Parity Technologies Seeking to Reclaim Funds Lost in Coding Error Last Month

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Parity Technologies has released an update to retrieve funds lost during a coding error on ethereum last month.
Parity made the announcement on its blog today.

The U.K.-based company broadcasted the results of its research.

It proposed as many as four protocol changes are currently under review as possible fixes.

All four would require tinkering to the ethereum software all users run.

At the time, $160 million-worth of the cryptocurrency ether became unreachable to their owners.

With the stakes high, Parity sought to spur community support for a plan to "rescue" the funds in the post.

Parity appealed to those who run the software for the adjustment.

While recognizing a decision would eventually be up to the community, Parity said its favored fix would be made through protocol changes to the ethereum virtual machine (EVM).

According to the blog post, this would be a "functional enhancement to the platform" that would both reestablish the lost funds and guard against similar cases in future

Parity explained:

"No one should be under any illusion that unlocking these stuck funds would be anything other than a rescue operation – and would only be possible with a hard fork."

The company's slant of the development also looked to emphasize the idea that the company can't act unilaterally to recover the funds.

A sign of the early stages of the procedure, it has also yet to document the idea as an ethereum improvement proposal (EIP), the official code patches for the platform.

The idea was criticized at the time by ethereum developer Nick Johnston, who said it would "change an important invariant" in the EVM.

It could also lead to "unexpected bugs, even in already-deployed contracts."

The post points to two other potential fixes, including a change to the current ethereum improvement protocol, EIP 156, and an "address specific" Parity fund rescue.

In the time since the fund froze, the Parity argument has sparked discussions akin to the DAO hack of last yea in which hard fork contention triggered a competing cryptocurrency named ethereum classic, though on a smaller scale.

The Parity blog post concludes:

“Achieving good governance around hard forks and protocol upgrades on Ethereum has been an ongoing project.

“It has had its successes and failures with limited experiments with democracy, plutocracy, and technocracy.

“Good consensus has been achieved on technical enhancements while significant non-enhancement hard forks have been both failures (the Ethereum Classic split) and successes (the mining reward reduction) of consensus.

“This next discussion will be an important test of how contention can be turned into consensus.

"It is our hope that the community would get behind a rescue of these funds to help all the users that we can."
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