The System Is Broken: How Vitalik Is Trying to Protect Ethereum Users

Vitalik Buterin has raised a fundamental concern about the current architecture of cryptocurrency wallets: the system is fundamentally broken in its relationship with user security. Before anyone signs a transaction, they should know exactly what will happen to their funds. However, the current reality falls far short of this ideal.

Most users confirm transactions without truly understanding what they are authorizing. There are no hidden approvals. No blind calls to smart contracts. There are no surprising wallet drains at best, but when they happen, they reveal a critical flaw in user experience design.

Transaction Simulation: The Foundation of a Secure Wallet

Vitalik proposes that all wallets implement mandatory transaction simulation before the user confirms any operation. This means the wallet should display a clear preview of exactly which assets will be moved, where they will go, and under what conditions.

This approach not only solves a technical problem but also redefines the responsibility of the interface. If an action is safe, it should be smooth. If an action is dangerous, the wallet should highlight it with clear warnings. Security cannot be sacrificed for convenience, but it also cannot be an obstacle users ignore out of frustration.

The True Source of Cryptocurrency Losses

Massive protocol hacks generate headlines, but the reality of user losses points elsewhere. Most funds are lost when users sign malicious approvals, fall for phishing schemes, or receive confusing instructions from their own wallets.

This means the system is fundamentally broken not at the protocol code level, but in human interaction. A user signing something without understanding it is equivalent to a system without protections. Vitalik argues that security and usability are inseparable: if users do not understand what they are signing, the system has failed in its core purpose.

Implications for the Ethereum Ecosystem

If this proposal is properly implemented, Ethereum could experience a transformation in user trust. Interactions with DeFi would become significantly safer. Exploits involving approval drains, which currently account for a major category of losses, could be drastically reduced.

In the long term, this represents one of the most critical user experience improvements in cryptocurrency. The ultimate goal is clear: create an environment where safe decisions are easy and dangerous decisions are difficult. In an industry where trust is capital, fixing this fundamentally broken system could be transformative for Ethereum and the entire ecosystem.