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Vitalik Suggests Simulated Transactions to Balance Crypto Security

Simon Simba
Simon Simba
Simon is a writer with five years experience in crypto and iGaming. He currently works as a freelance writer at BanklessTimes where he focuses on simplifying daily crypto developments for readers. He discovered crypto in 2022 while writing news about NFTs for a news website in the US, and has since written for two other international NFT projects, and a Web3 gaming agency.
Updated: February 23rd, 2026
Editor:
Joseph Alalade
Joseph Alalade
Editor:
Joseph Alalade
News Lead and Editor
Joseph is a content writer and editor who has actively participated in crypto for over 6 years. He enjoys educating others about Web3 and covering its updates, regulatory developments, and exciting stories.

Vitalik Buterin has called for crypto wallets to use simulated transactions as a standard security step. He argues that wallets should preview what will happen on-chain before users sign, so actions match what users actually intend.

How Transaction Simulations Would Work

Buterin says users should first state what they want to do and then see a clear simulation of the on-chain result. The wallet would show which tokens move, how much leaves the address, and any risky contract calls before the user presses “OK” or “Cancel.”

He links this approach to an “intent‑based” model, in which both security and user experience aim to keep the gap between user intent and the final transaction as small as possible. In his view, the same idea should apply not only to Ethereum wallets and smart contracts but also to operating systems and even hardware that interacts with private keys.

Vitalik Buterin also suggests pairing simulations with tools such as spending limits and multisignature approvals to require extra checks for high-risk actions. Under this design, low‑risk actions, such as small transfers to known addresses, stay fast and simple, while dangerous moves become slower and more deliberate.

Why Vitalik Says Intent Matters for Crypto Safety

Vitalik’s proposal responds to a long list of DeFi scams and protocol tricks in which users approve transactions they do not fully understand. People often sign wallet pop‑ups that hide the true effect, such as draining tokens or giving unlimited approvals to a malicious contract.

Simulations add a last‑minute “runtime” check on top of audits and testing, which can catch phishing attempts, fake airdrops, and approval traps at the moment of signing. Buterin notes that this approach will not create perfect security, because user intent itself is complex and sometimes unclear, even to the user.

To handle that, he proposes redundancy: users should express intent in overlapping ways, and the system should execute only when those signals match. He even mentions large language models as one extra filter that could help interpret what a user likely wants to do, though he warns they must be used carefully.

Regular Ethereum users may receive more explicit warnings before performing dangerous actions, particularly in DeFi, if wallet developers adopt these concepts. This would reduce preventable losses from malicious or confused transactions while also making it easier for non-experts to utilize on-chain apps.

READ MORE: Crypto Market Crash: Why Did Bitcoin and Altcoins Implode Under Trump?

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Simon Simba
Simon is a writer with five years experience in crypto and iGaming. He currently works as a freelance writer at BanklessTimes where he focuses on simplifying daily crypto developments for readers. He discovered crypto in 2022 while writing news about NFTs for a news website in the US, and has since written for two other international NFT projects, and a Web3 gaming agency.