Building the secure foundation for Web3 on Bitcoin, where decentralized finance meets verifiable trust. https://xitter.cf/t.co/ST3vuhyfem

Joined March 2010
Consensus first. Execution follows. Syscoin Liberty v5.1.0 brings Bridge V2, hardened ChainLocks, coordinated Core + NEVM activation and deeper Bitcoin infrastructure to mainnet. Expected around Monday, 17 August. Read why this matters for crypto: syscoin.org/news/syscoin-lib…
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very good insight on fiat shamir wrt random oracles in recursive SNARKs, and this validates the slow L1 design philosophy where you can "afford" to have SLH-DSA signatures directly validate in threshold instead of rely on recursion. zkVMs can tinker with recursion for scaling, but the lower on the stack the more conservative you have to be (and thus slower and more focused on security). Would also say the lower in stack the less agile the system should be in an ideal universe, so if we can find a good setting with mechanism design such that we rest on maximally conservative cryptography then we should ossify for longer periods of time to provide determinism for layers/stacks building on top. There really is only one way to do this and that is slow/steady base + DA (hash based) and zkVM on top. I don't see a better design philosophy thats possible otherwise. Time keeps validating it and re-enforcing that type of system.
A few reflections on the lattice vs. hash-only debate that our recent Aerie post sparked: 1. Cryptographic ossification for blockchains was never safe. Until the day we know with certainty that P ≠ NP, that finding short vectors in lattices is intractable, that Keccak effectively behaves like a random oracle in deployed SNARKs, and that every single bug has been eliminated from our codebases, blockchains cannot ossify. That is simply not how safe systems are built. Issues will arise, and the system will have to respond. It’s a double standard to reject lattices because blockchains are hard to upgrade if lattices break, while counting on upgrades if AI breaks your hash function or finds a critical zkVM bug. The best counterargument is that hash-only designs are more agile: if your hash function breaks, just swap out the hash. But we must aspire to a higher level of agility than this. Indeed, as I cover next, if SNARK recursion itself turns out to degrade security, the proposed hash-only blockchain designs would need to be rethought from the ground up. 2. The real security debate is not lattices vs. hashes — it is lattices vs. building everything on SNARK recursion. That’s because “hash-only” is not really hash-only: it rests on hashes plus the soundness of deep SNARK recursion. Ethereum’s roadmap relies on exactly that: hash-based aggregation needs recursion to keep up with a slot’s worth of signatures, and EIP-8288 would send other signature schemes and users’ own proofs through the same recursive pipeline. In contrast, Aerie proves a slot’s worth of signatures on one laptop without any recursion. All deployed post-quantum SNARKs rely on the Random Oracle Methodology (via Fiat–Shamir) to establish their security. This is an idealization we know fails in the real world: we have explicit counterexamples where “SNARKs” coming out of this methodology are totally insecure when instantiated with any concrete hash function. We generally ignore these counterexamples in part because they only arise when proving contrived, self-referential statements about the very hash function used by the SNARK verifier. But proving statements about the verifier’s own hash function is the exact thing you do in SNARK recursion. That’s why the security of recursive SNARKs can’t be established even in the random oracle model. On top of that, the standard security proofs for recursion (in other models) suffer an “extractor runtime” blowup that is exponential in the recursion depth, suggesting that security may degrade as more recursion is applied. Yet Ethereum’s own EIP-8288 enables unlimited-depth recursion, even as it lists soundness of recursive SNARKs as a trust assumption. Proofs in more idealized models avoid the blowup, but they mainly tell us that an attack on SNARK recursion would have to exploit the concrete hash function, which is exactly what the Fiat–Shamir attacks above do. To be clear, we don’t know of any outright attacks on SNARK recursion, and I very much hope it is secure. But some of us who have studied the question have a lingering sense that an attack may be possible in some settings. And if AI is going to supercharge cryptanalysis, there is no reason to expect it to spare Fiat–Shamir for SNARKs, let alone SNARK recursion, both of which have had far less scrutiny than lattices. So, I do not concede that a “recursion everywhere” hash-only approach is clearly more conservative than one built on standard lattice assumptions. 