The Ethereum Doomsday Scenario: Inside The Bank Of Italy’s Crisis Simulation
The Bank of Italy published a technical analysis exploring the potential consequences if Ethereum's value were to fall to zero and remain there. The paper frames this as a stress test on infrastructure, not just asset prices. It warns that if ETH loses its value, the economic incentive for validators—who are paid in ETH—would disappear. This could lead validators to exit the network, severely slowing or even stopping transaction settlement. The paper further cautions that other assets on the chain, such as tokenized securities or stablecoins, could become difficult to move or face security risks. While the scenario is not presented as likely, the analysis highlights how market risk can transform into infrastructure risk, especially since there is no formal mechanism to orderly shut down a permissionless blockchain.
bitcoinist01/13 06:33
