Smart contracts pioneer Nick Szabo has lauded the security benefits of decentralised monetary systems built using blockchain technology.
Speaking at Ethereum’s DEVCON1 conference, held in London today, Szabo – often rumored to be the creator of bitcoin – gave an overview of the blockchain’s history and highlighted the security inefficiencies of centralised systems typically used by traditional finance institutions.
Centralisation is insecure, said Szabo, before noting mainstream finance’s reliance on government and law enforcement officials for security:
“This is one of the reasons why [traditional finance] is stuck and highly regulated.”
Szabo also reflected on early decentralisation attempts and digital cash proposals commenting on how these had failed due to a lack of expertise and knowledge.
“There are a bunch of digital cash startups which either failed or became centralised systems like PayPal,” he added.
During his session, Szabo urged the audience to think about security more broadly. “Let’s try to secure everything, protect everything that is important to us as much as we can.”
Organized by the Ethereum Foundation, a nonprofit that oversees development funding for work on the public blockchain, and ΞTHÐΞV, which conducts research that aims to further the underlying goals of the Ethereum network, DEVCON1 is a five-day developer conference aimed at promoting the project’s work and larger vision.
Image via CoinDesk