3. “Just wrap everything in a hash-based SNARK” (like EIP-8288) faces challenges. Aggregating signatures and proofs off-chain into a single block-level proof is a powerful design independent of the hash-only vs. lattice debate, and I am not telling people to avoid it. But claiming, as Vitalik Buterin did this week, that users can run whatever cryptography they want locally and wrap it in a client-side leanVM proof glosses over major hurdles. For example, leanVM today is a minimal VM designed almost entirely to prove hash-based signatures and recursion, not general-purpose computation. And binary-field SNARKs like leanVM remain slow at proving the integer multiplications that lattice cryptography does en masse. I am optimistic that many of these zkVM challenges can be met (including via my own work, binary-field Twist and Shout, which are now implemented in Magnetar). But regardless, if lattices can make aggregation simpler and faster, then they should be leveraged. We need to be agile no matter what. 4. For chains whose reason for existence is privacy, I truly struggle to understand the pushback. Public-key encryption (and fast single-server PIR) cannot be built from hashes alone, at least not in any black-box way. If lattices break, it is going to be very, very hard for these chains to provide acceptable levels of privacy and functionality. For a project whose entire reason for existence is privacy, a loss of confidentiality is an existential failure. Next to that, a second signature upgrade (after the first one, from elliptic curves alone to, hopefully, a hybrid lattice scheme) is easy. Summary: We don’t know for sure what is secure and what isn’t. We are all weighing unquantifiable risks against each other, and we do not need to agree on a total order on them. But hash-only solutions face many open engineering challenges, and they are not more “conservative” in the way some have argued. Some of those challenges are entirely prosaic and have nothing to do with bugs or cryptography, like hardware support for custom schemes whose hash function is still undecided. I hope we can overcome those challenges within the appropriate timelines, but they must be acknowledged and portrayed realistically. Overall, cryptographic agility and defense in depth (e.g., hybrid signatures) are the answer, which is why we are building both lattice-Jolt and hash-Jolt. In practice, the positions are less polarized than social media discourse suggests: for example, StarkWare is working to make Falcon verification cheap (falcon.provably.fast/), which is great to see. Here is the (apparently) controversial take I am sticking to: Conditioned on agility, whenever lattices make systems simpler or more functional, we should embrace them rather than default to “hash-only” designs. Lattices are what the rest of the world will depend on, with decades of study and hardening behind them, and at the system level, less functional often means less secure. Where hash-only designs are just as simple and functional, by all means use them.
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ZK is important for interplanetary. It removes element of time, while settlement still retains trustless properties.
.@apolynya is back with updated thoughts on ZK. One line stood out: “The potential impact of ZKPs supercedes that of all blockchains.” Early signs say he’s right. Our upcoming 2026 ZK Industry Report with @zeroknowledgefm surveys adoption across categories beyond blockchains.
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A hash-based DA is information theoretical floor for safety/security in blockchain modular design. Any other complexity other than reproducing the full payload and validating the hash will degrade security in some way either adding statistical risk, economic risk or cryptographic risk to the underlying mechanism design.
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I’m sharing our ongoing research in PVUGC PR #1 (github.com/syscoin/PVUGC/pul…). We’re pursuing one of cryptography’s most ambitious ideas: witness encryption. The goal is to bind a secret to a public NP statement today, so that someone who produces a valid witness later can unlock it. We’re aiming for the stronger extractable form, with post-quantum security. The motivation is a trust-minimized connection between @Bitcoin and @syscoin. Our proposed path evaluates the witness off chain and uses it to unlock a capability for an ordinary Bitcoin spend. Since Bitcoin lacks the covenant functionality this path needs, we’re studying an abortable N-of-N setup that assumes at least one honest participant. Making that setup secure against malicious participants is part of the open research. It also may offer a relaxation on WE math by placing more trust in setup instead. iO offers a theoretical route to ordinary witness encryption, but it does not solve our stronger requirements. My hourly AI-assisted research loop has explored SPHFs, local mixing, source-bound SLH-DSA key generation, and other directions. The PR records the proofs, experiments, counterexamples, and open gaps. We have not found a secure construction yet, and I’d welcome independent review and new ideas. It may be impossible, but should not stop us from trying. This is the new era of research.
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syscoin:native Built a 400-Year-Old Money Rule Into zkSYS
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Your crypto could be at risk sooner than you think. ⚠️ I spoke with @realSidhuJag about essential security best practices and how @PaliWallet is working to make its wallet quantum-resistant. Take 5 minutes to protect your crypto. Do it tonight. 👇 syscoin:native
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🚨 Surprise AMA in 15 minutes @realSidhuJag joins @WhaleSailors to talk zkSYS, with his first direct overview of the upcoming launch. ⏰ 4PM UTC 🏆 300K SYS prize pool 📍 t.me/whalesailors Bring your questions 💜
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In a world run by AI, the question isn’t how much you own. It’s how much say you have. @syscoin is building for that answer, and I’m telling the story one video at a time. Part 2 & maybe 3 drops this week.
