisfied with half their income going to the black hole known as "landlords" who own the rights to take your income without producing any value whatsoever.
It might just lead to everyone abandoning your cryptocurrency and using a different one. Since you had to have >50% of the cryptocurrency in order to conduct the attack, you did lose a substantial amount of real-world value (billions or trillions of $) when everyone else stopped using your cryptocurrency.
It's pretty much analogous to if a majority of PoW miners decide to "go their own way" and make a chain where nobody else is invited. What happens then?
Perversely, since double-validation happens rarely, since it is expensive, the actual interface for slashing on e.g. BSC is not well-documented or user-friendly.