Stanford University Researchers Propose a Prototype to Mitigate Crypto Theft

September 26, 2022

Stanford University researchers have proposed a new way to reduce the impact of crypto theft.

The researchers have identified a prototype, a new type of Ethereum token standard for “reversible transactions” on Ethereum.

The newly designed opt-in token standards are siblings to ERC-20 and ERC-721.

It is argued that the prototype would help a decentralized governance community to freeze and return stolen assets.

Currently, if someone has their funds stolen, they can submit a freeze request to a governance contract. The decentralized court then votes to sanction or deny the request.

The researchers have devised an algorithm that provides a “default freezing process for tracing and locking stolen funds.”

On Twitter, the newly proposed “opt-in” token standard has gathered mixed response.