Vitalik Buterin Sees Blockchain as a Shield Against Authoritarian Regimes

During a Bankless podcast, Ethereum co-founder Vitalik Buterin discussed with economist Noah Smith the “efficacy” of authoritarian regimes following the advent of the internet and blockchain technologies.

Initially, Smith stated that liberal democracies have historically excelled in aggregating information through markets, elections, and public discourse. However, the internet’s ability to centralize vast amounts of data potentially diminishes this advantage.

Moreover, the worldwide web fosters anarchy by facilitating the spread of misinformation, he believes.

Buterin expands on this theme, comparing the information landscape to Thomas Hobbes’ concept of “the war of all against all”, where social balance is achieved only through monopolistic control of the public narrative.

Smith and the Ethereum developer then discussed counterarguments. The former drew a parallel with the printing press, which reduced the cost of information and led to increased liberalism and societal fragmentation, rather than authoritarian dominance. He also questioned why the internet does not follow a similar trajectory.

In his view, this situation is linked to “non-linearity”: while the costs of data transmission have approached zero, the expenses of information warfare have grown exponentially.

Buterin examined the differences between the digital and real worlds in terms of protective mechanisms.

Cybersecurity systems like encryption and decentralized platforms offer a high degree of protection, unmatched by physical counterparts, suggesting a natural resistance to control in the digital realm, the programmer believes.

Additionally, Buterin noted the fragmentation of the internet into smaller, specialized communities that to some extent protect themselves from misinformation. These separated spaces often maintain “a higher quality of discourse compared to large chaotic platforms” like the social network X.

“Twitter is the worst of what you see, and it is the worst precisely because you can see it from the right angle if you think, for example, about private group chats,” the developer added.

Smith raised the question of whether blockchain can “ensure secure communication between citizens of authoritarian states like China and Russia.”

As an example, Buterin recalled the technology of the Kyiv-based company Rarimo called Freedom tool based on zero-knowledge proofs (ZKP), which allows anonymous participation in online voting.

The Ethereum co-founder acknowledged that such solutions might not be necessary in liberal countries, but in authoritarian regimes, they help maintain citizens’ privacy, providing a safe space for dialogue.

Previously, Buterin listed ways to apply cryptocurrencies in everyday life. In particular, he suggested using ZKP mechanisms for verifying “identity, credentials, or reputation.”

Back in May, the developer identified five architectural decisions of the Ethereum blockchain he would like to change if possible.