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Frozen Funds in Ethereum’s Parity Wallet Needs Hard Fork To Get Released

A latest vulnerability in the multi-signature Parity Wallet of Ethereum has caused to freeze funds worth $150 millions of dollars in value thereby causing a bit of panic between investors and community members alike. Earlier this year, $30 million funds from the Ethereum’s Parity Wallet were hacked causing fear within investors. However, this time the nature of vulnerability is not about stealing but paralyzing any access to funds by investors.

After this vulnerability was exposed, the developer team was instantly on the job to resolve this matter at hand. Head of Security at the Ethereum Foundation, Martin Holst Swende, recently mentioned to a publication saying that in order to free all the frozen funds, a hard fork in the Ethereum Blockchain would be required. He said:

“There’s unfortunately no way to recreate the code without a hard fork. Any solution which makes the locked funds accessible requires a hard fork.”

This means that a mandatory and emergency upgrade to the Ethereum Blockchain is now essential if it wants users to reclaims all the millions of funds that are hidden. However, it has to be noted that this upgrade will just not only affect the Parity Wallet but will be applied to the entire Ethereal Blockchain and so needs to implemented thoughtfully.

 A smart contract developer who claims to be new to Ethereum, is said to have “accidentally” deleted the code library belonging to the affected Parity wallets leaving the entire software completely useless. Holst Swende said that the major issues circulating Ethereal are currently more political in nature than being technical. He proposes for a solid fix which involves recreating the Parity wallets without exploiting the wallet. He said “I’d like to see this spearheaded by the affected parties, not the foundation.”

 Holst assured that the Ethereum Foundation and U.K.-based Parity Technologies are working together for a solution with one or several possible options and the community would be together deciding the best possible solution. As the frozen funds can’t be completely removed or deleted the users need to stay assured that their funds won’t be going anywhere and will have to patiently wait for the right solution to be implemented.

 Ethereum founder Vitalik Buterin has currently denied to publicly comment on this issue. He tweets: “I am deliberately refraining from comment on wallet issues, except to express strong support for those working hard on writing simpler, safer wallet contracts or auditing and formally verifying security of existing ones.”

vitalik buterin tweet | vitalik buterin twitter | ethereum twitter

 It remains to be seen as to how quick the team lead by Holst works and gets through this issue.

 Get latest cryptocurrency news and updates on KryptoMoney.com


Source : Kryptomoney

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Founder and Editor-in-Chief of ‘Coinotizia’. Technology Evangelist, Security Analyst, Cryptocurrency Investor, Certified Cyber Security Expert and Web Applications Developer.