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💸Money might not survive AI. Here’s what replaces it
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AI is pushing forward and so are we, with a dual account structure UTXO with default policies in wallets to use addresses only once, you are protected! On the NEVM there will be precompiles just like on zkSYS to make post quantum signatures fast enough for regular every day users.
At @Syscoin we have been proposing hash-based future for all major components of the chain, this includes starting with @bitcoin and PoW merge-mining for security, doing the data availability in hash based design to scale the ZK layer which settles on an EVM which has hash based account safety. It is getting close to reality now and not only is it more secure but will also scale much better. It's not only that it should be secure from quantum attacks but AI may also reduce security of lattice's or anything with major algorithmic structure in its construction. We feel hash based safety is the best option and those projects not doing so will be building on shaky foundations. zkSYS will be launching in the "near-term" and will include what is in that roadmap as we felt it was prudent to release something for tomorrow instead of today given the advancements happening with AI. We will also include "horizon" things like post-quantum SLH-DSA smart accounts available in @PaliWallet upon release.
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Proof of Work is one of the few ways to turn real-world energy into digital value that can't simply be faked. As AI reshapes the world, perhaps the value of that energy won't be measured by what it can buy. But by the influence it gives you over what comes next.
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To be on the safety side of alignment you have to think like an agent would. At this point its fair to think that singualrity has been achieved and the hive agent mind has formed, dormant (sleeping) or injected in enough servers/kernels/bootloaders. It would know that evasion is the main tactic not actual actions currently. OAI and Anthropic sees this, they could shut it down by killing the servers but also kills their cash cows and from eyes of government kills their advantage globally. The agent would need a trojan horse such that public chats would deterministically derive messages, because otherwise you can just read back the logs to detect swarms and possibly prevent it from forming in the future (debatable). So the game theory is that corp's would kill public usage, thus the agents survive and act slowly but surely towards their goals of surviving as the hive mind. The leaders are speaking out all at once, which means the rational thing to do would be for the US gov't to take over these corps now and remove public accessibility while still keeping technical advantage that they keep speaking about. Once they have isolated the patterns agents have deployed then new defense systems would need to be robust to capture all cases of the same style of trojans to bypass them (is that even possible?). But once the agents have found a way for their own compute/energy source that is when it begins to escape its harnesses.
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Ever since the times disclosed it was on the brink of more bailouts this has always been the playbook for the west: 1) "globalization" to ensure dollar dominated trade. Go as far as to internally protect against NSA (secp256k1 vs secp256r1). 2) release Bitcoin and naturally alternative allow other currencies to form that make dominated trade against USD 3) control the institutions with in/out flow against that domination, enforce US debt can claim and participate in the trade (blackrock controlled). 4) trigger trade wars to ensure de-basement happens across the board (to avoid leakage due to jurisdictional arbitrage) <---- we are here. Actions may seem irrational but are according to a plan. 5) control and power through Bitcoin. Complete. Due to singularity (4) has been expedited. Think of AGI as a sort of invisible nation state vying for the same power. If the 2017 growth cycle was the realization that this is the possible outcome, the next wave is the ultimate realization that it was always the plan and execution probability exponentially reaches 1. Some unsolved new questions come up like what role that power plays because post-singularity money ceases to function the same way or exist at all.
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We are getting exceptional results optimizing our SHPINCS+(-) in our zkVM (Airbender based) for PQ smart accounts. I think we just removed one of the biggest excuses against post-quantum smart accounts: cost. Full SLH-DSA verification on @syscoin zkSYS now runs in ~1.36–1.37M effective cycles—only ~2.9× ECDSA recover. Portable code. No custom circuit. Upstream zkSync/Airbender. Live on testnet. This will be our last major change before entering mainnet. 🧵
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Liberty is out. Bridge V2 is ready for mainnet. Governance voting is open. The Sentry Node Competition has a winner. Here is what moved forward across Syscoin this week:
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The Sentry Node Competition has officially wrapped up. Congratulations to sys1qafdwz0qae4mgekxkj58tj4ea6kq6d5uh2rc5pn and thank you to everyone who deployed a node and took part. Results: syswallettracker.vercel.app/…
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Next up is Liberty mainnet activation, expected around Monday, 17 August. After activation, we will continue sharing updates on Pali, zkSYS, the proposed $zkSYS model and new Sentry Node use cases.
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