What happened?
Ethereum community member Eugenio Reggianini has published a proposal for GDPR compliance. The proposal suggests keeping personal data off-chain and using privacy-preserving technologies within Ethereum’s architecture. It introduces a framework where only front-end actors like wallets and dApps are classified as GDPR controllers.
Who does this affect?
This affects developers and users of Ethereum, particularly those involved with wallets and decentralized applications (dApps). It also impacts other participants in the Ethereum ecosystem such as validators, who may now be classified differently regarding GDPR compliance. Regulatory bodies and legal advisors working with blockchain technology will also be interested in this new classification system.
Why does this matter?
This proposal is significant because it attempts to reconcile Ethereum’s decentralized nature with stringent data protection laws like the GDPR. The approach could prevent disruptions in the European market by offering a compliance pathway that doesn’t compromise Ethereum’s core principles. It may lead to a wider acceptance of blockchain technology by aligning with current legal frameworks, thereby impacting how blockchain projects operate globally.