DAPPCON 2024: Resilience Through The Implementation Of DVT - Raul Calvo

Transcript

well yes first of all I think we are missing one part with the the title because we are saying resil resilience through implementation of DVT and actually as I'm representing necta network is resilience resilience through implementation of DVT not just in a seing but also in v um it's funny that I am speaking after Lio I mean for two things first I'm not the most technical guy in the room so Alex know way better than myself H all the technical details and the second fun thing er a fun fact is that one of the key drivers that made us build all of

this it was actually to avoid centralization Within ethereum um there are certain ways to to prevent centralization and the way that we decided to fight against centralization was through a technical Innovation that technical Innovation is DBT and is what I'm explaining here is a core of everything that we are building and we are developing our own DVD technology and why is that important um with the a centralization is a centralized eum Network actually it's not even a network at all it's just a bunch of players controlling uh this you

ler and they can be able to modify whatever they want but the biggest issue that we are facing right now because I think everybody has spoken about why centralization is bad for ethereum I think one of the biggest risks that we are facing and is what we are trying to fight against from nectar network is decentralization within rein um everybody was actually fighting against Lio decentralization Powers we were asking about how Lio is decentralizing is base of operators and validators but nobody was seeking care about one major and obvious centralization Force which

is Ean leer what is resing and um to understand what is the danger of one single agent controlling the whole reing Market we have to understand a little bit about how re Works re at the end of the day is no more that using ethereum collateral to secure other things so the concept is relatively easy and what in my mind is not better is not well explained most of the times is that you are not as lashing a validator in ethereum you can force a validator in ethereum you will be able to force an validator in ethereum to exit once AP 702 gets implemented and with our solution way ER sooner than

that but the slashing doesn't happens natively in ethereum that is not going to happen so first you are forcing a validator to exit in ethereum and you are penalizing that validator you are lashing that validator in the a in the ABS in wherever that validator is render in the services is that bad is that in bad not really one of the things so the good things that re brings to the table and it's something that we have discovered again we we migrated from LSD or pure LSC to Reen one of the things that we discover when analyzing rein is that economically it makes the total sense if I want to Boop to bootstop a network why should I

start from zero and get something brand new try to bring along operators get my whole economic system when I have all the people that is working already in ethereum and they are doing an excellent job let's set to use that I mean let's try to make ethereum the center of this beautiful universe that we are building in here and one of the best things that you can do actually by doing this is that you know that all those not operators that you are bringing to your system is people who is actually performing a well a good job in ethereum you get that trust of that people that is engaged in something way bigger than whatever you're bu in and the last point that is extremely important is the revenue the pure

economic system H one of the things that everybody's complaining about is okay being a soul operator in ethereum doesn't give me that much benefit at the end of the day the APR nowadays will be on the range of 4% or something like that but if we have another sources of income to all those people that are helping to secure the Network you are making economic system sustainable um yeah one of the good things that uh we get also in the reen ecosystem or when you are implementing Reen is that you can do everything way

more modular you can CFT anything at your demand because you are creating something new at the end of the day get when everybody is asking what is your thinking at the end okay is just using ethereum security to secure something else that is a simplest answer of all even for me that I'm not t at all but one of the things that we have to take into consideration is that there are dangers out there and the biggest danger and is what vitalic was saying in the phrase that I was mentioning before or what that I was shown before is that you cannot take all the social consensus H from ethereum and endanger ethereum Network to your private use one of the things that we are

seeing and I just mentioning because it's obviously the the obvious case and the leader in the market one of the issues that we are having with hi leer even now that they have launched the Egen token is that I think for everybody that has been here for a while it brings a lot of Vibes like FTX all the Luna thing they are going to use aen as way to secure abss so okay you are using your own token to secure a network and you are trying to mix up ethereum all of this and you are implementing a fork of your own token that is going to be a decided Val Community how does it going to be I mean how does it going to affect the ethereum

layer H how does it work how does fit in in general we are avoiding that principle of okay let's use our own token as collateral because truth to be told we have previous experience with that and it didn't work that well so goinging back to DVT what H DVT does and how is being used here again I mean doing this talk after CSM it's kind of weird I mean it's I'm not going to explain once again about DVD because he most probably has his plan already what are this validation technology but just to simplify at the

