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Crypto Prune > Regulation > Nick Szabo warns of legal risks in Bitcoin network
Regulation

Nick Szabo warns of legal risks in Bitcoin network

2 months ago 4 Min Read

Nick Szabo, who pioneered Bitcoin (BTC) by creating the decentralized digital currency BitGold, has returned to the topic of legal and “moral” risks posed by embedding arbitrary content into Bitcoin blocks.

Szabo, who is also a lawyer and graduate of the University of Washington School of Law, asserted in a recent publication on October 22 that the inability to selectively delete content on the blockchain poses further problems.“We must operate data services that can selectively remove unacceptable content.”

Arbitrary content on a blockchain makes its operation legally and morally more dangerous than if it were limited to financial transactions. Additionally, operating a node that cannot selectively remove unacceptable content without causing widespread disruption is much riskier than operating a data service that can selectively remove unacceptable content without causing widespread disruption.

Nick Szabo, creator of Bit Gold.

For Nick Szabo, there are various moral and legal categories for arbitrary content. each receives different legal and moral treatment by law enforcement.

Child sexual abuse material/Communications of Sexual Purpose (CSAM/CP), other types of obscenity, copyrighted material, censored political content, trade secrets, confidential material, and many other similar categories are treated very differently by morality and law. Furthermore, each of the hundreds of jurisdictions in which blockchain operates has its own wide variations. Some legal prohibitions, such as those affecting CSAM/CP, are widespread and require strict enforcement.

Nick Szabo, creator of Bit Gold.

According to CSAM/CP, the coder refers to child sexual abuse content. It is a decentralized network, and like any other system, non-monetary uses (such as embedding data in the form of plain text, images, or videos) are allowed. peer to peer (P2P), can fall victim to inadvertent or malicious attackers Contain legally impermissible data through any content within the transaction.

See also  Coinbase proposes anti-laundering method for cryptocurrencies

Bitgold creator continues debate over Bitcoin arbitrary data

Concerns about this type of content embedded in Bitcoin blocks via the OP_RETURN field or other methods are not new, but have recently resurfaced in discussions between the Bitcoin Core developer community and Bitcoin Knot.

Luke Dash Jr., one of the longest-serving contributors to the development of Bitcoin, is the driving force behind this narrative, according to which almost everything Non-monetary uses of Bitcoin are riskyas reported by CriptoNoticias. To prevent this, developers emphasize the need to use filters «Anti-spam» About Knots, Bitcoin’s second largest node client.

For Szabo, a government’s response to one type of illegal content is “a very poor predictor of a government’s response to another type of content. One government’s response to one type of content is typically a poor predictor of another government’s response to the same content,” he comments.

Therefore, the more types of arbitrary content in Bitcoin, the more This law will have a more aggressive vector against decentralized networksis inferred from the statements of scholars.

The creator of Bitgold, who some have speculated to be Satoshi Nakamoto, concludes his post with:

TAGGED:Regulations
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