Humans have been solving the problems of existing technology with more technology for quite a while now. This comment is like criticizing database indexes as a mere technical band-aid over the fundamental problem of having too much data.

The problem is that databases solve a real world problem: businesses and people need to store data, and the database is literally the solution for that.

Cryptocurrencies have so far not resulted in a compelling use case. All that we are seeing is a questionable solution looking to solve some as yet undiscovered problem.

The parent comment is a bit flippant, but I agree with the thought. The entire crypto industry is rapidly becoming a bizarre and convoluted rube goldberg machine that is completely impenetrable to anyone but the most ardent zealots. Even more, as an outsider it seems like everyone is in this echo chamber of back patting and "with just this one more buzzword bingo sounding feature, we'll have unlocked the true potential of crypto".

One failure of FTX and BlockFi is that users had no way to ensure that the centralized custodian was not running off with their on-chain deposits by directing them into unsound deposits. Vitalik is suggesting a cryptographic mechanism here that would provide better transparency as to on-chain activity of a CEX.

Day traders want to trade, no matter how much you try to tell them their trades are fictional or "have no use cases."

That's what building out a new ecosystem looks like. Not every single person in the world needs to spend their building CRUD REST APIs and doing GAAP accounting.

Not ever person in the world needs to work on trying to totally reinvent things either. But the idea that something is wrong because it's different than what already exists is ridiculous. It's literally Larry David looking at the wheel in the commercial and saying "seems pointless".

It's a complete failure of imagination.