Vitalik Buterin Unveils Ethereum’s New Age of Privacy and Power

  • Ethereum reaches real-time ZK validation, once thought years away using 50 GPUs.
  • Vitalik presents a new rule that states that your private key is not your silicon.
  • ZK and FHE propel Ethereum into a faster, more scalable, and privacy-driven blockchain.

Ethereum co-founder Vitalik Buterin announced a transformative leap for blockchain technology at the 2025 Shanghai Blockchain International Week and the 11th Blockchain Global Summit. He reveals that Ethereum can now generate zero-knowledge (ZK) proofs for Layer-1 blocks in real time using only 50 GPUs—a feat once expected to take a decade. This breakthrough marks a turning point in the evolution of blockchain and cryptography, paving the way for a faster, more private, and cost-effective digital future.  

Ethereum’s Real-Time ZK Leap

Buterin explains that blockchain and cryptography have progressed dramatically over the past decade. Technologies such as ZK proofs and fully homomorphic encryption (FHE) are no longer theoretical; they are now reshaping computation and verification. According to him, Ethereum’s ability to produce ZK proofs using limited hardware means real-time validation is now a reality.

He notes that two years ago, this achievement was believed to be at least five to ten years away. Yet, today, Ethereum can verify Layer-1 blocks with remarkable efficiency, completing what he calls “one-millisecond block checks.” Buterin foresees that within the next five to ten years, the cost of these technologies —ZK, FHE, and Layer-2 rollups —will fall close to zero, making them as common as digital signatures are today.

Dual Engines of Scalability and Privacy

Buterin speaks of ZK and FHE as the two primary engines driving the development of Ethereum. ZK provides the possibility of instantaneous verification of computations and transactions without the need for re-execution, while FHE ensures the secure processing of encrypted data in the same manner as plain data. All three aspects—scalability, privacy, and decentralization—are offered in one single system.

According to Buterin, privacy will soon become the norm and will no longer be a feature. He points out that wallets and identity schemes will have to provide users with adequate privacy that relies on the users’ data being hidden. Such cryptographic developments will enable the secure verification of both computations and identities, allowing transactions to be kept private while allowing the network to be aware of what is happening.

He is of the opinion that with the increasing efficiency of ZK and FHE, Ethereum’s infrastructure will be transformed into a “truly usable, scalable, and low-cost” model. This would lead to the instantiation of a blockchain ecosystem that features instant verification, secure processing, and a low dependence on intermediaries.  

Related: Vitalik Buterin Praises Polygon’s ZK Rollups and Scalability

A New Security Principle and Blockchain Vision

Buterin, during his address, let the audience in on a new precept: “Not your silicon, not your private key.” This expression emphasizes the absolute necessity of user control over all the hardware, algorithms, and cryptographic keys. From his standpoint, the security of blockchain systems is entirely achieved only when the users can verify and manage their own devices and cryptographic systems entirely.

He shares the news of Ethereum’s roadmap evolution towards a layered architecture. Layer 1 (the base layer or L1) serves as a secure global ledger, while Layer 2 networks handle high-speed execution. By this scheme, Ethereum not only gets performance but also privacy and turns into a decentralized place where no trust in hardware validation but verifiable computation is the only requirement.

According to CoinMarketCap, the price of Ethereum (ETH) is $3,887 during writing, representing a 0.54% increase in its daily trading volume. The cryptocurrency’s market capitalization is $469.21 billion, and its 24-hour trading volume has decreased to $43.21 billion. The circulating supply has remained unchanged at 120.69 million ETH, which is a favorable factor for market liquidity. Analysts see a rise in confidence with the progress of ZK-based upgrades and GPU-powered proof generation, which makes Ethereum a strong contender for leading scalable and privacy-focused blockchain technology.

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