end of the day what you want when you are implementing a new network is that Network needs to be live I mean you need liveness that is obviously clear but the most relevant thing of all is security you need that security in order to avoid the slashing so you need something resilient and that is what DVD brings to the table and how does it works is again is relatively easy on a end at the end of the day what you have is you are getting something that needs to be signed uh and you are splitting that ER between different nodes and they have to sign you have to recompose that keer so

everything gets signed to understand how it works I mean on also the security and how this affects the security with the network even in CSM in Lio in every application obal SSB you have two variables one is okay you have to make subsets you and you can use any number that you want to use between the notes five 7 16 22 if you want to ER the only thing that is going to top you is the latency and you have to decide what is the number of those nodes that they need need to be what performance using the analogy that Alex was using before and how many of

them can fail what is the thing there is something that sells a lot which is okay I'm going to make sets of with a ton of nodes H because I'm reducing the collateral that needs to be deposited but each single note that is the kind of the most commercial approach but generally from a technical point of view it's not the best approach and again you have to find an equilibrium the security over what is commercially attractive or the way that you democratize so you have to to find always a way in the middle to to handle all that diversity h inv both performance of

operators geographical distance and the positioning what are the benefits I mention some of them and also was mentioning some of them what we are trying to do here is I always like to say create a layer to of validation Over The Ether itself over ether itself so we are lowering the collateral operator so we are making the everything more accessible to everyone to become an operator uh we always say that our dream is that anybody without uh knowledge of of technical knowledge or without coding experience will be able just following clicks to become an operator validator

in ethereum through our DVD Network or a DVD solution that is on the validation side on the reaking side obviously is that but increase in the source of Revenue and the services that uh that not operator can provide by doing that we increas in the decentralization of the network uh because we are enabling more participants and we truly believe that etherum will be open for everyone and not just to professional not operators H this has been kind of our motto and we said that it doesn't really matter if you are a really bad performer I mean obviously the network will kick

you out if you are really bad performer but it has to be resilient and we have to give that chance for everyone who is not really a an excellent perform or is not a professional operator to participate the security network because if we want to decentralize the network and to democratize the network we have to give it access to everyone um the biggest issue that we are facing and is something that has been mentioned in the previous talk as well is how do you estimate the penalties that are going to be imposed on each one of the participants in the network when you are Distributing all the all the noes one of the issues that you have is that you have multiple actors you have to track

performance you you have to assign individual penalties and that is extremely extremely complex um and yes kind of to to sum up because at the end of the day that was kind of the the main goal of the talk is okay we have explained what is DBT what we have explained how it's been implemented on validating in ethereum but how does it match with v again and how what that se brings to the table when talking about re and the truth is that when we are matching DVT with Reen we are creating a way more secure

environment there where it's needed the most because at the end of the day one of the biggest risk and coming back to the one of the first slides one of the biggest risk with reaken is that you are using ethereum security for all things so you truly need to secure or to give a more resilient way to do that or the otherwise you are going to create a Cascade fate that is going to affect us all of us everybody who is building with you I think I've done the presentation way too fast so I'm going to have a lot of time for um questions but actually it's h pretty much up to

here um thank you very much everyone if you want to reach out to me yes do that I'm in telegram Discord whatever you want thank you very much thank you all uh any questions yeah please uh thank you for the talk uh maybe like a simple question I'm not that deeply familiar but in DVT when we share the key is the key recombined at some point at some node or are nodes exchanging signatures uh that they like sign

gradually uh one note is not the owner of the key itself is what you mean I mean at the end of the they is recombined but it's recombined by the whole set is they have sign and it's Rec combined but at the protocol level it's not that it's own by one note and it's pushing it's like the there's a cluster that I'm just curious like how is this data exchange coordinated because if we are like three noes that mhm one node must sign first and then transfer this half signed um transaction if you will to another node so who does this coordination how do they send this to each other actually there is there are different implementations depending on the protocol I think o on SSB they have

their own way to do that I think uh maybe I'm mistaken but I think all they do appoint one leader within the the subset H in our case is uh random system we have a designed our own sort of consensus mechanism which is actually appoints randomly one not within the subsets any other questions thank you for the parting thank you